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Steezy
So I attend a college where they allow you to pay with credit...

I always thought it sucked that I couldn't put my tuition on credit because they charge a 2.75% fee for using credit... Here is the exact wording from the website

"Payment by credit/debit card is only possible via the web. NOTE: Beginning August 1, 2005, all credit/debit card transactions will be assessed a 2.75% convenience fee. Also, the university will no longer accept VISA but will begin accepting American Express."

So I was just reading a thread here that said this is illegal...
http://creditboards.com/forums/index.php?s...t&p=3759595

...Which prompted me to google search the legality of this issue, which lead me to this article -
http://www.bustachange.com/charging-you-to...ard-is-illegal/

What do you think?

I know a lot of people who go to this university... I could get A LOT of people to complain within a matter of days.

How would I go about reporting my university?
firefighter 161
They are going to get away with this because they make you do it online and I guarantee you they will have "a third party" handling it.

My water, cable, and electric company all do this, they use a 3rd party that charges you for "processing the payment" for you but i am positive they are sharing the fee, its a loop hole that should be closed.

My cable company even installed a nice ATM looking machine in the lobby where you can make credit card payments, but it has some type of disclaimer on it that its "operated by a 3rd party payment processing blah blah blah, there will be a fee blah blah blah" I would complain except if you go to the water or electric company and try to pay with a credit card they give you a slip of paper with there website and an 1-800 number....
GEORGE
QUOTE (Steezy @ Jun 14 2009, 06:40 PM) *
So I attend a college where they allow you to pay with credit...

I always thought it sucked that I couldn't put my tuition on credit because they charge a 2.75% fee for using credit... Here is the exact wording from the website

"Payment by credit/debit card is only possible via the web. NOTE: Beginning August 1, 2005, all credit/debit card transactions will be assessed a 2.75% convenience fee. Also, the university will no longer accept VISA but will begin accepting American Express."

So I was just reading a thread here that said this is illegal...
http://creditboards.com/forums/index.php?s...t&p=3759595

...Which prompted me to google search the legality of this issue, which lead me to this article -
http://www.bustachange.com/charging-you-to...ard-is-illegal/

What do you think?

I know a lot of people who go to this university... I could get A LOT of people to complain within a matter of days.

How would I go about reporting my university?

It is a 3rd party fee

IT IS LEGAL SAD TO SAY (and no credit card violation)
nothingtolose
QUOTE (Steezy @ Jun 14 2009, 08:40 PM) *
So I attend a college where they allow you to pay with credit...

I always thought it sucked that I couldn't put my tuition on credit because they charge a 2.75% fee for using credit... Here is the exact wording from the website

"Payment by credit/debit card is only possible via the web. NOTE: Beginning August 1, 2005, all credit/debit card transactions will be assessed a 2.75% convenience fee. Also, the university will no longer accept VISA but will begin accepting American Express."

So I was just reading a thread here that said this is illegal...
http://creditboards.com/forums/index.php?s...t&p=3759595

...Which prompted me to google search the legality of this issue, which lead me to this article -
http://www.bustachange.com/charging-you-to...ard-is-illegal/

What do you think?

I know a lot of people who go to this university... I could get A LOT of people to complain within a matter of days.

How would I go about reporting my university?


It's a convenience fee, it is legal and permitted by the merchant agreement AFAIK.

In general, for reporting merchant CC usage surcharges and other violations, I'd check out this thread http://creditboards.com/forums/index.php?showtopic=379305
GEORGE
QUOTE (nothingtolose @ Jun 14 2009, 06:57 PM) *
QUOTE (Steezy @ Jun 14 2009, 08:40 PM) *
So I attend a college where they allow you to pay with credit...

I always thought it sucked that I couldn't put my tuition on credit because they charge a 2.75% fee for using credit... Here is the exact wording from the website

"Payment by credit/debit card is only possible via the web. NOTE: Beginning August 1, 2005, all credit/debit card transactions will be assessed a 2.75% convenience fee. Also, the university will no longer accept VISA but will begin accepting American Express."

So I was just reading a thread here that said this is illegal...
http://creditboards.com/forums/index.php?s...t&p=3759595

...Which prompted me to google search the legality of this issue, which lead me to this article -
http://www.bustachange.com/charging-you-to...ard-is-illegal/

What do you think?

I know a lot of people who go to this university... I could get A LOT of people to complain within a matter of days.

How would I go about reporting my university?


It's a convenience fee, it is legal and permitted by the merchant agreement AFAIK.

In general, for reporting merchant CC usage surcharges and other violations, I'd check out this thread http://creditboards.com/forums/index.php?showtopic=379305

I always get a laugh out of that word

rofl.gif

No convience for me to pay a HIGHER price to use my credit card
improper_validation
What state? It may be illegal due to a state law.
GEORGE
QUOTE (wcnghj @ Jun 14 2009, 07:16 PM) *
What state? It may be illegal due to a state law.

DOUBT IT sorry to say
improper_validation
QUOTE (GEORGE @ Jun 14 2009, 09:19 PM) *
QUOTE (wcnghj @ Jun 14 2009, 07:16 PM) *
What state? It may be illegal due to a state law.

DOUBT IT sorry to say


Actually...

QUOTE
MAINE POSSESSES A "NO SURCHARGE RULE" FOR CONSUMER PURCHASES

"No seller...may impose a surcharge on a cardholder who elects to use a credit card in lieu of payment by cash, check or similar means."

Statute: Maine Rev. Stat. Ann. tit. 9-A, § 8-303(2) (See also id. § 8-103 (definitions and rules of construction))
ALSO
QUOTE
The states of Colorado, Maine, Massachusetts and Oklahoma additionally require that the cash discount be clearly and conspicuously disclosed to customers.


I recently reported a place and got instant results.

http://www.maine.gov/pfr/consumercredit/index.shtml
nothingtolose
QUOTE (wcnghj @ Jun 14 2009, 09:26 PM) *
QUOTE (GEORGE @ Jun 14 2009, 09:19 PM) *
QUOTE (wcnghj @ Jun 14 2009, 07:16 PM) *
What state? It may be illegal due to a state law.

DOUBT IT sorry to say


Actually...

QUOTE
MAINE POSSESSES A "NO SURCHARGE RULE" FOR CONSUMER PURCHASES

"No seller...may impose a surcharge on a cardholder who elects to use a credit card in lieu of payment by cash, check or similar means."

Statute: Maine Rev. Stat. Ann. tit. 9-A, § 8-303(2) (See also id. § 8-103 (definitions and rules of construction))
ALSO
QUOTE
The states of Colorado, Maine, Massachusetts and Oklahoma additionally require that the cash discount be clearly and conspicuously disclosed to customers.


I recently reported a place and got instant results.

http://www.maine.gov/pfr/consumercredit/index.shtml


AFAIK the merchant itself cannot do it, but if a third party processor is used by the merchant to accept CC pmts, then it's a convenience fee, which is permitted, I am not 100% certain on this though
firefighter 161
QUOTE (wcnghj @ Jun 14 2009, 09:26 PM) *
QUOTE (GEORGE @ Jun 14 2009, 09:19 PM) *
QUOTE (wcnghj @ Jun 14 2009, 07:16 PM) *
What state? It may be illegal due to a state law.

DOUBT IT sorry to say


Actually...

QUOTE
MAINE POSSESSES A "NO SURCHARGE RULE" FOR CONSUMER PURCHASES

"No seller...may impose a surcharge on a cardholder who elects to use a credit card in lieu of payment by cash, check or similar means."

Statute: Maine Rev. Stat. Ann. tit. 9-A, § 8-303(2) (See also id. § 8-103 (definitions and rules of construction))
ALSO
QUOTE
The states of Colorado, Maine, Massachusetts and Oklahoma additionally require that the cash discount be clearly and conspicuously disclosed to customers.


I recently reported a place and got instant results.

http://www.maine.gov/pfr/consumercredit/index.shtml



I think your missing the key element here... "Third Party"

They will hire some "Web Bill Payer, LLC" to process the payment...the "merchant/seller" will not actually be charging you a surcharge...the "third party" who is processing the payment will be.

Legally, you will pay "Web Bill Payer, LLC" who will then pay "State/Public/Private University" on your behalf...

It's a loop hole... and I personally think they "share" in the convenience fee or have some kind of other underhanded agreement that makes it profitable to use this 3rd party loop hole.

My electric company is a large publicly traded fortune 200 company, believe me if this loop hole wasn't legal there would be multi-million dollar class actions...
GEORGE
QUOTE (wcnghj @ Jun 14 2009, 07:26 PM) *
QUOTE (GEORGE @ Jun 14 2009, 09:19 PM) *
QUOTE (wcnghj @ Jun 14 2009, 07:16 PM) *
What state? It may be illegal due to a state law.

DOUBT IT sorry to say


Actually...

QUOTE
MAINE POSSESSES A "NO SURCHARGE RULE" FOR CONSUMER PURCHASES

"No seller...may impose a surcharge on a cardholder who elects to use a credit card in lieu of payment by cash, check or similar means."

Statute: Maine Rev. Stat. Ann. tit. 9-A, § 8-303(2) (See also id. § 8-103 (definitions and rules of construction))
ALSO
QUOTE
The states of Colorado, Maine, Massachusetts and Oklahoma additionally require that the cash discount be clearly and conspicuously disclosed to customers.


I recently reported a place and got instant results.

http://www.maine.gov/pfr/consumercredit/index.shtml

TELL THAT TO THE 3rd PARTY PROCESSORS
GEORGE
THE CITY SEWER SYSTEM WENT TO A 3rd PARTY PROCESSOR

I would now have to pay a fee to use my credit card

They said they didn't charge a fee before they just rolled it into the total cost for the service

So people who wrote a check or paid cash at the office paid more (or CHECK by mail)

Now they only charge people who use the 3rd party

Trouble is the price for the "SERVICE" went up $6 or $7 (I THINK) this month

rolleyes.gif

GAS COMPANY 3rd PARTY PROCESSOR ALSO
breeze
Moving to the VISA M/C forum.
Steezy
The university is in Oklahoma...

Could someone explain this "state law" thing further???

QUOTE (wcnghj @ Jun 14 2009, 08:26 PM) *
QUOTE (GEORGE @ Jun 14 2009, 09:19 PM) *
QUOTE (wcnghj @ Jun 14 2009, 07:16 PM) *
What state? It may be illegal due to a state law.

DOUBT IT sorry to say


Actually...

QUOTE
MAINE POSSESSES A "NO SURCHARGE RULE" FOR CONSUMER PURCHASES

"No seller...may impose a surcharge on a cardholder who elects to use a credit card in lieu of payment by cash, check or similar means."

Statute: Maine Rev. Stat. Ann. tit. 9-A, § 8-303(2) (See also id. § 8-103 (definitions and rules of construction))
ALSO
QUOTE
The states of Colorado, Maine, Massachusetts and Oklahoma additionally require that the cash discount be clearly and conspicuously disclosed to customers.


I recently reported a place and got instant results.

http://www.maine.gov/pfr/consumercredit/index.shtml


EDIT: Should have posted in the policies forum... Thanks for the move.
Uncle Leo
Yes, the difference here is "third party". You're not really paying your tuition... you're paying somebody to act as a middleman and pay your tuition for you.
webworm98
Well explain this George and Uncle Leo.

News

It is still a third party. Visa said no surcharges.

What gets me is it a government agency and they are allowed to do a surcharge.
centex
The other thing here is that government agencies (ie. state university) are usually excepted from the surcharge requirement because of the fact that they cannot discount the costs of the tuition to absorb the fee...as such, the fee is proscribed in law as being permissible to assess to the payer.
GEORGE
IT IS ALWAYS THAT CREDIT CARD FEE...
=====================
IT IS NEVER THE...

WATER
SEWER
TRASH
GAS
ELECTRIC
PHONE


How does anybody ever afford to be in business???

(even a state tax collectors office)
=================================
Next time you renew your license tag or buy a fishing license at the Brevard County Tax Collector's office, better take a MasterCard, American Express or Discovery Card. Or a check or cash.

DISCOVERY CHANNEL IS ISSUING A CREDIT CARD NOW
ohmy.gif

Not the first time I have seen that
GEORGE
The point is...the "GOVERNMENT" can't pay the fee

Although they pay...

WATER
SEWER
TRASH
PHONE
ELECTRIC
GAS


VISA/MC/AMEX/DISCOVER won't process with-out any fee paid by somebody
Uncle Leo
QUOTE (centex @ Jun 15 2009, 11:05 AM) *
The other thing here is that government agencies (ie. state university) are usually excepted from the surcharge requirement because of the fact that they cannot discount the costs of the tuition to absorb the fee...as such, the fee is proscribed in law as being permissible to assess to the payer.


Yep. good.gif

G-ment routinely exempts themselves from many things.
GEORGE
You can pay your 1040 TAXES on a credit card...BUT THE IRS IS NOT GOING TO PAY THE FEE
improper_validation
QUOTE (firefighter 161 @ Jun 14 2009, 09:42 PM) *
QUOTE (wcnghj @ Jun 14 2009, 09:26 PM) *
QUOTE (GEORGE @ Jun 14 2009, 09:19 PM) *
QUOTE (wcnghj @ Jun 14 2009, 07:16 PM) *
What state? It may be illegal due to a state law.

DOUBT IT sorry to say


Actually...

QUOTE
MAINE POSSESSES A "NO SURCHARGE RULE" FOR CONSUMER PURCHASES

"No seller...may impose a surcharge on a cardholder who elects to use a credit card in lieu of payment by cash, check or similar means."

Statute: Maine Rev. Stat. Ann. tit. 9-A, § 8-303(2) (See also id. § 8-103 (definitions and rules of construction))
ALSO
QUOTE
The states of Colorado, Maine, Massachusetts and Oklahoma additionally require that the cash discount be clearly and conspicuously disclosed to customers.


I recently reported a place and got instant results.

http://www.maine.gov/pfr/consumercredit/index.shtml



I think your missing the key element here... "Third Party"

They will hire some "Web Bill Payer, LLC" to process the payment...the "merchant/seller" will not actually be charging you a surcharge...the "third party" who is processing the payment will be.

Legally, you will pay "Web Bill Payer, LLC" who will then pay "State/Public/Private University" on your behalf...

It's a loop hole... and I personally think they "share" in the convenience fee or have some kind of other underhanded agreement that makes it profitable to use this 3rd party loop hole.

My electric company is a large publicly traded fortune 200 company, believe me if this loop hole wasn't legal there would be multi-million dollar class actions...


Exactly the case, the third party tuition management was charging the fee.

It stopped.

I'll PM you the letters that stopped it in under a week.

EDIT- I have proof they profited off it aswell.
improper_validation
"FACTS" is the payment company/processor. FACTS was charging a fee, the state department who regulates this had a problem with it(it violated state law) so they did something about it.



GEORGE
QUOTE (wcnghj @ Jun 24 2009, 08:03 PM) *
"FACTS" is the payment company/processor. FACTS was charging a fee, the state department who regulates this had a problem with it(it violated state law) so they did something about it.


So...starting next AUGUST/SEPTEMBER they will just no longer accept plastic dntknw.gif

That is what some businesses have done when they got caught having a minimum charge amount or charging a fee to take the card
improper_validation
QUOTE (GEORGE @ Jun 25 2009, 10:47 AM) *
QUOTE (wcnghj @ Jun 24 2009, 08:03 PM) *
"FACTS" is the payment company/processor. FACTS was charging a fee, the state department who regulates this had a problem with it(it violated state law) so they did something about it.


So...starting next AUGUST/SEPTEMBER they will just no longer accept plastic dntknw.gif

That is what some businesses have done when they got caught having a minimum charge amount or charging a fee to take the card


Nah, they'll still accept it.

They have accepted it the last 10 years without a fee and they switched to FACTS just this year. They were saying the fee was a valuable option for them.
Uncle Leo
QUOTE (GEORGE @ Jun 25 2009, 09:47 AM) *
So...starting next AUGUST/SEPTEMBER they will just no longer accept plastic dntknw.gif

That is what some businesses have done when they got caught having a minimum charge amount or charging a fee to take the card

That's what you advocate... if they don't want to pay the fee, don't take plastic.

webworm98
In Indiana are laws actually allows surcharge for Utilities, Taxes and other government fees, when using a credit or debit card.
improper_validation
QUOTE (webworm98 @ Jun 25 2009, 04:36 PM) *
In Indiana are laws actually allows surcharge for Utilities, Taxes and other government fees, when using a credit or debit card.


My state allows just for Governmental things.

Utilities? PLEASE $3 too much to loose on $100? Wouldn't they rather have people pay on time?
GEORGE
QUOTE (wcnghj @ Jun 25 2009, 04:39 PM) *
QUOTE (webworm98 @ Jun 25 2009, 04:36 PM) *
In Indiana are laws actually allows surcharge for Utilities, Taxes and other government fees, when using a credit or debit card.


My state allows just for Governmental things.

Utilities? PLEASE $3 too much to loose on $100? Wouldn't they rather have people pay on time?

I bet they pay more than $3 for a bounced check fee
centex
QUOTE (wcnghj @ Jun 25 2009, 05:39 PM) *
QUOTE (webworm98 @ Jun 25 2009, 04:36 PM) *
In Indiana are laws actually allows surcharge for Utilities, Taxes and other government fees, when using a credit or debit card.


My state allows just for Governmental things.

Utilities? PLEASE $3 too much to loose on $100? Wouldn't they rather have people pay on time?


In some areas of the Country, utilities ARE operated by the government...
cljohnr
QUOTE (wcnghj @ Jun 25 2009, 06:39 PM) *
QUOTE (webworm98 @ Jun 25 2009, 04:36 PM) *
In Indiana are laws actually allows surcharge for Utilities, Taxes and other government fees, when using a credit or debit card.
My state allows just for Governmental things.

Utilities? PLEASE $3 too much to loose on $100? Wouldn't they rather have people pay on time?

Public universities are governmental things.
improper_validation
QUOTE (cljohnr @ Jun 26 2009, 07:28 PM) *
QUOTE (wcnghj @ Jun 25 2009, 06:39 PM) *
QUOTE (webworm98 @ Jun 25 2009, 04:36 PM) *
In Indiana are laws actually allows surcharge for Utilities, Taxes and other government fees, when using a credit or debit card.
My state allows just for Governmental things.

Utilities? PLEASE $3 too much to loose on $100? Wouldn't they rather have people pay on time?

Public universities are governmental things.


Not a university, a High School. Public, but requires acceptance.


QUOTE
Notwithstanding subsection 2, a governmental entity may impose a surcharge for payments made with a credit card or debit card for taxes, fines, charges, utility fees, regulatory fees, license or permit fees or the provision of a specific service provided by that governmental entity if the surcharge:
A. Is disclosed clearly to the consumer prior to payment; and
B. Does not exceed the costs associated with providing the credit card or debit card service that are directly incurred by the governmental entity or assessed by an authorized 3rd-party payment service provider for a credit card or debit card transaction. If there is not a cost assessed by an authorized 3rd-party payment service provider for a debit card transaction, the governmental entity may not impose a surcharge associated with a debit card transaction.

A governmental entity shall disclose to the consumer that the surcharge may be avoided if the consumer makes payments by cash, check or other means not a credit card or debit card. A governmental entity is not subject to any liability to the issuer of a credit card or an authorized 3rd-party payment service provider for nonpayment of credit card charges by the consumer. As used in this subsection, "governmental entity" means a county established or governed by Title 30-A, Part 1, a municipality as defined in Title 30-A, section 2001, subsection 8, a quasi-municipal corporation as defined in Title 30-A, section 2604, subsection 3 or the Judicial Department as described in Title 4.
GEORGE
QUOTE (GEORGE @ Jun 25 2009, 06:24 PM) *
QUOTE (wcnghj @ Jun 25 2009, 04:39 PM) *
QUOTE (webworm98 @ Jun 25 2009, 04:36 PM) *
In Indiana are laws actually allows surcharge for Utilities, Taxes and other government fees, when using a credit or debit card.


My state allows just for Governmental things.

Utilities? PLEASE $3 too much to loose on $100? Wouldn't they rather have people pay on time?

I bet they pay more than $3 for a bounced check fee

I WONDER IF THEIR DEPOSIT BANK "BOUNCES" CHECKS FREE OF CHARGE

That CREDIT CARD FEE is going to kill the bottom line...I suppose the bounced check fee would too (since it is HIGHER)...I ASSUME
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