Discover $1.225B Merchant Interchange Fees Settlement
Did your business accept or process Discover credit cards anytime from January 1, 2007 through December 31, 2023? You could receive a cash payment of $10 or more from a $1.225 billion class action settlement. File your claim online now or download the PDF claim form below.
Download Claim Form (PDF)Who Is Eligible?
The settlement covers three broad categories of entities that processed Discover card transactions between 2007 and 2023:
- End merchants – most businesses that accepted Discover at the point of sale.
- Merchant acquirers – businesses classified by Discover as “acquirers.”
- Payment intermediaries – entities that processed Discover transactions for other merchants.
End merchants are further divided into four sub-groups (indirect, inactive direct, managed active direct, unmanaged active direct). Your subgroup determines whether you must file a claim form or will be paid automatically.
Potential Payout
- Minimum payment per eligible claimant: $10
- Total fund: $540 million – $1.225 billion (plus interest)
- Payments are pro-rata and depend on estimated interchange fee overcharges attributed to your Merchant ID(s).
How to File a Claim
- Visit the secure online claim portal or use the PDF form above.
- Provide basic business details (legal name, DBA, Tax ID, contact information).
- Select a payment method: paper check or ACH to a U.S. bank account.
- Submit by May 18, 2026 (postmark or online timestamp).
Unmanaged active direct end merchants will be paid automatically. Managed active direct end merchants need only return the short payment-information form sent with their notice.
Key Dates
- Opt-out deadline: March 25, 2026
- Claim deadline: May 18, 2026
- Fairness hearing: May 20, 2026
- Estimated distribution: ~240 days after final approval
Why the Case Settled
Plaintiffs alleged Discover misclassified certain consumer credit cards as commercial cards, causing merchants to pay higher interchange fees. Discover denies wrongdoing but agreed to settle to avoid ongoing litigation risks and costs.
Frequently Asked Questions
What is the Discover Merchant Interchange Fees Settlement about?
The lawsuit claims Discover misclassified cards, inflating interchange fees. The settlement resolves those claims for up to $1.225 billion.
Do I need any receipts or statements to file?
No detailed transaction records are required initially. Most claimants only need to supply standard business information and, if requested, a Form W-9.
How much money will I receive?
At least $10. Actual payments depend on your calculated interchange overcharges and the total number of valid claims.
When will payments be sent?
The administrator will issue payments roughly 240 days after the court grants final approval and any appeals are resolved.
Can I still file if I did not receive a notice?
Yes. Businesses that fit the class definition may submit a claim even if they did not receive a mailed or emailed notice.
Need More Information?
Visit the official settlement website at DiscoverMerchantSettlement.com or contact the administrator at 1-888-655-3176 or info@DiscoverMerchantSettlement.com.
This article is informational and not legal advice. Always review the official court documents before taking action.