Is it legal for a retail store to add a surcharge or fee if you use a credit or debit card?
Dec 30, 2009
in
Credit Card Machines
I have noticed lately stores charging a surcharge or flat fee if the customer uses a credit or debit card. this fee is added on to the total charge entered into the credit/debit card machine so it shows up as one single charge.
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7 comments
Paul Ding on December 30, 2009 at 9:31 am
In the US, it’s a violation of the merchant contract for a MasterCard, Visa, or Discover merchant to charge customers more for the use of the card.
However, it’s legal for them to give a *discount* for paying cash.
In some places outside the US, including Mumbai, such a surcharge is legal.
Peggy K on December 30, 2009 at 9:31 am
Just be glad they aren’t charging per breath of air.
Most stores put a "hold" on a debit purchase, too. Sometimes it’s as much as $25 or $30 in excess of the actual purchase, and the hold isn’t released until the purchase actually clears the bank.
wuddy12 on December 30, 2009 at 9:31 am
Yes. The store that you are buying from is trying to compensate for the transaction. They get charged for every card that is swiped through that machine. That’s why most like cash.
stan c on December 30, 2009 at 9:31 am
As told , it is illegal for the merchant to add add’l fees. Call your credit card company and file a complaint.
Renee W on December 30, 2009 at 9:31 am
Unfortunately yes, this is legal. Our local Dry clean store surcharges your credit or debit card $5 if your total is under $15. This is just a way for them to make more money. Kind of like a credit card company charging you finance charge, it’s just another way for them to make their money.
Tricia3 on December 30, 2009 at 9:31 am
Yes, unfortunately in a free market they can charge whatever they want as a private retail business fee. Many have been doing it for years, EG. ARCO Gas stations (talk about inconvenience).
jessica s on December 30, 2009 at 9:31 am
well to me i think it is not fair if they are takin money from you more than your purchase is the credit card place charges you for having it so the shouldnt charge anyone. Unless the are using debit an want money back.