If your business accepted or processed Discover credit card payments between 2007 and 2023, you may be eligible for part of a $1.225 billion class action settlement.
Here’s what you need to know:
Why is there a lawsuit?
The lawsuits claim Discover misclassified certain consumer credit cards as commercial cards, which carry higher interchange fees.
That means merchants, acquirers, and payment intermediaries may have been overcharged on fees for more than a decade.
Discover denies wrongdoing, but agreed to settle.
Who qualifies?
You may be included if you are:
An End Merchant (accepted Discover cards in your business, even through processors like PayPal, Stripe, Shopify, or Square)
A Merchant Acquirer (businesses with agreements to process Discover card transactions)
A Payment Intermediary (businesses processing Discover payments for others)
Eligibility covers transactions from January 1, 2007 through December 31, 2023.
How much can people get?
Total settlement fund: $1.225 billion
At least $540 million guaranteed for class members
Payout depends on your Discover transaction volume and fees paid
Higher-volume processors may receive larger payments
What Are Your Options?
| Option | What it means | Deadline |
|---|---|---|
| Submit a Claim | Receive your share of the settlement fund | May 18, 2026 |
| Opt Out | Keep the right to sue Discover separately | TBD (see Notice) |
| Object | Tell the Court why you disagree with the settlement | TBD (see Notice) |
| Do Nothing | No payment, no benefits, but give up your right to sue | N/A |
How to File a Claim
Visit the official site: DiscoverMerchantSettlement.com
If you received a Notice, use your Claimant ID and PIN to file quickly
If you did not receive a Notice, you can still file by providing your business information
Choose payment by check or ACH deposit
Claim Deadline: May 18, 2026
