MasterCard to lift credit card swipe hold in Cuba

WASHINGTON (AP) - MasterCard on Friday became the first major credit card company to say it will start handling U.S. card transactions in Cuba.

Citing new guidance from the U.S. Department of Treasury, MasterCard said it would begin processing swipes by U.S. card holders in Cuba beginning March 1.

The announcement comes one month after President Barack Obama said the U.S. would work to restore normal diplomatic relations for the first time in more than 50 years with the communist-run island. The move affects Americans who travel to Cuba to visit relatives or for a handful of other authorized purposes, including educational visits. General tourism to Cuba is still prohibited by the half-century old trade embargo, and it would take an act of Congress to lift the ban.