Anonymous
Post 03/22/2025 16:27     Subject: Credit Card Fees passed through from merchant
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.

Because they get charged 3% of the charge.


okay, so there are so many people saying the merchants are just passing along their charges. THIS ISN"T TRUE. merchants aren't charged that much. A few years ago, the fees were reduced and the merchants never lowered their fees when "passing them on." They kept the higher amount to charge customers. They are making money off the fees they are charging you.

Keep in mind that with credit cards, merchants are guaranteed the money. If the customer doesn't pay the credit card bill, the bank eats that cost. If there's fraud, the bank eats that cost. If you pay by check, and there's no money, the merchant eats that cost. So, merchants should NOT be passing any of those fees to you - they are guaranteed money if you pay by credit card. Something they should pay for.


Have you ever heard of a chargeback? The bank does not eat that cost.
Anonymous
Post 03/20/2025 17:08     Subject: Credit Card Fees passed through from merchant
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:My issue with the credit card processing fees are the businesses who are cashless. There is no option but to pay the extra percent plus transaction fee.


Use a debit card or simply find another business to frequent.



Not always an option, but you knew that when you wrote that snark. Have a nice day.


Why not? That is what I do. I only have one business I use that I pay a CC fee. It's a small plumbing business. And I just pay it because I don't feel like writing a check, mailing it and then praying the USPS actually delivers it. So I just pay the fee. Otherwise all businesses I frequent don't charge a fee or they allow online bill pay with your banking info. To make that more secure, I have an account that I only use for such transactions. So if it's ever compromised there is only a small amount in it and I don't have to change ALL of my autoplays, etc.


Because you have a data point of one, it is not a universal experience.

FYI, many service providers and other types of companies are charging 1-2% for an electronic check (which is what you call online bill pay with your banking info). That used to be my default, but I had 3 vendors last week change their policies and start that fee. 1% for a wire. And they don't take cash, for anything.

I would start checking your autopays, because many places are changing.
Anonymous
Post 03/20/2025 15:44     Subject: Credit Card Fees passed through from merchant
Anonymous wrote:The reason you’re seeing more vendors passing on the credit card interchange fee is because states are passing laws allowing them to do this. And if you pay a 3% processing fee for using a credit card at a vendor, you just defeated the purpose of using that credit card for “rewards”. You paid for them in the processing fee and actually probably lost money. Nothing is free.



And then there are vendors who will accept cash...but only have a mailing address. Or checks, the same way. With all the mail fraud these days I've stopped using checks. So instead of paying a vendor's merchant processing fee, move the business to another vendor with lower to zero fees.
Anonymous
Post 03/20/2025 12:16     Subject: Credit Card Fees passed through from merchant
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
Anonymous
Post 03/20/2025 10:41     Subject: Credit Card Fees passed through from merchant
I don’t. But you are fortunate and people do have true emergencies or problems that crop up like unexpected major auto work and they might need a few months to pay it off. Some people work hard and even have two jobs but aren’t able to build an adequate reserve. Paying astronomical interest rates sure doesn’t help the situation.
Anonymous
Post 03/20/2025 10:27     Subject: Credit Card Fees passed through from merchant
Anonymous wrote:
Anonymous wrote:Musk and Trump killed consumer protection in this area

Get ready fur higher fees for c cards and banking with no caps


I heard they are trying to cap credit card fees at interest rate at 10%? What would make more sense is to have it limited to a percentage over a published borrowing rate. Some of the rates in the 20s are outrageous, even with the cost of protections they have for consumers. It should be high but no that high.


Or how about you don't put things on a CC that you cannot afford? I'd argue that 85-90% of people with CC debt are there because of "wants" not true "needs". You don't need that new TV unless you have the $$ in your bank account to pay for it.
I literally have never paid any CC interest in my life and I'm 50+. Because we simply don't charge things unless we can actually afford it
Anonymous
Post 03/20/2025 10:25     Subject: Credit Card Fees passed through from merchant
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:My issue with the credit card processing fees are the businesses who are cashless. There is no option but to pay the extra percent plus transaction fee.


Use a debit card or simply find another business to frequent.



Not always an option, but you knew that when you wrote that snark. Have a nice day.


Why not? That is what I do. I only have one business I use that I pay a CC fee. It's a small plumbing business. And I just pay it because I don't feel like writing a check, mailing it and then praying the USPS actually delivers it. So I just pay the fee. Otherwise all businesses I frequent don't charge a fee or they allow online bill pay with your banking info. To make that more secure, I have an account that I only use for such transactions. So if it's ever compromised there is only a small amount in it and I don't have to change ALL of my autoplays, etc.
Anonymous
Post 03/20/2025 09:48     Subject: Credit Card Fees passed through from merchant
Anonymous wrote:Musk and Trump killed consumer protection in this area

Get ready fur higher fees for c cards and banking with no caps


I heard they are trying to cap credit card fees at interest rate at 10%? What would make more sense is to have it limited to a percentage over a published borrowing rate. Some of the rates in the 20s are outrageous, even with the cost of protections they have for consumers. It should be high but no that high.
Anonymous
Post 03/20/2025 08:41     Subject: Credit Card Fees passed through from merchant
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.
Anonymous
Post 03/20/2025 08:08     Subject: Credit Card Fees passed through from merchant
Anonymous wrote:
Anonymous wrote:My issue with the credit card processing fees are the businesses who are cashless. There is no option but to pay the extra percent plus transaction fee.


Use a debit card or simply find another business to frequent.



Not always an option, but you knew that when you wrote that snark. Have a nice day.
Anonymous
Post 03/19/2025 23:18     Subject: Credit Card Fees passed through from merchant
The reason you’re seeing more vendors passing on the credit card interchange fee is because states are passing laws allowing them to do this. And if you pay a 3% processing fee for using a credit card at a vendor, you just defeated the purpose of using that credit card for “rewards”. You paid for them in the processing fee and actually probably lost money. Nothing is free.
Anonymous
Post 03/19/2025 11:30     Subject: Credit Card Fees passed through from merchant
Musk and Trump killed consumer protection in this area

Get ready fur higher fees for c cards and banking with no caps
Anonymous
Post 03/19/2025 11:29     Subject: Credit Card Fees passed through from merchant
Anonymous wrote:My issue with the credit card processing fees are the businesses who are cashless. There is no option but to pay the extra percent plus transaction fee.


Use a debit card or simply find another business to frequent.

Anonymous
Post 03/19/2025 11:26     Subject: Credit Card Fees passed through from merchant
My issue with the credit card processing fees are the businesses who are cashless. There is no option but to pay the extra percent plus transaction fee.
Anonymous
Post 03/19/2025 11:24     Subject: Credit Card Fees passed through from merchant
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.

Because they get charged 3% of the charge.


okay, so there are so many people saying the merchants are just passing along their charges. THIS ISN"T TRUE. merchants aren't charged that much. A few years ago, the fees were reduced and the merchants never lowered their fees when "passing them on." They kept the higher amount to charge customers. They are making money off the fees they are charging you.

Keep in mind that with credit cards, merchants are guaranteed the money. If the customer doesn't pay the credit card bill, the bank eats that cost. If there's fraud, the bank eats that cost. If you pay by check, and there's no money, the merchant eats that cost. So, merchants should NOT be passing any of those fees to you - they are guaranteed money if you pay by credit card. Something they should pay for.


Can you expand on this? I'm with the PP that I walk away from these charges. But it's getting to be pretty much a daily concern now. Why are they emboldened (esp if it's illegal?) what's changed? Like another PP said, I wasn't getting a price lowered by paying cash all this time either.