Mexico News – Mexico antitrust banks price fixing investigation begins as COFECE announced on Friday it found evidence of collusion among 21 banks and financial firms. It says the institutions likely fixed fees on deferred credit card payments. The announcement marked the start of a trial-like phase. The watchdog based its findings on a detailed 649-page report shared with the parties.
COFECE launched the probe in 2022 amid concerns over monopolistic practices in the deferred payment market. That market lets consumers spread purchase costs over several months without interest. The agency said it began with information showing regular meetings among lenders. It sought to determine if the banks set fees together and manipulated conditions.
Deferred credit card payments allow customers to split costs into equal monthly installments without interest. Merchants pay banks a fee, called a merchant discount rate, for offering this service. In recent years, lenders have promoted these plans to boost sales during seasonal peaks. COFECE considers such arrangements prone to anti-competitive risks when firms coordinate fees behind closed doors.
According to the report, the institutions met regularly to agree on surcharges applied to merchants. They formalized these charges in internal guidelines, then enforced them across the market. The watchdog found that some merchants faced higher fees or were shut out of the system. COFECE said such tactics harm competition and raise costs for consumers.
Mexico antitrust banks price fixing investigation
The report lists the Mexican units of HSBC, Santander and Scotiabank among the 21 institutions under scrutiny. Other names include Banco Azteca, Banco Inbursa, Banco del Bajío and Klar Technologies. COFECE also flagged smaller players such as Banco INVEX and Crediclub. In total, the dossier names institutions that control the bulk of credit card operations in Mexico.
Under Mexican law, COFECE can fine companies up to 10 percent of their annual national revenue. The agency cannot press criminal charges but can refer cases to prosecutors. If upheld, the penalties could reach billions of pesos. Experts say such fines would alter bank strategies and lower future returns.
COFECE notified the institutions of the allegations in July. The banks now enter a trial-like procedure where they may submit evidence or challenge findings. The watchdog has 90 days to schedule hearings and gather responses. After that, it will issue a final resolution on the case.
This probe follows COFECE’s high-profile actions against other industries. In 2021 the agency fined five pharmaceutical distributors roughly 903 million pesos for fixing medication prices. In 2022 it imposed over 2.4 billion pesos in fines on gas distributors for similar conduct. Authorities say these steps show COFECE’s reach and commitment to fair markets.
Industry associations such as the Mexican Chamber of Commerce said they await clarity on fee structure changes. They warned that unknown charges could squeeze retail margins. Consumer advocacy groups urged stricter oversight of hidden fees, noting households often miss these costs when planning budgets.
COFECE did not immediately reply to requests for comment from this report. Representatives for the named banks also declined to comment. The agency said it will publish periodic updates on its website. Observers will watch for a final ruling before year‑end.
