What do we do if the US cuts off bank card systems in EU?

Reader Question: I read that there are worries that the US could cut off access to the two main bank card systems to Europe. Are there any plans to create a European system? Is there any official advice for those of us in France ?

While it is true that the EU, UK, and others are looking into alternative bank card software, the risk of the US suddenly cutting off Visa and Mastercard access to the continent remains very low. 

The card companies account for the vast majority of card transactions in Europe and the companies would likely rally against any requests to remove themselves from such a major market. 

They have stated they have no intention of leaving markets they are currently operating inside, including Europe and the UK.

However, it is true that almost all major transaction systems used in Europe – Visa/Mastercard, Apple Pay, Google Pay, PayPal, and Alipay – run via non-European infrastructure. 

Look towards Wero expansion
 

In France the amount of transactions via Visa/Mastercard is around 60%, and domestic bank cards also have CB (Cartes Bancaires) functionality, which means they can also work through France’s Réseau CB concurrently with Mastercard and Visa.

In the event that Mastercard or Visa disappeared overnight, CB bank cards would still be able to make contactless or PIN payments, be used to withdraw cash from ATMs, and still work with associated smartphones in a domestic setting, although systems could crash from overuse.

However, 13 European countries have no such alternative, a point that prompted the EU to look towards diversifying.

This has now come partly in the form of Wero, a mobile payment solution which is supported by the European Commission and major EU banks.

It is linked to your mobile number and can be used for peer-to-peer payments through mobile transactions (useful for example for reimbursing a friend who pays for a meal, etc) and there are plans to expand on its use so customers and shops can bypass Visa and Mastercard (who can levy fees on banks or merchants for transactions using their cards) for payments to and from SEPA-zone located accounts.

From summer 2026, merchants in France are expected to be able to accept Wero for online payments on websites, in lieu of providing bank information such as your IBAN. 

A ‘digital euro’ is a proposed electronic version of cash issued by the European Central Bank which would allow people to make everyday payments using central-bank money through a digital wallet or card. 

It would not involve money held at commercial banks, would not replace notes and coins and may involve maximum per-person holding limits. 

It could thus be used to pay for goods and services, bypassing payment via a bank or third party such as Visa/Mastercard. 

However, it is also not expected to launch until around 2029, and has been challenged by banks angry about being bypassed. 

If introduced, there would be limits to prevent money being removed from physical banks to the ‘digital euro’ en masse, and causing a sudden drop in banking profits from fees levied on transactions. 

Keeping cash is a good idea

Holding a certain amount of physical cash is often recommended, particularly following widespread power outages in Spain that rendered payments via card and smartphone impossible. The ECB recommends keeping €70-€100 for emergencies. 

Otherwise, as mentioned, having a French account with accompanying ‘CB’ card is a good idea and if it has a traditional high street presence you will always be able to call in, in person if necessary.