Mastercard Seeks Shared Losses From Brazilian Processors #
Mastercard is asking some of Brazil’s largest payment processors to cover half of the losses tied to the collapse of Will Financeira, a Banco Master-linked fintech whose cards ran on Mastercard’s network. The failed issuer left Mastercard responsible for reimbursing acquirers that processed about 5 billion reais in cardholder payments
The dispute matters because it tests how responsibility is allocated when an issuer fails inside a card payment scheme. Brazil’s central bank has introduced rules making payment networks responsible for ensuring transactions are paid, while Mastercard argues the Will case should not fall under those rules because the fintech collapsed before the adaptation deadline.