What is America coming to? CC surcharge will be permitted starting 27 Jan 2013

[Need More RWHP]

Credit cardholders must be on the watch for new check-out fees that merchants will be able to impose starting in January under a class-action settlement with Visa Inc. V -0.50% and MasterCard Inc., MA -0.98% a consumer advocate and card-industry group are warning....

http://online.wsj.com/article/SB10001424127887323981504578179412019676522.html

 

http://usa.visa.com/personal/using_visa/checkout_fees/index.html

 

It should be noted that surcharges are prohibited by state law in the states of:

CA, CO, CT, FL, KS, ME, MA, NY, OK and TX as well as outside the United States unless there is a local law or variance that requires merchants be permitted to engage in the practice.

 

This could mean added penalty to credit card customer up to 4%.

http://usa.visa.com/download/merchants/merchant-category-definitions-credit-card-cost-to-acquirers.pdf

 

VISA's site says the store must display the surcharge at point-of-entry as well as check out, conspicuously. I'm not sure if this is a legal requirement as well, but for smaller merchants that do not display the signage at entry point, you can respond by bringing an assortment of ice cream and other perishables to counter during a busy time and say or wait until your food is prepared then say "oh well, I don't want it anymore, you didn't tell me about the fee until I got to the register, have a nice day" when confronted with surcharge at the counter, and by then, you have cost the store far more than the surcharge. If the store hid the surcharge until you get to the check-out, its perfectly legitimate to change your mind at the check-out.

[breeze]

Not worth the effort just to be a pita.

[Cactus Flower]

I see only small mom & pop businesses doing this, but we may soon see it at the gas pumps (where they claim to make a really low or no profit anyhow).

 

cash may soon become king again.

[Guest]

http://creditboards.com/forums/index.php?showtopic=504406

 

It should be noted that surcharges are prohibited by state law in the states of:

CA, CO, CT, FL, KS, ME, MA, NY, OK and TX as well as outside the United States unless there is a local law or variance that requires merchants be permitted to engage in the practice.

 

I am new to Massachusetts, but I can see this becoming my home, and I really do love some of the protections/services they offer here. And I have lived in at least three other states.

[Cosmos Human]

I was told that since AMEX refuses to do the "surchage", any merchant that accepts AMEX could not "surcharge" any MC or VISA. Is this true?

[groze]

I was told that since AMEX refuses to do the "surchage", any merchant that accepts AMEX could not "surcharge" any MC or VISA. Is this true?

 

 

Possibly. I heard something on the news about this, they were not totally clear. What I got from the report, they still can but the surchage would have to be less.

 

I don't see any merchant doing surchages execept maybe ALDI's, however if you shop at ALDI's with a credit card , the credit card companies may CLD you.

Edited January 30, 2013 by groze

[Cosmos Human]

I shop at Aldi a lot. They only take cash, debit cards, or food stamps. One time by accident I ran a CC through the machine and it was rejected. They have that good german chocolate. I like many products. Their produce and meat...not so much.

[groze]

I shop at Aldi a lot. They only take cash, debit cards, or food stamps. One time by accident I ran a CC through the machine and it was rejected. They have that good german chocolate. I like many products. Their produce and meat...not so much.

 

I know Aldi's don't take credit cards. I wonder if more places will take credit card, knowing that they can do surcharges.

[catnap1972]

Has anyone run into an establishment that actually HAS added a surcharge yet?

[FlyingRon]

I'm not that desperate for ground horse meat that I need to frequent the local Aldi.

[swingline]

I'm not sure if this is a legal requirement as well, but for smaller merchants that do not display the signage at entry point, you can respond by bringing an assortment of ice cream and other perishables to counter during a busy time and say or wait until your food is prepared then say "oh well, I don't want it anymore, you didn't tell me about the fee until I got to the register, have a nice day" when confronted with surcharge at the counter, and by then, you have cost the store far more than the surcharge. If the store hid the surcharge until you get to the check-out, its perfectly legitimate to change your mind at the check-out.

 

I've always thought this would be an effective message to the Walmarts that have 50 check out lanes and only 3 open.

[CG in TX]

Not worth the effort just to be a pita.

Very true...there are much less effortless ways to be a pita...I know most of them

[RedHairedLady]

Not worth the effort just to be a pita.

Agreed. The low level employees making minimum wage are the ones who will get stuck putting all that stuff away, not the management, or the store owners.

[RedHairedLady]

I'm not that desperate for ground horse meat that I need to frequent the local Aldi.

I guess I must be desperate, because I like Aldi. I've never had a problem with any food I've bought from there.