The European Commission (Commission) has sent a statement of objections (SO) to Visa alleging that its multilateral interchange fees (MIFs) restrict competition, contrary to Article 81(1) EC. The interchange fee is the fee charged for processing a payment card transaction. In March 2008, the Commission opened formal proceedings against Visa, which has culminated in sending the SO. This is a formal statement of the Commission's preliminary findings. The Commission's principal concerns are that Visa's MIFs harm competition between banks, inflate the cost of payment card acceptance and thereby lead to higher consumer prices. In the meantime, Visa has reduced the level of its MIFs. This is likely to be taken into consideration by the Commission in its final decision. Recently, the Commission dropped a similar case against MasterCard after it agreed to lower its MIFs and improve the transparency of its system. Visa now has an opportunity to respond to the SO before the Commission reaches its definitive decision.