image: pixabay

Mastercard, Visa Now Classify Bitcoin Purchases as ‘Cash Advances,’ Leading to Fees

February 6, 2018

Payment processors Visa and Mastercard have re-classified bitcoin purchases and will now view them as “cash advances,” a category that will bring an additional 5% fee to those virtual currency purchases on credit cards, as reported today by TechCrunch.

This fee would be in addition to the 4% fee a user takes when making a purchase on cryptocurrency network Coinbase, and other networks have similar fees for transactions. Additionally, as cash advances don’t have the same interest-free period as other purchasing methods, interest accrues daily for such a transaction.pixabay

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