Visa Inc. (NYSE: V) and Mastercard Inc. (NYSE: MA) have agreed to a proposed $167.5 million settlement to resolve a class-action lawsuit regarding ATM fees. The settlement, known as Burke v. Visa Inc., aims to compensate consumers who paid unreimbursed fees to withdraw cash from independent ATMs between October 24, 2007, and August 14, 2026.
Under the terms of the agreement, consumers must submit valid claims by February 10, 2027, to be eligible. The U.S. District Court for the District of Columbia is scheduled to hold a final fairness hearing on February 17. The lawsuit alleges that Visa and Mastercard imposed network rules that prevented independent ATM operators from charging lower access fees, thereby causing customers to pay higher surcharges.
Visa and Mastercard have denied any wrongdoing in the matter. The settlement covers qualifying withdrawals made using an ATM or PIN-debit card from a deposit account at an independent U.S. ATM where the customer paid a surcharge their bank did not fully reimburse. Credit-card transactions, cash advances, and prepaid-card transactions do not qualify.
Visa will contribute $88.775 million to the fund, while Mastercard will contribute $78.725 million. After deductions for court-approved attorneys' fees, litigation costs, taxes, and service awards, the remaining funds will be distributed proportionally among eligible claimants. There is no predetermined individual payout amount. Approved claimants will receive payments via digital options such as PayPal or a virtual debit card, or they may opt for a paper check. Payments cannot be issued until the court approves the agreement and any appeals are resolved.
