A WTF eye opener

[Z-man]

Originally Posted by svandamme

A debit card here is like cash, different from a credit card, no charges whatsoever.
Merchants prefer it cause you can't rob a store if the store does most. Transactions electronically...

I rarely have cash on me

However, most banks will charge you $$ for using their debit card for transactions other than withdrawing $$ from their own ATM machines.

Ya just can't win!

Originally Posted by island911

Is it a cash discount . . . or a CC additional expense? --perspective.

For resellers, there is not only the percentage of sale taken by the CC/bank, but a whole lot of expense in maintaining the CC equipment.

But CC users really shouldn't have to pay for any of that.

I really don't think CC users should pay for the additional expense a business has due to credit card sales. It is called the cost of doing business. I don't carry a lot of cash around, and thus most of my purchases are via credit card. So if a business wants me to buy their stuff, don't over-charge me for using a cc instead of cash!

-Z

[svandamme]

Originally Posted by Z-man

However, most banks will charge you $$ for using their debit card for transactions other than withdrawing $$ from their own ATM machines.

Ya just can't win!

Not in Europe... no charges on my regular bank , debet card..
I pay an anual fee and that's it.

I can go to the ATM of any bank, as long as it's on the street not indoors( most are on the street) , i don't pay any charge on the transaction.
I think it's an EU regulation of sorts ...
I can wire money to any EU state, no charges on the transaction and they have to get te money there within 4 days or so.. usually it's there within 2-3 days.

Unlike you guys, we almost entirely did away with cheques over 20 years ago, it's all on the card here.

[wdfifteen]

Originally Posted by Z-man

I really don't think CC users should pay for the additional expense a business has due to credit card sales. It is called the cost of doing business. I don't carry a lot of cash around, and thus most of my purchases are via credit card. So if a business wants me to buy their stuff, don't over-charge me for using a cc instead of cash! -Z

WHO is being overcharged? Cash customers cost them less. If the vendor raises his price to everyone in order to cover the cost of his credit card customers I think the cash customers are the ones being overcharged.

[island911]

Originally Posted by Z-man

...

I really don't think CC users should pay for the additional expense a business has due to credit card sales. It is called the cost of doing business. ...

-Z

Is the cost of the delivery of the fuel called "the cost of doing business?" --yeah, that's wrapped into the price too.

Grocery stores, more and more, are charging for carry-out bags. You can (rightfully) call that "the cost of doing business" And say; "I don't carry bags around with me... If they don't provide free bags (read wrapped in the retail price) they wont get my business." - yet that really hasn't slowed the progression of bag fees.

You can point to any of these type of fees as petty, and I would agree to a point. But really, it is the prerogative of the business owner to decide on the terms/cost, and the buyer can take it or leave it.

Personally, I like having the the choice. That is, the stations that don't outright charge CC users, have one option for everyone -- pay more.

[island911]

I will add that an up-charge of 22-25% (in the OP) is ridiculous for CC transaction fee.

That station owner must be really hating on banks for some reason.

[Reg]

Z
Most businesses add in the CC fee to the price and collect it on everyone, regardless of how they pay. If they pay with cash or debit the bonus is to them - not the consumer.

[notmytarga]

My worries about having cash in my wallet stopped the day In N Out started taking credit cards - usually without signature. Swift and easy.
I avoid places that charge for debit card use, even though it is less expensive and the fee is only $0.35. The 25% markup is ridiculous.

[TimT]

A little follow up from this end.

The local paper had an article the other day regarding gas prices and gas pricing strategies..

Apparently in NYS there is nothing illegal with what the gas stations are doing..

They advertise that a gallon of gas costs $x if you pay with credit card it is $x+$1

The gas retailers claim that the gas costs $x+$1

And they are giving you a discount selling you gas for cash at $x

[rrental]

I don't charge extra for using a CC, but I am for sure more willing to give a better deal if you pay with a debit card I will not take Amex. For small businesses using a CC will cost us between 2-3% of our sales. Debit is a flat fee of $ 0.25ct here.

And most people get a discount using their CC. It true a backdoor called miles, cashback, etc..

[Racerbvd]

Originally Posted by TimT

I needed gas..... and saw a sign at a gas station $3.99 for premium (my DD is a Subie WRX)

So I pulled in to fuel up thinking the Debit/Credit penalty at the pump would be the usual 5-10 cent premium

Not at this station

They charge a 90 cent/gal premium for using a card....

My tow vehicle has a 38 gallon tank.

This is a major gas retailer..... not a fly by night operation....

If I used a debit card.. the fee for using the card would be $34.2 to fill my truck...

A new definition of highway robery

OUCH!!! What part of NY??

[TimT]

OUCH!!! What part of NY??

Lawn Guyland...

funny thing.... this station has the lowest cash prices, and while I filled up today I saw people using credit/debit cards...

[JAR0023]

Originally Posted by svandamme

A debit card here is like cash, different from a credit card, no charges whatsoever.
Merchants prefer it cause you can't rob a store if the store does most. Transactions electronically...

I rarely have cash on me

I see this alot around here. Lots of places will ask me if Debit is OK. I tend to shop local so it's mom & pop type places. If I can increase their profit without increasing my cost, fine by me. Even better was when I found out my favorite gun store extends their "cash price" discount to debit cards.

J

[john70t]

On a $4/gallon sale, the independant station may be able to make a profit of 15 cents at best.
Unless they are in prime location, their profit margin is slim.

When credit card companies take 1/3rd of that (doing nothing but process the P.O.S. electronically), you see this behaviour.

[bkreigsr]

I got a nice surprise at Sunoco last time I filled up with the 93 octane.
There was a credit on the receipt for the difference between cash and credit for using their company card. Bill K -
....... still cost me around 80 bucks at 4.79/gal - (Holmdel NJ)

[TimT]

Same gas station... This guys pricing strategy confuses me..

Premium is 4 cents less than Mid-Grade?

My car requires premium...

This station is along a service road for a major highway.. there are two other stations next to it.... Each of the other stations is on average 30 cents more/gallon than this place.. Leads me to think people don't read the posted prices very closely.

[bkreigsr]

" sorry - we're out of premium"