new credit card surcharge


D

dumbstruck

Apparently in 40 states as of Jan 27 2013, retailers can charge up to a 4% surcharge. I saw that in a credit union newsletter, but haven't noticed it on any receipts. This seems a pivotal change in policy... is it being implemented widely yet?

I can't blame them, but I would like a bit more warning that I must switch from paying with a rewards based credit card to a debit card... 4% is a lot.
 
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J

JoeTaxpayer

Apparently in 40 states as of Jan 27 2013, retailers can charge up to a 4% surcharge. I saw that in a credit union newsletter, but haven't noticed it on any receipts. This seems a pivotal change in policy... is it being implemented widely yet?

I can't blame them, but I would like a bit more warning that I must switch from paying with a rewards based credit card to a debit card... 4% is a lot.
Allowed but not widespread yet. Stores would need to clearly display the
adder for a charged purchase. Even though my state doesn't permit a
surcharge, it's common for gas station to show a 2% discount for cash.
(But it's not a card 'surcharge') My card offers 3% back for gas, so
I've stuck with it.
 
A

Alan

Apparently in 40 states as of Jan 27 2013, retailers can charge up to a 4% surcharge. I saw that in a credit union newsletter, but haven't noticed it on any receipts. This seems a pivotal change in policy... is it being implemented widely yet?

I can't blame them, but I would like a bit more warning that I must switch from paying with a rewards based credit card to a debit card... 4% is a lot.
You can find info on this at:
http://www.lowcards.com/?s=surcharge&v=post&submit=Search

Which states ban it. Which states are planning to ban it. Which
companies say they will not implement it.
 
J

Jack Ryan

Apparently in 40 states as of Jan 27 2013,
retailers can charge up to a 4% surcharge.
Whether the law allows or disallows credit card surcharges by the
merchant, it makes little difference because there is already
contractual ban on merchants surcharging the use of credit cards, if
they accept mastercard, visa, american express, or discovercard.

Some merchants ignore the merchant contract, and surcharge anyway.
Often they do this if a min purchase price is not met. It is against
their contract, and you can report it to visa, mc, amex, or discover
if you catch them doing it. But they tend to get away with it because
the credit card companies do not enforce the contract.

If a merchant wants to get around that, they are permitted to have a
lower cash price, but it cannot be advertized as a discount on
everything with one sign. IIRC, they must mark a separate cash price
on each item that has the cash discount. That's not law, just what's
in the visa merchant agreement.
 
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P

Pico Rico

Jack Ryan said:
Whether the law allows or disallows credit card surcharges by the
merchant, it makes little difference because there is already
contractual ban on merchants surcharging the use of credit cards, if
they accept mastercard, visa, american express, or discovercard.
I think the was done away with recently, by an antitrust lawsuit if I
remember right.
 

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