Q: Merchant Surcharging – Understanding Payment Card Changes

YesBoss
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What is a Surcharge?A payment card surcharge is a fee that a retailer adds to the cost of a purchase when a customer uses a payment card.Changes to Surcharging Fees in the United StatesBeginning January 27, 2013, merchants in the United States and U.S. Territories will be permitted to impose a surcharge on consumers when they use a credit card. 

Historically Visa has not permitted retailer surcharging, but allowing surcharging was a key provision required by merchants to settle long-standing litigation brought by a class of retailers in 2005. What This Means for Consumers
  • Consumers will pay an additional fee when they use their credit card at retailers that decide to surcharge.
  • Consumers should be aware there are limits to the amount merchants can surcharge. *
  • Retailers are permitted to apply a surcharge to only credit card purchases and cannot impose a surcharge for purchases made using a debit or prepaid card.
  • If retailers intend to impose a surcharge on credit card purchases, they are required to notify customers before customers make an actual purchase at the store entrance and at the point of sale – or in an online environment, on the first page that references credit card brands.
  • Retailers must disclose surcharge fees on every receipt â€“ both in store and online. Carefully review receipts where checkout fees should appear.

More Info
http://usa.visa.com/personal/using_visa/checkout_fees/index.html
YesBoss posted Jan 26, 2013
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1 Comment
dealwagger
I have heard of this, and it makes a lot of sense to me from the business's POV, although I also read that a lot of retailers might be hesitant to do it because of customer backlash. We'll see how this goes, if it ends up being widespread I will probably keep more cash on hand myself.
dealwagger (rep: 10.2k) posted Jan 26, 2013
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