Credit Card Transaction Fees

[Anonymous]

Anonymous wrote:

Anonymous wrote:Yes. The reason is there was a change in teh rules a few years ago, so merchants were allowed to impose a card surcharge. Used to be they could only offer a cash discount off listed price.

Went to dinner at a restaurant in Great Falls (the Italian place... Roberto's?) and ran up a bill of a few hundred. Between my father and I, we always carry a decent amount of cash, so we paid in cash to avoid the surcharge. Mostly to force them to deal with cash since they seem to be "encouraging" it by charging the surcharge on card. Now someone has to run hundreds of dollars up to the bank the next day, and hope the cahs doesnt disappear in the process.

Right! Cash isn’t free to deal with. Brinks trucks aren’t cheap.

I like the credit card rewards!

Yeah, I'm sure you do, but that's the problem for the merchant. 2-3% per transaction adds up fast even compared to brinks trucks.

[Anonymous]

Anonymous wrote:My hair salon charges $3 to use any electronic or card transaction including debit.

This is cost of doing business. why did it changed now and not a few years ago? I refused to pay because they didn't advertise and told them that I won't come again if they charge me this and they waive it for me.

[Anonymous]

It pisses me off. Why don't they just build it in to their prices?

[Anonymous]

Start paying in singles. Checks for a soda. Etc.

[Anonymous]

I am writing checks again. I hate it, hair salon, restaurants, service people.

[Anonymous]

Anonymous wrote:I am writing checks again. I hate it, hair salon, restaurants, service people.

Same. Checks or cash. The whole credit card thing was to make it easy and mindless for consumers to hand their money over. Meaning, merchants profited. Credit card companies flourished with all the fees and interest.

Now they want to also make us pay for that convenience? No way. I'm ordering checks more checks than ever, buying less, skipping the places with the fees, making my thoughts known.

[Anonymous]

I see it from time to time. If I know in advance there will be a CC fee charged, I'll bring cash. I am also not to cool to pay by check.

If I can help it, I don't pay the CC fees.

[Anonymous]

Anonymous wrote:Isn't that a good thing? I'd rather be allowed to pay less by check than have them raise the price for everyone to subsume the fee.

No, I agree that dealing with cash isn't free either. You have to hire workers to go to the bank then.

[Anonymous]

I'm a business owner and my credit card fees = cost of a full time employee.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Isn't that a good thing? I'd rather be allowed to pay less by check than have them raise the price for everyone to subsume the fee.

No, I agree that dealing with cash isn't free either. You have to hire workers to go to the bank then.

I meant it's good for the customer. At least we have the option of not paying a credit card fee. Otherwise the price is just higher for everyone.

[Anonymous]

Get ready for the next phase. In the next phase they will say your can't use cash or check, you can only pay by credit card and you need to pay the extra 3% fee. Then next year 3.2%, then 3.5% etc etc. This county is seriously broken. The few big corporations that own everything have made small businesses' ability to profit harder and harder to achieve. Then add in cities adding extra labor cost which the business then pass on to the consumers.

We better hope the market keep outpacing inflation by a factor of 2 at least in perpetuity else we are f***d

[Anonymous]

Anonymous wrote:Are people seeing more credit card transaction fees being passed on to the consumer by businesses? Normally this was part of the cost of business, but lately more restaurants and businesses are charging the consumer 3% if you opt to pay with a credit card. I don’t normally carry a lot of cash on me, but credit card fees are starting to add up.

Yes!! I had been complaining to my husband about this. I get the small mom and pop shop but big places like ourisman Honda and many health care entities. My hair salon recently added it, and my stylist was really irked too. He pays the difference to clients using credit cards. That is how bad he thinks it is!

[Anonymous]

Anonymous wrote:I'm a business owner and my credit card fees = cost of a full time employee.

And maybe you’ll have the opportunity to replace those fees with a full time employee to make bank runs when everyone starts paying in cash or by check. Don’t forget shrinkage and bounced checks, too!

[Anonymous]

Anonymous wrote:I'm a business owner and my credit card fees = cost of a full time employee.

what were you doing before? It is cost of doing business. I am also a business owner but this is costing me customers.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Isn't that a good thing? I'd rather be allowed to pay less by check than have them raise the price for everyone to subsume the fee.

Checks are barbaric relics. This country is so primitive when it comes to payment systems. Everywhere else in the world now you can tap seemlessly and the costs to businesses are negligible.

this may suprise you but wires only happen during banking hours and Zelle, paypal have limits and dont happen instantly.

For instance during Financial Crisis Bank of Tokyo had to invest 9 billion into Morgan Stanley on a day banks were closed and after hours in order to do press release and have deal done before stock market opened in morning.

A check has zero limits. You could write a check for one Trillion. Check Kiting is a serious crime. When you write a check you are stating the funds are in account or subject to criminal penalties. A check clears in real time with no dollar limit.

So when Bank of Tokyo wrote physical check for 8 billion, signed by officers of bank, handed it to Morgan Stanley and they sign paper contract the deal was done. No computer needed, no bank, no wire.

When I worked in Manhattan back in the 1980s there was a Rolls Royce dealership in Midtown. The Rich would walk in on a Saturday, write a check for $180,000 hand it to dealer, drive away. At end of day you took checks, added up wrote deposit slip and banks had secure drops to drop off check same day. Chemical Bank for instance had these drops

40 years later Zell, wires can compete. It is the limits on the transactions and lack of real time closing.

I like to see you at 2am on Sunday on a three day weekend try to instanteous transfer 8 billion in 2026. Still cant be done.