Most interesting , given the simple fact that Credit Card Providers losses to bad lending out weigh frauds by a very massive margin .
To offset these losses , they have combined three methods of recovery in the form of interest on the outstanding balance then charge card issue and maintenance fees and finally on the merchant side is the basic merchant fee levy which can range from a low of .75% to 5% or an approximate average of 3% , plus other charges or an outright rejection of the application to be a merchant !
As with all businesses they are not a charity and normally run a full recovery of all operational costs at all times !
The other aspect of the merchants contract is the payment is in a form of controlled escrow and the Banks reserve the right to recall the funds within the grace periods as defined by the International Co-operative Card Brands who maintain the required international transaction clearing interface to provide world wide transactions . However the issuing Banks within the scheme remain responsible for the outstanding debts incurred by card user and can levy assorted control fees and charges !
The customer of course literally pays three ways to support the bad debts and fraudsters ,and the cash paying customer effectively ends up subsidizing credit card users most of the time unless the fairer merchant specifies fee extra for card users !
As to why they want to change the playing field can be put down to total greed , and can only be more thicker icing on the cake and another way to milk the paying customer of even more money then before !