Credit card surcharges.

Has any one noticed recently that more and more places like butchers, fruit and veggie shops and others are charging 2% or more to use a credit card.

The dont have any signage to say they charge a fee only when they tally it up and when u get the card out the price goes up.

I don’t want to carry cash living in a shifty suburb.

Secondly I am paying more for produce, it’s expensive as it is.

Although if you have a cost to have an eft credit card machine on site this cost if this is tax deductible, so these scum merchants are double dipping.

And I wonder if they are declaring the cash as business income, tax cheats.

I’m tempted to not pay next time and leave the groceries behind.

a reply to: Cavemannick

Go to an ATM that's not your bank and that'll really piss you off. If you get cash out or use their ATM for anything, they charge you $3.75 for a "processing fee" and that's in this tiny little town I live in. Big city banks may be even worse.

a reply to: Cavemannick


True this. Another point, if I need to get cash from an ATM I still pay the surcharge.

Another cost to me if I need to pay cash at the country markets.

My little rant added.

Kind regards,

Bally)

Not sure, but here in the US, I think you have to have it posted. We do here at work. We charge 2% for Credit cards. But the CC company is charging us 3%.

We still except checks though. Or cash.

a reply to: chiefsmom

Oh lol. In Aussie dollars compared to US that's already paid for me milk, bread and local paper>

Bally

a reply to: Cavemannick

You have to understand how the credit card industry works.

At an old job I was programing a website and they wanted to take credit cards. Looking into the documentation for the charges. Each and every credit, debit card and bank charges wildly different fees. And you don't know how much the fee will be till a few months later. So yeah, they have to charge more if you use a card. Otherwise the store will be losing money.

a reply to: DAVID64

Yeah, I've seen ATM fees at $4 and $5. Strip clubs are the worst I think, I've seen $8 charges.

To the OP, you see that a lot at gas stations. They'll charge a few more cents if you pay with a card

a reply to: grey580

Not to mention accepting true credit cards as opposed to debit cards or cash is a liability.

Most people think that you use the credit card and the transaction is done, that’s not the case.

The reconciliation is different and you also have to assume that some of those transactions will be disputed, meaning your product is gone but you never get paid.

All vendors push the fee to the customer, whether they bake it into pricing or explicitly say here’s a fee for credit cards.

It’s all a shell game, but ultimately everyone should just realize there’s basically a 2% tax on all things since we moved into the digital age.

a reply to: Cavemannick

Yes, I hate it when I realize something has existed for decades too

You cry now. Wait till they start charging "handling fees" for cash transactions! 🥶️

There are some places here that charge extra for using a credit card, and some give you a discount if you pay by cash or check, because they are charged extra for the credit card charges to get their money. Usually two to five percent of the purchase goes to the card company. If I still had my business, I would charge the customer for using their credit card, I could take cards, but when people found out I charged five percent more because the card companies charged me that they got me cash. Just think of how some people make so much money on credit these days. Even at two percent from the merchants, that adds up to a lot of cash and brings up consumers prices at a minimum of what it costs them plus the profits on that money. prices are raised to cover costs. Also, if credit card fraud is found, the credit card companies often just take that amount from the store it was bought from...again raising costs of what we buy. So scammers cost everyone money, not so much the credit card companies....I talked about this with the credit card company when my card got compromised...the only place I had used that card within seven months was to renew my Michigan Builders license....seems the state got hacked.

Typically credit card companies have always charged a 3% fee for the processing of the transaction. Retailers have usually chalked this up to the cost of doing business and you never see it. In recent years more and more on the counter credit card machines have asked if you want to do a "credit" or "debt" transaction because legally I do not believe they can require you to do "debt" but doing it as a debt does not cost them this fee. I think the reason your seeing more and more places passing that transaction fee off to the consumer is just simply the complete and utter disaster that is this economy. They are trying to keep any bit of money they can.

Around here in Northern California it is mainly the liquor stores and small mom and pop shops that charge a fee to use Visa. The grocery stores don't charge a fee. I use my free Amazon card for everything I can, then pay it off immediately online. Thats how I get it to go a different direction. They pay me 1% to 5% on all my card transactions. They pay me hundreds of dollars a year to use the card. I have never paid interest, and I don't use it where there are additional fees charged.

As for fuel, Shell issued me a card that gives me 10 cents off per gallon. I pay that the same day, and never pay interest. They don't charge use fees because it is their card, and they want you to use it.

a reply to: Cavemannick

I've been carrying more cash lately.

We are going back to a cash society.

I was told, don't know if it is true that credit cards agreement with businesses says they can't charge. So report them to your credit card company.

So, the places around here are starting to give a 3% discount if you pay in cash.

Several of my friends are starting to carry more cash and pay more in cash.

Maybe a good thing. Can't have shopping habits tracked if you pay cash.

More privacy, plus makes it harder for the government to make us go cashless so they can snoop on us even more than they already do.

a reply to: CriticalStinker

The fees are anywhere from 2% to 6% depending on the card or bank.

It's crazy.

a reply to: visitedbythem

I stopped using shell after whatever additives they were using in the gas damaged the floater in the fuel tank.

Plus they are significantly higher priced than other gas stations many times I've gone.

Here is the lowdown. I looked it up. Seems there was a court ruling in 2023 that allowed businesses to charge for using credit cards. Then some states restricted it or outlawed it. Businesses in my area at first charged a credit card fee, now they are "offering" a credit card discount. Some areas or cards apparently don't allow businesses to charge a fee if they also take cash or another method of payment. But they can offer a cash "discount" and more places near me are doing it. This the thrifty/frugal person, like me, is carrying more cash and paying more in cash than ever before. Also a great way not to have your purchases tracked by the government!

Anyway found a chart with the laws:www.usatoday.com...

Alabama No restriction
Alaska No restriction
Arizona No restriction
Arkansas No restriction
California Restricted Illegal according to state law but reversed by court case
Colorado Restricted Surcharges are limited to 2% or the actual cost
Connecticut Restricted Surcharges are prohibited. Cash discounts are allowed
Delaware No restriction
District of Columbia No restriction
Florida Restricted Convenience fees allowed up to the cost incurred by the seller
Georgia Restricted Convenience fees are only allowed when alternate payment methods are available without a fee. Fees must be clearly disclosed. Fees can’t be more than the merchant’s cost
Hawaii No restriction
Idaho No restriction
Illinois No restriction
Indiana No restriction
Iowa No restriction
Kansas Restricted Surcharges are limited by state law
Kentucky No restriction
Louisiana No restriction
Maine Restricted Surcharges are prohibited, except in the case of government entities, which must clearly disclose the amount prior to payment and cannot exceed the cost incurred by the government for the transaction
Maryland No restriction
Massachusetts Restricted Surcharges are prohibited
Michigan No restriction
Minnesota Restricted Surcharges must be clearly disclosed and may not exceed five percent of the purchase price
Mississippi No restriction
Missouri No restriction
Montana No restriction
Nebraska No restriction
Nevada No restriction
New Hampshire No restriction
New Jersey No restriction
New Mexico No restriction
New York Restricted Cash and card prices may be used if clearly disclosed
North Carolina No restriction
North Dakota No restriction
Ohio No restriction
Oklahoma Restricted Surcharges limited to 2%. Disclosures are required
Oregon No restriction
Pennsylvania No restriction
Puerto Rico Restricted Surcharges are not permitted
Rhode Island No restriction
South Carolina No restriction
South Dakota No restriction
Tennessee No restriction
Texas Restricted Only government entities are allowed to add surcharges
Utah No restriction
Vermont No restriction
Virginia No restriction
Washington No restriction
West Virginia No restriction
Wisconsin No restriction
Wyoming No restriction

I know there's tax on tax on tax on tax on tax. Places here just started the credit card fee over cash everywhere. I carry a fair amount of cash anyway. Everyone's pushing us toward a cashless society, but they want to charge you to track you.

At least my bank will refund ATM fees... Not that I ever use them for withdraws anyway, but if I need to I don't get stuck with the bill.

I don't really understand the credit card fee... Some places here claim it's 5%... That should be on the bank, not the end consumer or businesses.