[treflop]

This is a technical solution to a non-technical problem.

My risk to my credit number being stolen is honestly low. The risk is the merchant providing a substandard service 99% of the time, and an OAuth style payment flow does nothing for that.

Someone like Amazon who is a trusted merchant already negotiates fees with their banks and they likely already have an extremely low fee rate.

What Stripe, Square and PayPal provide is a service for integrators who don’t want to spend money talking to a bank, negotiating a rate, and then implementing the required security to execute their own transactions.

[simfree]

Walmart, Amazon, and the other big companies are not interchange exempt. They are not able to get a significant discount below interchange, hence why they keep financing lawsuits against Visa, MasterCard and such over the bundling of all Visa or MasterCard branded low-cost (non-rewards) and high-cost rewards cards under one banner that they are forced to accept as a bundle.

Merchants would love to reject all cards that are a Visa Signature and above, leaving only the very low cost cards as accepted. The Card Networks have engineered via branding and contracts that this does not occur though.