Credit Card Fees passed through from merchant

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:technically it is illegal to charge more for a credit card but no one is holding them accountable. Not handling cash and managing deposits is worth the 3% fee.

It is not illegal to charge more for a credit card.

Never was from a federal standpoint, although a couple of states had laws against it in the past. It was against credit card acceptance agreements, which are not laws. The Supreme Court wiped out those state laws in 2017.

https://www.klgates.com/US-Supreme-Court-Sides-with-Merchants-in-Credit-Card-Surcharge-Case-But-the-Fight-Isnt-Over-Yet-04-04-2017

What state has a law banning charging more for credit card users?
I guess it's possible, but it's insane.

NY's law was about transparent advertising of prices.
"N.Y. Gen. Bus. Law § 518––prohibits merchants from imposing a surcharge on customers who pay with a credit card but allows merchants to give discounts to customers who pay with cash or other forms of payment."

“Prohibits merchants from imposing a surcharge on customers who pay with credit card”

Seems to be pretty clear. A discount for cash is not the same as an extra fee for credit cards.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:technically it is illegal to charge more for a credit card but no one is holding them accountable. Not handling cash and managing deposits is worth the 3% fee.

It is not illegal to charge more for a credit card.

Never was from a federal standpoint, although a couple of states had laws against it in the past. It was against credit card acceptance agreements, which are not laws. The Supreme Court wiped out those state laws in 2017.

https://www.klgates.com/US-Supreme-Court-Sides-with-Merchants-in-Credit-Card-Surcharge-Case-But-the-Fight-Isnt-Over-Yet-04-04-2017

What state has a law banning charging more for credit card users?
I guess it's possible, but it's insane.

NY's law was about transparent advertising of prices.
"N.Y. Gen. Bus. Law § 518––prohibits merchants from imposing a surcharge on customers who pay with a credit card but allows merchants to give discounts to customers who pay with cash or other forms of payment."

“Prohibits merchants from imposing a surcharge on customers who pay with credit card”

Seems to be pretty clear. A discount for cash is not the same as an extra fee for credit cards.

Raise price across the board, give "discount" for cash.

Marketing terms.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I get that the merchant faces processing fees and prefers a check. When I can, I write a check. I still have checks.
But how do they justify charging as a PERCENT? It should be a flat transaction fee! So the more I spend, the more it costs them to process my credit card? We tried to buy online tickets for a charity gala, and of course they don't want credit card fees to offset their fundraising, but as we clicked up to "platinum table tickets" or whatever, the fees for the tickets went up to like $250! Guess who didn't buy charity tickets.

How can you be someone who is blowing $$$ on a charity gala but not know credit cards charge a percentage from each merchant??

Because it is only very recently that merchants are passing them along to customers.
It defeats the purpose of using credit cards at all.

What fantasy land do you live in? That has ALWAYS been the case.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I get that the merchant faces processing fees and prefers a check. When I can, I write a check. I still have checks.
But how do they justify charging as a PERCENT? It should be a flat transaction fee! So the more I spend, the more it costs them to process my credit card? We tried to buy online tickets for a charity gala, and of course they don't want credit card fees to offset their fundraising, but as we clicked up to "platinum table tickets" or whatever, the fees for the tickets went up to like $250! Guess who didn't buy charity tickets.

How can you be someone who is blowing $$$ on a charity gala but not know credit cards charge a percentage from each merchant??

Because it is only very recently that merchants are passing them along to customers.
It defeats the purpose of using credit cards at all.

Is to spend money one doesn't have.

Use cash and you will never be in debt.

This. Economics 101

[Anonymous]

It defeats the purpose of using credit cards at all.

Is to spend money one doesn't have.
Use cash and you will never be in debt.

This. Economics 101

I, and most people I know use credit cards to get the rewards points for travel, not because we don't have the money to spend. Agree with the previous poster that the number of merchants passing on the credit card fees to the consumer has gone up significantly lately.

[Anonymous]

I have noticed in the past year that mom & pop takeout places near me are offering a discount (up to 10%) on cash payments.

[Anonymous]

Anonymous wrote:I have noticed in the past year that mom & pop takeout places near me are offering a discount (up to 10%) on cash payments.

That's the marketing gimmick alluded to earlier.

[Anonymous]

Anonymous wrote:

It defeats the purpose of using credit cards at all.

Is to spend money one doesn't have.
Use cash and you will never be in debt.

This. Economics 101

Agree with the previous poster that the number of merchants passing on the credit card fees to the consumer has gone up significantly lately.

Yet they have not. You just started noticing what they have always done.