You can now be charged extra for using a credit card

Closeup of a credit card

We may see some changes in the checkout line.

Retailers are now allowed to charge you extra if you pay with a credit card.

The question is, will they?

Last year, Visa, MasterCard and the big banks that issue their credit cards unexpectedly settled a 7-year-old lawsuit filed by the retail industry over swipe fees — the charges stores pay the banks to have a credit card transaction processed.

The settlement, whose terms took effect today, puts an end to rules that forbid stores from charging a fee for using a credit card.

You've never gone to a restaurant, whipped out a credit card and discovered an extra fee to cover the cost of processing the transaction.

Any business that tried such a thing would have violated the terms of its contract with Visa and MasterCard and been cut off from accepting credit cards for any purchases — something few merchants could afford to have happen.

But that doesn't mean you're not being charged for using that card.

Q&A: Checkout Fees

Question Answer
Will all businesses charge this fee? No. It's up to each merchant.
Where are these fees illegal? Checkout fees are outlawed in California, Colorado, Connecticut, Florida, Kansas, Maine, Massachusetts, New York, Oklahoma and Texas.
What can retailers charge? A fee equivalent to what they pay the processor, typically between 1.5% and 3% of the purchase.
How will I know if a business charges this fee? The retailer must provide "clear disclosure" at the store entrance, at the cash register, on their website if it's an online merchant and on the receipt.
Can the fee vary per credit card? Yes. You may be charged more to use rewards cards and premier cards, but the fee cannot be greater than what it costs the retailer to accept the cards.
Source: Consumer Action

The card processors charged merchants 1.5% to 3% of your bill to process a transaction. That adds up to about $23 billion a year, which the business passes on to you — even if you pay cash.

But now stores and restaurants will be free to charge you different prices based on how you choose to pay.

How many merchants might add a fee for using credit is unclear.

The National Retail Federation told The New York Times that its members aren't enthusiastic about charging customers.

And swipe fees can still be regulated by states.

The NRF points out that swipe fees are still illegal in 10 states and that national retailers with outlets in those 10 states can't apply surcharge fees anywhere.

We’ll be waiting to see who might be first and how they will explain the new charge.

Since the surcharge is already baked into the price of goods and services, will some lower their prices to accommodate a new fee?

And what about debit cards?

The settlement doesn’t deal with them, meaning these so-called checkout fees cannot be applied if you swipe a card tied to your checking account.

But retailers won their first big victory in their fight with the credit card industry when Congress ordered interchange fees on debit card purchases lowered as part of the Dodd-Frank financial overhaul act of 2010.

  • Mary S

    The cost of using credit cards is an operating expense and is built into the store's pricing. Any store that wants to charge extra for my card will no longer have my business.

  • DAVID

    Any store or company that charges me for using credit will not see me again.

  • http://comcast paul tarte sr.

    too many people use their credit, debit cards which slows everything down if your ready to pay with cash. this is annoying to us people who use mostly cash. but the stores or any one else shouldnt charge you for your transaction because they charge you to much any ways.

  • Di

    And I want to pay more for merchandise so you can use your credit card WHY??

  • Lisa Gravitte

    no, every store does NOT add money for credit cards. I thinkbeing able to charge the fee is a great idea. If you could say, look this transaction cost me $13. Would you like to save $13 and pay in cash? Instead of adding it on to every single transaction automatically.

  • Rose

    Ok charge me once and don't worry about me coming back, because I won't

  • paul tarte jr.

    my dad is a fool.

  • Rensi

    I don't even use ATM's, never have and never will. If a store is going to charge extra for using a credit card, I will not frequent that store anymore. Retailers have already built in their cost. I won't give them a profit by using my credit card with them if they charge a fee.

  • tina c

    If the credit card companies didn't charge the retailers up to 3% per transaction, the retailers would not be forced to pass the charge onto the consumer via increased pricing or an individual charge. Financial institutions are the ones that offer these types of services, ie:atm machines, debit/credit card transactions etc. to retailers and consumers. After time, they decide that they aren't making enough of a profit and that 'free' services are a luxury. The american public did not request these 'conveniences', which at this point are becoming nothing but 'inconvenient'!

  • http://www.comcast.net meghan

    The thing is over the years they introduce these new "items" ie checks, vice cash, then plastic vice cash and yes it is a "free" process THEN da-da-da-dum NOW it will cost you - you are forced to use a banks - can't get paid in cash or with a check anymore -- "its free" years late we charge you account management fees especially if you don't keep so much cash in the account. Then it is "free" credit cards which now cost you yearly fees and transaction fees and so on Then it is ATM cards no need to carry cash or checks use your ATM card - again "NOW its we want to charge you fees to use the card" - So why would you NOT EXPECT to be charged more for using Credit cards - By the way you pay fees to keep your money in and get your money out of the bank. Where do you get the cash to pay at the store with?? I have NO MAGIC CASH Machine! Do you?? The trick is to get you comfortable using the "FREE - no FEE" and then get Congress to pass the "we will charge you a fee for missing a payment even if you paid $27of the $29 that you owed. We will charge you as if you missed the entire payment -- missed payment fee of $25. (Discover did this to me for $2). They used to call that Loan Sharking but Congress made it legal. So in addition to the yearly fees, they can up your interest from 8% to 35% on a whim and they can charge you fees in excess of the high interest they are already charging. I don't use credit cards - I do use an ATM and cash and checks BUT I resist and AVOID all additional fees possible. I can't afford FEES.

  • Mike

    Gtting points on the credit card is the reasonn many of us use these cards to begin with. Bussiness charge an inflated rate on all merchandise in order to pay the card fees. If the bussiness lowers prices to reflect the new fee to the customers, it will be better for everyone, especially those that do not qualify for for cards. I will just start using cash and purchase at a lower cost. But, if the cost remains thwe same plus a fee, that company will lose a good customer.

  • http://charingforcreditshopping Sunshine T.

    I am not paying no one to shop in their stores!!!
    And to all the banks who let them do it. should protect
    the customers.Its just Highway Robbery. The Legal way!!

  • Rick

    Will this fee also apply to non-retail sales such as airline tickets, Hotel rooms, Iterenet and catalog sales?

  • larry

    there are many gas stations that already charge up to 5 cents more per a gallon for using a credit card. i don't buy there desel.

  • Mike

    Hey, Rick.. The airlines will be the first to start charging credit card fees.. Heck they charge for the,ticket, luggage, a soft drink, peanuts, and everything else seperately already.. Give them a way to do it they will charge you to breathe the air during flight.

  • Pigface

    I don't understand why the bank is charging a fee for the transaction. It's not like this is the 1970s/early 1980s when credit card transactions will still done primarily by humans with a credit card imprint machine. There was a lot more involved then in processing a credit card transaction. However with today's technology, these transactions are now completed by computers halfway around the world in seconds. The associated costs of processing these transactions has to be less then what it was 30 or 40 years ago.

  • PD

    To BB: Are you using a Debit Card or Credit Card daily? That does make a difference. If you are using a Credit Card daily, that should be enough to stop you. Check you APR rate on the card you use. How much are you paying? That's the problem. Do you pay off your card every month? Do you carry a balance on that card? That's a huge problem. Maybe you should look at these things before using that card again. Good luck.

  • jim w

    I will leave my purdhas at cash regester and walk out.

  • fiona

    Gas stations in CA have been charging extra (6-10 cents/gal) for use of credit cards, icluding ATM/debit cards for over a year. It's difficult to find a gas station that does not charge extra. Some stores also will not take a credit card unless the purchase is over a specific amount (varies among stores). Basically, we're screwed anyway you look at it. Not safe to carry large amounts of cash & soon you'll have no stores to shop at, if you want to avoid the fee. You know you will not get a cash discount. Everyone is scrambling for the dollar.

  • pat

    I remember the days when the gas stations charged more to the folks who paid for their gas with credit cards. I do not own nor use credit cards and I think the stores should charge the "swipe fees" to the people who use them. I am a cash and carry shopper only. It helps me rein in my spending when I have to shell out the actual money right then and there. Why should I pay extra for others to charge it. It is your option to use credit and if it costs more to use credit then you should pay for it, not me.

  • Martha

    As a former retailer I understand the idea behind this. Not only does the retail owner have to deal with other competitors pricing but the credit card companies were always thinking of new ways to get more money from us. If I sold something to a customer and they returned it I not only paid a fee when purchased but also when returned so I lost money.If your card wasn't readable and I had to manually punch your numbers in I was charged a dollar. Doesn't sound like much but just think with the billions of transactions what that adds up to. If your card pays rewards my fees paid for all those gift cards because I was charged more for rewards cards. Don't be mad at the retailer......ITS THE BANKS!!!!! PS..I left retailing and retired...too hard to make a living. And really...the way people are hooked on credit these days I doubt that all these threats to stop using them is a laugh and that my friends is what the banks wanted!!!

  • slecas@comcast.net

    I am thrilled! I have been wanting to get back in the habit of using cash for numerous reasons. It just seems a waste when one can earn reward points for using a credit card. Now I will be rewarded for using cash again and not have all of my personal information shared every time I make a purchase. I wonder if the price of items will drop if stores no longer need to cover the cost of credit card use on top of the expense of all the credit card theft that us consumers pay for one way or another.

  • Shan

    When researching for a credit card company for my business, I discovered there are very few companies that don't charge a monthly fee plus a % fee. I chose a company that was only going to charge me the swipe fee. I don't agree with it but I always make my customers aware of the cost up front and give them other pay options.

  • http://DAN-DSACOLLISION.COM DAN STENDEROWICZ

    I HAVE A SMALL BUSINESS AND CUSTOMERS USUALLLY CHARGE THEIR DEDUCTIBLES SO ON AVERAGE I LOSE 1 1/5 TO 3 %T PER TRANSACTION. WHY SHOULD I LOSE THAT MONEY AND THE BIG CORPS GAIN THEY ARE MAKING IT ON BOTH ENDS AND WHY AREN'T THERE LAWS TO REGULATE THIS

  • Shawn

    I would just like to input as a small business owner. Im not saying that i would charge a fee, but. Take for an example i have an item that cost me $2.50 i charge you $5.00 that gives me a profit of $2.50. The bank charges me $.10-.20 for every swipe of the card. Then 3% (.15) and a settlement fee .10. So That $2.50 profit went to $2.15. so would you rather pay the $.15 or have them take the $5.00 item and sell it for 7.50-10.00? Profit margins are tight for small business these days. That's not counting insurance heat electric payroll etc. It may not seem like much but it does add up. I have no plans of charging my customers a fee, but i do offer a cash discount. Most small businesses will.

  • Dan

    Most comments here are assuming that stores already build in the credit card fees. I have a small business and I do not build in these fees. Everything we sell is at the manufacturers suggested retail. Credit card fees are as much as $1000 per month for us. I would like to pass these fees onto the customer. This is a choice and a convenience for the customer. The laws state that these fees must be stated on signs in the stores, so it won't be a surprise at the last minute. I will wait to see if there are many retailers out there that pass these fees on before I make the decision to do so. Some of these fees are as high as 5% for some of the reward type cards. Rewards that the customer receives. I don't want to pay for your miles or cash rewards.

  • http://HTML Diane

    During 2012, Shell, Mobile, and several other gas stations was already charging a $1.00 fee per transaction. Unless you stop driving, you're stuck.

  • Liane

    Why is everyone down on the retailers when it's the banks we need to go after!

  • Ed Wintergrass

    This is ridiculous. Do the banks and retailers think the average person is stupid. We know that when a retailer takes our credit card that is instant money to the credit card company and that instant money is moved into a money making avenue. These credit card company's are making millions daily as it is. Retailers will lose my business the first time I am charged for using my credit card. lowering the price of a good is a joke. Who ever lowers prices.

  • Marc

    I understand passing along these fees only if they discount the product for cash. If they don't then a boycott of any business that doesn't offer that option is in order. In addition all the companies that don't should be lambasted on the internet.

  • http://gmail David Claudio

    Cash stations have been charging a fee for years 10cents per gallon.

  • jake roberts

    the gas stations in a. have been charging people .10 per gallon of gas for at least the last 18 months . this includes the self service ones are well as the regular station where they pump the gas for you

  • Jen

    It says that Connecticut is one of the states where it's illegal, but All the gas stations do it now, and have been. Higher price for Credit or Debit and Cheaper price for Cash.

  • http://comcast john Kiepler

    The best thing a retailer can do to boost their cash transactions is to offer a cash or debit card discount. I would take advantage of a 2% discount. If this started to become commonplace I'd use a debit card.
    Regards JPK

  • http://COMCAST CARLTON

    ARCO AM/PM has been doingthis for years. Now with their new fees, at most locations, you do not pay for using a debit card. But you pay extra with the cridit card....

  • Stan

    let's all file bankruptcy and start over

  • Mark

    Some gas stations in the northeast have been giving customers a "cash" discount for years. As a credit card user, I drive right past and find an alternative. Retailers should expect to loose some customers if that take that approach

  • Dr Schoen

    The notification should be upon entering the store, as well as at the cash register (what I have read suggests it could be at the register but not at the entrance), as I'd like to know BEFORE I go on.

  • SSS

    I thought our president had put a stop to all this b/s. Obviously just more political lies.

  • Patricia

    Well, this is just fine with me. I will not pay a fee to use a credit card if I can help it. I am a responsible card holder who pays my bill in full every month. It's a great convenience not to have to carry around large sums of cash. Perhaps we ought to go back to good old fashioned cash transactions. People will be more conscientious about spending. Let the business owners go to the bank to make their cash deposits every evening! That will cost them in time and gas.

  • Ron

    Charging card-swipe fees is outrageous. With enough strong public outcry will probably stop this nonsense.
    Besides, if the resturants start doing it, the customers will probably stop tipping the poor waitreses. They shouldn't have to be punished for it. I really can't get over this.

  • Robert Hunter

    Gas stations do this now. They charge up to 10 cents a gallon more if you use any credit card or debit card not issued by that company. How have they gotten away with this I wonder.

  • http://XfinityFinance Debbie

    Couple of thoughts. 1) They forced us to go plastic; it's cheaper they said; 2) now they want us to go back to cash, 3) they want to quit printing paper money it's to expensive, 4) we'll press coins and get rid of paper, 5) this is the 21st century, get into the reality of the sci-fi world none of us needs to carry plastic or paper, we carry hand held computers some of them with 64 mega bytes of memory transfer from your bank account straight to the retailer.

  • Diane

    As a vendor we have to pay the credit card companies for processing and believe me it hurts when you see how much they take for each transaction in processing not only the credit card companies but the vendor that acts as clearing house too! I am looking forward to being able to add a little now to cover these losses in revenue from goods purchased with credit cards.

  • David

    REALLY !!!...Before credit cards, cash and personal checks were the norm. Between fraudulent checks, conterfeit currency and collection expenses retailers averaged 5% write-offs in "bad debt" transactions. The 1-1/2 to 3 % fees that are charged merchants are a bargain and they know it !!!

  • Lillian Anderson

    Hands Up!! to everyone who will stop using credit cards who are being charged extra for doing so. Use debit cards for people who do not carry cash!! And if retailers start charging for that as well, then let us all go back to 'ole school days'. Remember people, YOU ARE IN CONTROL! THIS IS YOUR MONEY HERE! YOU ARE THE BOSS!!!

  • SP

    I use my credit cards to have an alternate record of purchases and to allow me to carry less cash. I agree with others that a store charging me a fee will lose me as a customer. No company is losing money as a result of credit card fees to banks-that is already incorporated in their prices to allow them to make a profit-in the same manner that their advertising costs are incorporated. Should I pay a separate fee to cover their advertising budget also? Instead of lawmakers finding ways to allow companies and banks to transfer any and all costs of making huge profits and paying outrageous CEO salaries on to the customer, perhaps they could start focusing on REPRESENTING the consumer.

  • Old time Cost Accountant

    Anybody who says we will not pay twice does not know anything about cost accounting ... it is built into prices unless someone goes thru special extra work to pull it out ... those of you who say it is not in your prices are fooling yourselves.

  • Lorna

    They are welcome to charge but I will do my
    business elsewhere.

  • Larry

    Swipe fees are a business expense. As such they are already incorporated into the cost of the product or service offered under "cost of goods sold". To charge a swipe fee would amount to double dipping for extra revenue. You find the same phenomenon with shipping and handling; these expenses are already accounted for in the pricing formula yet nearly everyone double dips here as well and consumers buy into it.
    .

  • Kathy Whitmore

    The day a merchant charges me a fee to use a credit card will be the day that I cease to use a credit card at that store. From all the information I have seen, that means that using cash will save me up to 30% of my usual spending since credit lulls me into not realzing how much I spend. That will be a bonus for me! and a problem for retailers.

  • dan

    It is a known fact that people spend more when they use a credit card than cash. If people start using cash these businesses will see their sales drop. Then they can start crying about that. Here is a business tip to retailers: You take care of me and I will be back. Screw me and you lose my business and I hope you lose yours.

  • http://interest.com chris

    Friends,
    My opinon is that we need to unite against these ("Monsters") Big Banks that are providing people with cards...TO BIG TO FAIL....yEA RIGHT. We need to storm the halls of congress who walk hand in hand with Big Banks and DEMAND111 That they stop sleeping with the enemy or else we will vote them right out of office. COME ON AMERICA!!! What ever happened to fighting for what is right???

  • G.Green

    Well I guess we will have to start using cash again. It seems to quiet the savage beasts where ever they might be.

  • Lynne

    A point I haven't seen made: How about the fact that the credit card companies have ALWAYS charged fees and the retailers have been happy to accept these cards and pay the fees. Why? Because they know that without allowing people to charge their purchases, their sales would be DRAMATICALLY less! Few people pay off their cards every month, yet continue to charge more items every month. This is how the credit card companies became so wealthy and the retailers have enjoyed the higher sales volumes. Now they all want to cry "FOUL" Give me a break... !

  • Shawn in PA

    I have been hit really hard with 3 layoffs in a year. Two of the layoffs were contracted positions so I expected the possibility but it still took it's toll. My wife is the one that does most of the shopping for the house and with crime on the rise do to the many other people that are worse off they are resorting to robery aswell as other criminal acts. She is almost being scared into only haveing the bank card or credit card on her.

  • Intelligente

    Don't spend more than you have and you wouldn't go bankrupt... it is idiots like you say in went bankrupt because of the interest rates... not because I spent beyond my means... Take accountability for your actions... oh I forgot OBAMA will take care of everyone.... IDIOTS!

  • theresa

    I'll just use cash then. The only reason I use the credit card is for convenience and the fact that my discover and visa cards offer cash-back incentives. I always pay it off each month, skip any interest or fees, and then cash in on the incentive. Credit cards make tons of money on consumers who pay interest. My guess is that most online merchants will not charge a swipe fee, because consumers want the free convenience of the card, and they don't want to lose customers.

  • Gary

    FYI Carter removed the interest write off, NOT Reagan. A move recommended by Paul Volker his treasury secretary.

  • dan

    Giving a discount for cash is no different than charging a fee on a credit card.

  • Jane Heaton

    Yes! Charging a fee for people using credit cards will make it easier for small businesses to make a profit.

  • louetta

    I am a small business owner, (hair salon) i do not add any fee's or mark up my prices to cover it. So many people use plastic now I can't afford NOT to take them but the fee's I am charged is our ragages not included the hiddend fees of " online support" (in case you have a problem) paper handling fee's etc. It is crazy. My bank charges $13.75 a month weather i run the first card or not. Debt cards aren't a high fee, but the others are. I don't think it is fair for us to pay this fee or the customer either, but what do we do? No matter how we look at it everyone the Bank, The Retailer, The Customer. We are all trying to make money for a living or save money. I mean seriously where does it all end? I would love to charge that fee, BUT I know i will loose clients, but i Must say I have a lost of clients ask which I would prefer and I still say which ever is best for you. This is just another fee or charge with owning your Own Business. I struggle every week to make sure my bills and employee's are paid each week, but i love my job. So this is the choice I have to make. Lets face it no matter what we do , if it is working for someone or ourselves, someway or somehow we are going to have to pay something somewhere along the way.... Just think if we are working on a public job we have to buy gas to put in our car to get there, or clothes for that job, or food for lunch so who do we make pay for all this? Everything we choose to do has it price on it oneway or the other...So it we choose to take plastice that is our choice just like itf the customer chooses to use plastic at a place that may choose to charge a fee.... We're all just screwed no matter how you look at unless your so high up the ladder that you have enough you don't have to worry about..... Yeap , We're all jsut screwed Small Businesses, Retailers, and cutsomers...
    Just saying.....

  • Vidgeo42

    I believe if all of us use lots of coins and lots of single dollar billls for large charges, where a merchant Charges a fee /per use of a credit card, the merchants willewsind these CRAZy extra FEES because productivity will suffer and fewer transactions per cashier will result in slower lines and more Irate consumers and loss of business for the company. One more Great idea is to Boycott any business which charges these Fees and take your Hard earned pay checks to a more friendly Store or internet purchase. Happy shopping and happy 2013.

  • http://comcast.net rox

    Apparently there is a way around the CA laws because I encounter businesses all the time here in CA that surcharge for using credit or debit cards or, in the case of gas stations, simply charge more than their advertised price for using a card to pay. These businesses don't get my repeat business. All I ask is if we have to go back to paying in cash that the employees actually be able to count back the change.

  • TOM

    WHat will Wal-Mart do? WWWMD?

  • steve

    As a small business owner that sells expensive goods with small margins, the fees I pay to the credit card companies accrue to the salary of 2 full time employees a year. I would much rather employee more local out of work people than suffer the brunt from visa and master card. American Express is even worse. As for the people that say stores build the credit card fees into their prices, this is not true. Brick and Mortar stores have to compete with the low overhead pricing structures on the internet, which causes them to have to price match or at least come really close to the internet pricing. If you enjoy having a downtown shopping district near your home, the small percentage you will be charged by the stores to use a credit card is worth it to support your fellow neighbors. Just my own 2 cent from someone who has been bent over backwards by the credit card companies for years.

  • Think about it

    Think about it. All retailers will embrace passing the charge to you. Boycotting those that charge the swiping fee means you don't shop anywhere. It's the old story for the customer "too little too late". And this is because none of use (customers) knew retailers were waging this legislative change. We find out only after the court opinion sides with the retailer's petition and passes legislation to enact that applying the swiping charge to consumers is not legal in some states. Paying taxes on internet purchases beyond stores that have brick and mortar in a state is next.

  • http://google Ruby

    consumers don't realize that a sm busns (mom & pop) often pay a larger fee than the lg retailers. volume gets lg retail a lesser fee. M&P's are chg more for chgs less than $10. & pay larger fee for corp cards. If your card offers 5% back, the m&p pays it not the cc co. or the bank. Add a tip& tax the CC co and the bank take their fee from the total check. each take a fee for every card swiped. banks get us again w/int on our cc bills. when I shop locally I bring cash.

  • Dean

    I primarily use a debit card I seldom carry cash . One thing I think will come from this is more people carrying cash translates in to easy targets for crooks . My truck requires 100.00 to fill so if I'm in the gas station you have to know I have at LEAST that much in my pocket . I prefer plastic but I hate the fees . In my opinion if the the company wants your patronage they will figure out a way to eliminate the fees

  • Ron

    WRONG!!!! The CFPB rule does not allow for a "credit card" fee. It does however allow merchents to not accept credit cards for transactions under $10. Also, the upcoming EMV liability shift is currently only for Debit cards .

  • Julie

    My dry cleaner of many years lost my business when he started charging $1 just because I paid with a credit card. I like to track my expenses therefore using a credit card allows me to do that without having to write down every transaction I make like cash or check. These company CEOs make enormous salaries, bonuses and other fringed benefits so if investors want to know where the money goes to then they need to start paying attention to the financial filings of the company. Customers are a company's number one source for profiting, not the investors. It is time Wall Street and everyone else get it right. Stop treating customers like 2nd class citizens; without them you do not have a business to sell your products and services.

  • iris

    I agree with those who say they won't shop at those stores again. Why are banks charging us to hold our money ,and now to spend it. Is this ever going to stop? It's totally ridiculous. Everybody wants to take your money ,but employers don't want to pay more, the cost of living keeps going up. our rent/mortage, gas. milk. and food in general is it ever gonna stop. This is a totally out of hand and out of control.

  • Laura Jensen

    If they start charging me to use my debit or credit card, I will use checks and cash...Simple as that!

  • Tony

    Great idea! Cut the tip to the person handling your food! Just don't go back for another meal.

  • Julie

    Cash-paying customers make it easier for businesses to hide their revenues from Uncle Sam and the IRS. Just like the foreign-owned corner stores and gas stations. Although many states are like NJ and charge the gas tax up-front to the retailer because it prevents them from skipping town (err, country) without paying their taxes. Asking a customer to pay cash is bribery so they can hide the revenue.

  • Michael

    Retailer Myself, and by the way I have not read one post thanking me for all of the cash back, free airline miles and other perks the charge card companies give their customers for using thier cards, nor by the way, do they tell their customers to thank their retail merchants who pay for these perks with the processing fees. None of that good will is ever shared with the retailer in advertising by the bank card companies. And by the way, if you think retailers are building these fees into your purchase than I guess you also think folks who don't use plastic are paying the hidden markup as well. And if you think that, than I guess like any other good liberal it does not bother you to ask someone else to pay for your bill. And finally, I can tell you that most small businesses have to be competitive or folks go elsewhere anyway, Smart retailers look for ways to lower prices in order to attract business. The "only" reason smart retailers accept plastic is because they know it encourages folks to spend money they don't have and therefore will make larger purchases when plastic is accepted. In my business, merchant processing fees amounted to 1 and 1/2 months annual rent. That's not chump change. And by the way, your welcome!

  • George

    Lets all pull all our pennies and small change from our piggy banks and pay for these purchaces where merchant Fees exist.

    the annoyance of having to count all this change at end of Day will have cashiers DEMANDING for a policy change where they work. Happy shoping and happy new year 2013 .

  • keith

    No store will ever charge you a fee. They will simply raise ALL prices 2%. Some might give a cash discount. Like some gas stations do now. If they want $3.28 a gallon, The sign will say $3.30, $3.28 cash. They will never say $3.28 and charge a 2c card fee. In the end, consumers will pay

  • Shelley

    I use my credit card to pay for just about everything in order to maximize my fly miles. If businesses start tacking on additional fees, this will have a negative domino effect to all kinds of business, because I, for one, will resort to using cash again.

  • mary

    Who is kidding who here. Every business adds up all there expected costs (including charge fees) and price their goods or services appropriately so that they can make the profit they need, or as much of a profit as they can. Now business can make more money cause they will charge customers the bank fee but they will not lower their prices. Get real people, the cost of living has just gone up again! No one wins on this deal!

  • Elaine

    Charging a swipe fee will definitely lose me as a customer unless the business establishes a discount for the use of cash.

  • EJL

    Thomas Jefferson: A Rebellion or Revolution is needed every 20 years!

  • Mary

    Gary - the interest deduction Annie referred to eventually went away with the Tax Reform Act of 1986. Carter wasn't President then...

  • Ms Craig

    I agree w/Dan and Lorna. If they do it, I won't be back.

  • Rita

    How much more price gouging are we going to stand for? I'm completely disgusted with all of it!

  • judy

    One more way BIG BROTHERie kicking the little guy.I use my credit card to keep my money safe from evil. I use to use checks but my friend had someone take her checkbook and wote $1000.00 in check before she could stop them.Now I have to pay money to the evil stores.I will not be shopping at there stores any more. I will find stores who are card friendly.Lets all stop shopping at there stores and hit them in there pocket book. They always want our hard earned money lets take some back from them.

  • LaJuana

    I understand businesses wanting to pass on the fee. And Steve I hear what you are saying about the cost equaling 2 full time employee salaries. However, this money does not have to be taken to the bank. It is pre-approved and won't bounce. How many employees would you have to hire to handle the additional checks and returned check fees?

  • http://XFINITY Richard

    I was in business when a customer asked me to reduce the price of his purchase because he paid in cash instead of using a credit card (CC). I refused telling him the cost of accepting a CC increased my business enough to offset the percentage the CC charged me. He reluctantly agreed to pay the full price for the goods. Additionally, accepting a CC guarantees payment. Accepting a check doesn't always. Of course cash is always good.

  • JW3101

    To those merchants that plan on charging the fee, I for one will no longer shop in your store. (for the merchants it's the cost of doing business - if you don't feel it fair, find another line of business) What next, we'll have to fund your insurance fees?

    The economy is bad for everyone - stop trying to get the customer to shoulder the burden of normal business expenses.

    It's similar to car dealers who put the destination charge on the sticker (that's their costs to get the vehicle to the lot - the person buying the car should not have to cover your overhead expenses) I have successfully have this fee removed and several other of their markup gimmicks.

    I will not support a local merchant if I can get the item cheaper somewhere else. I don't use a credit card to shop but rather a debit - but I'm sure retailers will try to charge you more just like the gas stations do here in NJ. (not just a few cents either)

  • roger

    you will see different gas price as cash and credit gasoline that is where these gas stations get a hit and pay big money to these credit card companies.when a credit card user earn points why a retailer should take a loss.loosing as acustomer i think when big companies will also charge the dust will settle it self then customer will not have any choice except to carry cash

  • Julie

    Why would anyone short-change a waiter or waitress when they are not benefiting from a credit card swipe? Many barely make $2/hr from the restaurant, the rest of their income is earned from tips. Some people on this blog never worked for tips before. Try it for a month or two and see how easy it is. You can be the best waiter/waitress but it is the customer that ends up being the scrooge. I went on a date with a guy who left a $1 tip for a $75 check. Fortunately I had cash on hand, as we walked away from the table I reached back and dropped a $20 bill before my one-time date could see what I did. Needless to say, I turned down his request for another date. And people who pull out calculators annoy me too. I always tip more than 10% for just drinks and more than 20% for dinner/drinks. And if you become a return customer, they will remember you and pay closer attention or make special accommodations/deals for you.

  • Carol

    The problem as I see it, is not with the merchants or the consumer. It is the card processors (most likely a financial institution) who are charging the great percentages. So we go back to the banks, etc. making all the money to use our money. It makes no sense.

  • kim

    Michael, you are so right. We, as business owners who accept plastic, pay for the "air miles". The general public is ignorant. The money has to come from somewhere. Nothing is free!

  • Emma

    We could just stop shopping for non-essentials and get back to basics!

  • Sherry

    Folks, read this article before blaming merchants. The banks are making money off your purchase. No one else is getting a piect of that. Why should a bank get to make 23 billion a year for this service? Carry cash you credit driven people! You will spend wisely! Or, go to an ATM and pay your own fee!

  • donna landeis

    what about the businesses that do not except checks, only cards or cash? And if we don't use the cards, that means the only source is to use cash. And believe it or not, I have run into a couple of small businesses that won't except cash because they don't want a lot of cash on hand in case they get robbed. The whole United states is getting so screwed up and it is all congress doing the screwing.

  • donna

    Mike, I know of several people that are on oxygen 24/7 and it is really hard for them to be able to fly. They can't bring their own oxygen supply on board. They have to rent it from the airlines

  • Jaylene S

    How can you tell these days between a debit and a credit card? And if I am using a debit card then they can not charge me a fee..But as a business owner we are still charged a fee for processing that debit card.

  • las

    @JW3101 You should learn a bit before you post. I am in the car business and "WE" don't put the label on the car. The manufacture does. So it is the manufacture that is charging to get the car to us not the dealer. But what does that charge matter? When is the last time you paid the sticker price for a car??

  • http://comcast.net Kaye

    WELL ... HELLO LIBS, and Dems, this is EXACTLY what you get from this OBAMA Adminstation! Watch what you ask for... YOU JUST "MIGHT" get GOT!!!!
    Thanks guys....

  • Ron

    I'll just end up shopping somewhere else, and if it comes down to a limited number of places to shop, I'll go to all of the non-franchise places, Mom&Pop shops, to buy all of my products. It may cost more but it'll be worth it.

  • http://www.interest.com CT

    I was charged a processing fee at a Popeye's restaurant in MD today. This was the first time I'd seen such a thing.

  • ss

    2 things - First, I am already being charged to use a credit card - it is called INTEREST! Second, as a small business owner, the choice to boost my sales, etc. by accepting credit cards is mine. I do not have to do it. If I want the potential gain of accepting the card, I should be willing to pay something for the privilege. I chose not to accept credit cards because I did not want to pay the fee.

  • Dahnie

    Yesterday I saw a video that was very alarming about what we already know about the banks and Wall Street bailouts. They have gotten away with it and are still being able to continue the same practices. I also found out that the cabinet that is in charge of our Treasury, Economics, Federal Reserve or anyone that is connected to money in Washington control are all elected members of the very ones that got us into this mess and were responsible for the bailout. Look up the names of the various cabinet members and see which rip off Wall Street and Bank institution are now elected official to Washington. I voted for the man who is in office and find it alarming that such men that were bailed out are now federally controlling our money. Also the top economic advisors in this country are teaching at institutions such as Harvard economics slanted toward what is going on today so that there is no view being taught other than what is going on. If that does not make sense, it does not to me either. Look at Iceland and how there economy has been decimated as a result of using the US as an example to follow. They are now a bankrupt country and now have environmental problems that they did not have before.

  • http://interest.com Kaye

    HELLO... exactly what to expect with this "OBAMA ADMINSTRATION" hope EVERYONE learns to "watch what they ask for," not only is it FACT you "JUST MIGHT GET IT" Ya JUST DID!!!
    IT'S CALLED DICTATORSHIP!!! Alive and well in the US of AMERIAN...
    Thanks Joe B and BO!!!!! Hope everyone "ALSO" realizes that Michelle Obama is "ALSO" dictating what your children "are allowed" to eat in practically EVER US public school, also, WATCH OUT... soon they will ALSO BE TELLING "US" what we are "ALLOWED" to eat too!

    Good lesson for ALL the liberal loving DEMS!!!

  • http://b.com gd

    So we get charged for using a CC and then we get charge for going to the atm to get cash. Something has got to give here. Who is out to help the consumer? I see crime rates rising again as people start to carry more cash. So now the robbers/thieves also prosper.

    I say if they want to charge the fees, then banks need to get rid of the atm charges. That would be at the bargining table if I was there.

  • Cher

    The original intent of allowing purchases with credit cards was to allow people to purchase items that they ordinarily would not be able to afford right away because of the price. By charging, one could then buy that item and pay for it over time or later.
    If customers only buy when they have the money, retail will experience a downturn in sales and perhaps see the error of their greed. Forget about reduce prices, that will never happen, just like the greedy Airlines.

  • sherman

    in mass. we have gas stations who charge 5 cents more per gallon for gas when you use a credit card and a buisness who does not allow a tip to be put on a crdit card or a discount if you pay cash for the service

  • Lisa

    Fees to the consumer have gotten WAY out of hand!! A retailer has a CHOICE when setting up their business. They can choose to accept various forms of payment - CASH, CHECK, CREDIT CARDS (CC). They choose CC's because THEY WANT THE SALE!! The retailer KNOWS that large purchases are most likely to be made on a CC (or debit card). The fees charged by the banks or processing company are THE RETAILER'S FEE, as they are not paying anyone internally to process the CC transaction. They instead Rely on the CC company to process for them.

    When cash & checks are processed, a Head Cashier, Cashiers and Bookkeepers are all paid HOURLY by the Retailer to process each form of payment. They then also pay a SERVICE to transport the money to the bank.

    It only makes sense that credit cards (CC) would also have some sort of fee associated with processing - in essence, the hourly fee is transferred to the Bank to process, who in turn expects the Retailer to reimburse them! The Retailer is, after all, the one making the PROFIT here!! It's the COST OF DOING BUSINESS! The RETAILER is the BUSINESS, who advertises (lures) the customer in to purchase products they choose to SELL at their place of business. IF the Retailer cannot handle the costs associated with accepting a form of payment, they should NOT ACCEPT IT! You DO NOT put it back on the CUSTOMER!!!

    IF they LOSE SALES because they refuse to accept CC's, so be it!!! It is, after all, the RETAILER'S CHOICE to set up acceptable forms of payment!!! They pay the costs!!!

  • Matt

    Consumers have been paying for the swipe fee and they will continue to do so. Merchants don't pay it, they pass it on in the form of higher prices. The only difference is now they can split it out as a separate charge if they wish. Of course those that do risk losing business from credit card users.

  • Cris

    Just unbelievable.
    Why don't we just bring back charging to use the restrooms too! This is crazy!

  • http://comcastnews minoritywhity

    just obamas way of lettoing them get back the billions in fines the replublicans put on his banking buddies

  • http://b.com gd

    Not everything that happens in this damn country is the presidents fault. If you are late to work, is it your bosses fault?

  • Pam B

    I think some folks are missing some valuable points. The merchant agrees, by a contract, to accept the fee for the ability to have payment for their goods/services within 24 hours from the card issuer. The customer agrees, by a contract, to reimburse the card issuer for the purchases. At the time of the purchase both parties are using someone else's money. Borrowing someone else's money has never been free. What a job creating boom our country could have if we went back to just cash and check transactions!

  • Lorene

    The retailers know this is part of doing business and these are fees they write off as a business expense, It seems like they are trying to keep people from spending money. This is absurd, and the government is just encouraging people to pay with cash which can more easily be hidden and not reported..

  • Karl

    soon there will be a extra charge for using CASH

  • martin Spani

    We just won't buy anymore from those merchants, Period.

  • http://nbcnews minoritywhity

    its obama way of getting them back the billions that the republicans fined them for theyre illegal loans and forclosures

  • Gomerman

    Like its not already included, give me a break.Just try it and I won't be back!

  • Josh

    I like how everything goes up in prices, but he only thing that doesn't go up is our wages. Whats next? we gotta pay the electric bill for the stores too. They always want more more more. Gas goes up. They don't pay for the gas we use to get to their stores. Go ahead keep raising the prices. Soon we won't have any money to buy your crappy products. Soon were gonna revolt and burn all your stores to the ground. Then I'll send ya the bill for the matches

  • Susan

    if these swipe fees are illegal in MA how do the gas stations get away with charging more for using a credit card as opposed to paying cash?

  • Sherry

    Yes, the world is going to crap because of user fees. Banks do not need the money! We are such a throw-away nation that we should learn to shop at yard sales and thrift shops. How can you see that banks are making 23 billion a year, and it is Obama that is the bad buy. You Republicans get in your own way.

  • Robb

    Michael...no thank you. If you can't pay the fees, quit accepting the cards. You want thanked for me shopping in your store? Jump in a lake. I can see why you need the extra money...sounds like you suck at business. You'll be gane in a year.

  • Ryan

    @Lisa (January 17, 2013 - 7:10 pm)

    LOOK! I CAN TYPE IN CAPS TOO!!!

  • Glenn

    there sure is alot of information with some of these comments... if you dont really know the STFU. convenience fees have been allowed on internet purchases and now allowed in normal retail environment, but dont expect retailers to add convenience fees as it will not set well with consumers, but adding it pre-sale into the cost of doing business, as they have all along increases profits for cash and check purchases. and fact, beginning october 2015 merchants will be responsible for fraud sales if they are not compliant with the EMV (smart card) system. just saying.

  • gail

    If stores start to do that we need to say we will not shop at that store, if we don't band together they will continue to charge us, but if we stand together you will see how fast they change their tactics. Only one will fall but a whole lot of us will stand strong and will.

  • rebelh8

    Nothing new - in many countries in Europe and the Middle East, such charges are routine.

    Many purchases (e.g. plane tickets, travel arrangements, "large" purchases) made in cash are already subject to scrutiny by various government agencies. How will they deal with the increased number of cash purchases from people who do not want to pay the card fees. Are we now going to have to present ID and get permission to use cash?

  • http://yahoo.com Small business owner

    Unless you have owned a small business you have no idea what you are talking about. As small business owners we are in the middle, not the consumer. We eat the 2.7% in fees and do not pass it on to the consumer. Yes, it's a cost of doing business and a mightily expensive one. Every quarter more and more people pay with credit card, not cash. It comes right off the bottom line, period. People pay for a $2 item and there is a transaction fee and a percentage. Add cost of goods, labor and overhead and that transaction is a loss. If you have a rewards card so you can get miles or cash back, we pay more NOT YOU. The only times we raise prices is to help offset only SOME of the rising costs: labor costs (that's right we give regular raises, pay for health ins, bonuses, incentives, employee meals etc), commodities, fuel charges to get product across the country, property tax, real estate tax, employer payroll contributions for employees, worker's comp, unemployment tax, - that's right - for all those out of work people who "can't get a job" yet quit within a few weeks or months on the job then go collect from the funds we have to set aside from our "profit"to pay them while they sit at home. Many business owners who are providing jobs to people take home zero pay - or pay in to the business from loans or savings every month and are still under water from the horrible economy. Those that have never owned a business should try to have an honest conversation with a small business owner - it might open your eyes.

  • mike

    Hmmmm.... You can not rent a car. or get a room at a decent hotel without a credit card.Most places today no longer give loans on smaller household items except through credit cards. We use to have HFC(household finance company) and other credit companies that financed furniture, Televisions, and even used cars. Today you have to get a credit card for these items. It must be nice to have a monopoly on credit loans today. It seems to me the interest rates from these companies were lower as well. So now, you apply for a credit card to pay for household goods, aproved and have to pay an additional fee plus outragous interset rates. The bussiness man and the bank has all of your money, The economy will be in the toilet if they actually activate the fees.

  • Juanito

    NOTE TO ALL CONSUMERS: the small businesses do NOT make money on those fees. Boycotting businesses who do not 'eat' those fees only shows your ignorance. Also, the price small businesses charges for goods and services are not giving them the 'big profits' you think. To be competitive and attract business, the profit margins are much leaner than you think. Go ahead and open a business and see what they go through. You'll be crying for your Mon-Fri 9-5 desk job faster than you think...

  • LAS

    So you anti- Obama nutsos blame the credit card fees on Obama. Question.... when you have diarrhea is it Obama's fault too. Moronic people start to say moronic things so often, that they truly believe their hallucinatory thoughts. Amazing, huh?

  • tooey

    sometimes people don't see the whole picture. Things are BAD for everyone and this includes businesses. Why do you see so many of them closing. I for one run a small restaurant people come in and see it busy for lunch and think wow they are raking in the money. What they don't know is that just like for everyone else food prices have gone up, taxes and fees have gone up almost 300%, insurance has gone up from 6000 a year to 18,000 a year, minimum wage has gone up almost $2.00 an hour, electricity and gas doubled, and of course the bank fees, for small businesses 3% and a per transaction fee. If everything is absolutely perfect a restaurant will make 10 to 15% profit. That means if they do $600 a day they get $60 a day.But that does not include the unforseen events(break down of equipment etc. I stopped using my credit cards 2 years ago at businesses because I know of the hardships firsthand. Yes it's a little harder to have to go to the bank if i run out, but just by a couple of minutes. I have also refused offers by credit card companies for cash back and flyer miles because I know who has to pay for them. THE LITTLE GUY. PLEASE HELP BUSINESSES NOT BANKS!

  • Steve

    I support what Michael said. I am a "mom and pop" retailer. Believe me it is the banks making the money not the merchant. Prices are extremely competetive with all the walmarts and internet purchasing. Competetive pricing does not allow the merchant to build in 1.5% to 3% to cover the bank charges, we eat it. For the reward cards the retailer pays a higher fee and the consumer gets the reward. On top of the percentage there is also a per transaction fee that the bank charges the retailer. Why bash the retailers when it is the banks getting all the money? Oh and how about the $11.4 billion in lost tax revenue that was not collected on internet sales last year (University of Tennessee Study, Avalara). Does that tax you don't pay on the internet purchase help to build your schools or roads? No it is the local merchant that collects those taxes as well. Bash the Banksters not the Merchants.

  • Lori

    We GIVE our CUSTOMERS the 2% if they pay by cash/check therefor giving the bank's CC fees back to them instead of to the greedy banks!

  • http://Interest.com Tom

    If you are a merchant, you charge all your expenses to the customer. You have no choice. All taxes and overhead are paid by the customer period. The banks have found that people are willing to pay all kinds of fees if they are simply hidden. If you think that you are not paying for use of your credit card, you are deluding yourself. The fees on credit card use has gone higher and higher and the customers are paying it all. Cash is the only way to avoid these charges, but cash must be used by everyone, else we share the card expenses. Put the blame where it belongs and that is the banks and the people using their services and thinking it is just free. Yes,even your debit card incurs charges that are being hidden from you, but you are paying.

  • Sherry

    You've all lost your mind. You are blaming everyone but the banks. They made 23 BILLION in fees last year for CC transactions. Did anyone think that seems unreasonable? These are the banks that asked for bail-out money, and won't lend to struggling homeowners. Why would you do business with them? You won't do business with a retailer who passes you a fee for your purchase, but you'll line the pockets of banks? Wow, if that doesn't bother you, nothing will. Keep renting and going into debt. Then, blame the president.

  • Rob

    Remember the ATM cards? Use your debit strictly for cash at atms. Then spend cash locally. Support your community merchants. That will dodge the credit/debit charge issue. Use the credit aspect of the card very sparingly to boycot the Banks. The stores where we shop show on our receipts that we used debit or cash. By the way, we do not "bank" with Banks. We are members of a couple Credit Unions, and have been for over 30 years. Notice I said "members". We don't pay any fees, no matter what our balances are.

  • Robert

    Let's face it. The customer will continue to cover this cost. This cost of doing business already was built in to what most merchants charge for their goods/services. It already is part of the current pricing. As some have pointed out, there are service stations/chains which give a discount for cash. Perhaps that is the "break" or choice we may see more often in the future. It is painless, comparatively transparent, gives the customer a way to "save," and does not alienate anyone. It would be a stupid and counter-productive move for a business to say they are going to charge more for a credit card use. The world runs largely on credit card transactions, for which the merchant basically is guaranteed payment, and the cardholder is on the hook to the issuing bank. Why mess with success???

  • mike

    Karl said it right... The government has already asked that there be a 1% fee on ALL bank transactions.... Your employer deposits your earnings,,, say $1000.00 the bank gives the government 1% or $10.00 Balance $990.00 You pay ll of your bills and spend the rest on a couple beers at the local pub.. The cost is $980... the bank gives the government 10% or $9.80. Balance 20 cents. The government now has $19.80 0f your $1000.00. This has not passed legislation but it has been brought up through our democtratic representitives.

  • richie rich

    if your a small busseness , then stop taking credit cards , cash only . why should the consumer pay for your laundry. We pay your bills by using your store .

  • mike staats

    The power is in your hands ,if a place is going to charge this fee then let them know you will not shop there any longer & tell every one you know ,also bring all your purches to the counter then refuse to purchase them ,let them return the items this will cost them time& money

  • rob

    To LAS, we'll stop blaming Obama, if you stop blaming Bush. Besides this was a court settlement if I'm correct so why bring Obama into this at all? Please stay on subject.

  • Kelly

    If everyone would take the time to pay cash for what they buy. Live with in their means.. Everything would be cheaper. Most people have no idea how much of a cost is pushed back on small business's. Forget the box stores they buy in bulk for a better price. Educate yourself about business and the costs involved in having one. It will change your outlook on this charge. A debit or credit card is a convenience.

  • NORM

    I WOULD IMAGINE THE BUSINESSES HAVE ALREADY INCREASE THEIR PRODUCTS TO COMPENSATE: WHETHER FOOD PRODUCTS OR MERCHANDICE: PRICES HAVE BEEN INCREASING ALL THE TIME...

  • tinyvoice

    most stores won't accept checks anymore, they want cash/credit. Now they are trying to make you pay to use credit; disgusting. I just won't shop at a store that tries passing on this fee to me, just like I won't shop if they don't take a check.

  • no sign in

    If we will be charged any kind of fee for using a credit card in Oregon, we will dump our card with the scizzors immediately!! We're done with big banks playing pingpong with consumers!!

  • http://comcast Pauline

    Looks like a way was found to recoup. If there is a will there is a way. What about checks written for payment and automatically converted to electronic payments. Will those be charged? Will this cause a resurgent of check use again? One advantage of using CC/debit cards is that you don't carry cash around which may make you a target for a mugging or robbery.

  • http://www.interest.com/credit-cards/news/you-soon-could-be-charged-extra-for-using-a-credit-card/?ec_id=cmct_02_comm_PF_image_headline Roberta

    When you get a credit card, the fees (or any potential fees) are metioned. The credit card application/contract states what can and how much can be chareged. I consented to the terms,because sometimes you may need to: 1) use a credit card in emergencies; or 2) for convience (like paying for college books/tuition). I think the fees are to high and usures/immoral. But when you use a credit card, you are engaging in a SMALL LOAN, and using someone elses money. The only way to minimise this impact is to :!) cut back on purchases; 2) buy what you need- not what you want; 3)use cash more often. By doing this, your credit card bill will slowly dimmininish and you will start to live more within your means/income.

  • Dave

    Everybody has their hand in your pocket! Criminals!

  • Thomas Lucansky

    well interesting at best. If we can all just slow down a minute; does anyone remember when debt cards and credit cards came to popularity? They were pitched as simpler then cash, safer then cash, for the reatiler too, ( hard to pocket, can't be miscounted) I find it funny that people just want to complain, adjust, take a bit of your time and learn the ins and out of it all. When the rule makers keep changing the rules one must adjust, take a minute and think the transaction thru, I am lucky I live were all the big bax store are competing against eachother and its funny with in 2 1/2 miles around my home I can pick them off, shop the sale bring my coupons, and win the day. We all need to just slow it down, and think things thru, I only use my debit card, so this seems like it won't hit me hard and when I do use a credit card its for bigger purchases and i have a payment plan in my budget to take care of it short term. Long term stuff is car and house, or I can't afford that really cool thing I want. And if anyone thinks this is good well good for you, it's another money scam, just like all the good people that were burned for the refi boom of the 90's and them the modify boom of this decade, I don't think anybody noticed same people. my advice get out of the big bank that charges you for everything, including the receipt from the atm and find the local bank that still beleives in customer service. look and read the signs review the receipts, do what you need to do to protect your family, just don't lie there, it's not about the average people any more it's about saving the big business not us. Learn quick and move slow, and the race is yours. I sold my family home in 2007 for 280k its never been lived in and is on the market today for 175k I laugh everytime I drive by, sure I had to live in a apartment for two years and then rented a house for 3 more but last year I bought my new home from forclosure and its three times the size and I paid only 257 and in the same area less then 1 mile from the house I got out from under just in time before the bubble popped. Why did I do it, how did I know, I read the signs, I slowed down and really thought it through, and in the end I am happier then I have ever been, so in closing it's not the fee that gets us, it's the not paying attention and the shinny things in the corner that gets us. Be happy for what you have and not sad because of what you don't have. stop falling for the side show and take a seat. If you don't pay attention and comprehend then your just dancing to the tune they want you to. By the way I am not rich, I work everyday 5 days a week, I just don't let popular desires control my life. next year maybe a Iphone 5 when six is coming out that way I can upgrade my phone but only pay a penny for it, not hundreds of my hard earned dollars. Remember big business in this country likes to cause it's own pain. Just like if you think the 0% financing is back on cars, wow cool that worked so well last time, so well it almost put them out of business.Tip of the day Buy only what you need and not what you want and look there is money in your account, pocket, piggy bank, and even your wallet. All it takes is stop, think qualify, before you buy. And you too could be happy and hassle free. hum

  • http://interest.com maxine k winston

    It's very simple. I will not deal with any merchant who charges me to use my credit card. I'm sure they make enough profit to remain in business.

  • Marty

    @Michael Nothing is free! I spent 30 years in the credit card industry.
    Those "free" airline tickets are paid for by the bank issuing the credit card. The processing fees paid by merchants help provide a secure method of payment.

  • Judy

    Why not just pay for things the good old fashion way. CASH!!! That will get them!!!

  • please read

    I only read 20-25 of these comments and felt i had to add my own two cents. For the people saying they wont use the stores that charge fee, i am a small business owner that gets clobbered by fees for accepting credit cards. Let me explain how this works. The evil credit card companies give the consumer points ,cash back, miles etc. therefore consumer uses debits and credit cards for everything and anything. We the small business pay on average 1 dollar every time we swipe the card and 1.5-3 percent of the sale. This doesn't include the fees for the credit card machines .
    So the people that are complaining every-time you get your paycheck deduct 4-6 percent,thats how we feel.
    By companies charging fees will cause people to use cc less, therefore the greedy cc companies will be forced to lower their rates. That will make both consumers and companies happier

  • Kat

    I use two "cash-back" credit cards to pay for virtually every single thing I buy, including insurance, medical, gas, cable and groceries. Citi card offers 1% back on all purchases, while my American Express offers 3% back on gas and restaurants then 1% on all else. I currently have $400 cash back accumulated on these cards. The secret is to pay off the balance in full each month and you get paid just to use the cards. What about grocery stores that offer people with "club cards" a discount on food that the person standing next to you without a "club card" does not get? THATS discrimination! Much worse than being charged to use a credit card.

  • Tanya

    AMEN to what Kaye said! Very well said and VERY VERY true! I hope everyone is happy that they ignorantly re-elected this person and now he has a 4 year free ride to do whatever the heck he wants. He wants our country to be communist, you wait. People are so stupid. They want hand outs, to not work hard, then complain. They got what they asked for and now we all have to suffer the consequences. I just hope we will be able to recover from whatever "he" does....

  • M.M.

    I am in business, and the cost of accepting credit cards is a significant expense. You must accept credit cards if you want to stay in business. However, the fees are high and that expense, like all other overhead (such as workmen’s comp, liability, payroll, supplies, fuel etc.), is simply incorporated into the prices we charge customers. It’s very simple, but is it fair? There is not only a 1-3% fee per swipe, but also regular monthly merchant fees as well. Now, speaking of the swipe charge alone, and forgetting the montly fees, one customer may want to charge $3000 to his card for our construction services. In addition to the regular monthly fees, we have to pay up to $90 just for the swipe verses $0 fee for paying with a check or debit card (keeping in mind we pay even more to accept American Express). Throughout the month, these can really add up. And since we cannot charge the customer who chooses to use “credit”, we have to raise our prices for every customer in order to compensate for the added overhead of customers who want expensive work done, but do not have the money on hand to pay for it. It’s simply a matter of what’s easiest verses what’s fair. Until now, we’ve had to simply raise our prices across the board, but with this change, it’s nice to know some of us will at least have a choice whether to do that or not. Fortunately, most of our customers are able to pay with a check, and with the law change, we might be able to save them a little bit of money.

  • dmc

    I couldn't agree more with some of you - you can tell the small business owners from the consumers. People think if you own a small business you are rolling in money. Anyone who thinks credit card fees are "built into a store's pricing" is an idiot. Especially in today's world of online shopping brick and mortar mom and pop stores are struggling to keep up with people selling online out of their garage with no overhead. I will most likely not be charging a fee for credit card usage - not because I don't pay a TON in credit card charges but because I don't want to hear people piss and moan about the fee. Next time you're taking a trip on free miles or buying some new clothes with a gift card from credit card points - thank your small retailer - because it came out of their pocket.

  • marty

    looks like less tipping!!!

  • Mom

    Trying this again.... and I just have to ..... will those who use a "Food Stamp" card get charged? or will a law be passed that you can't "charge the government" that fee.... booooooooo sorry just had to bring that up. Esp. when you get behind a person like I did who doesn't have $ for food but can pay cash for that case of beer and 2 bottles of wine... cigeeeezzz too. (I'd like that cash back since I help pay for his food!)

  • roger

    This is outrageeous, after what we pay already to the banks BAILOUT NOW MORE FEES? That what's happen next PAYING FEES FOR USING CASH?
    WHAT HAPPEN TO AMERICA NOWADAYS?
    OUTRAGEOUS WRONG!

  • http://edsponds.com ed

    You dummies!!! Merchants dont charge that fee for fun, The fee is from the credit card company!!!

  • Dee

    Yes, the real crooks here are the banks, not small businesses or large retailers, but the banks who want ot charge ridiculous fees to pay their CEOs and top execs ridiculous salaries, bonuses and other benefits. Once upon a time, banks paid customers to deposit their money in banks because the banks used that money (in case you forget, that was called interest usually paid on savings accounts). Okay, so now banks get to use customers' money for virtually free and then charge exhorbitant fees on every service they provide. Come on, America, stop being so complacent. Let's use social media to voice our opinions and change this.

  • Steve

    I've read through 60 of the posts and Hey people, get a clue...the damage is already done! This debate, argument or opinion is a poor practice in academics. Call it what you like, CC fee, cash discount, unit cost markup, etc., it all equates to the same result. You are now going to pay more for the same thing. To you retailers playing the violin, how much has it cost your clientel, indirectly, to wage this 7 year misdirected battle to pass on your fees to your paying customer rather than addressing the real problem of profiteering card companies, banks and lenders. And to you retail patrons, your going to pay a price for the product we call convenience. If you don't like it, do something about it. Cut up the cards, cinch up the belt and make something happen. Without sacrifice their is no gain. Retailer and patron both are the losers in this game and as usual the rich get richer and the poor get poorer. It's this simple...these billions of dollars went directly from our pockets into the pockets of the profiteering hoards and we are all losers until we force change or change is forced upon us with a real recession.

  • dave

    my a small bussiness owner and i dont add a fee for creadit cardsinto my billing. it will cost me 3% to run a card.should i automaticaly raise my prices to tack them. i think if people want to use them they can choose or pay cash. when your profit margin is about 10% thats 3% less to tack one. does it cost you 3% to cash your pay check!

  • Debi

    If one can only make purchases (without extra charge) by paying cash, looks like there will be more robberies cause they know everyone will be carrying alot of cash, and probably make less big purchases. Looks like it would hurt the economy even more.

  • John D

    It is not enough that the credit card companies already charge monthly fees but now any retailer can charge a fee. If this comes to pass i would expect consumers to tear up their cards and pay with cash. This way at least you won't have extra fees to pay. Hopefully the end of the plastic maybe.

  • http://realgoldcurrency.com ezrmoney

    Understand the Bigger Picture of Why this is happening. Read "The Creature From Jekyll Island" by G Edward Griffin. Then you can make intelligent decisions about how to deal with the banking industry. Educate...Educate...Educate!

  • Eric

    My goodness. Please quit whining. If i read anymore "woe is me" or "my evil, greedy, rich dry cleaner is out to get me" I'm going to to be sick. Small businesses are just trying to get by and make a buck like everyone else. As many of you so bravely pointed out - you don't have to shop there. The market will sort out the fees and if there is a unwillingness to accept them then business will find another way to make money. But quit crying. If you want to be upset - be upset at the over burdensome regulations that eliminate formerly legitimate practices and force businesses to find to new ways to survive an prosper. And by the way - all these evil, greedy, detestible, businesses, small and large, are providing the jobs in this nation. Last I looked we need more jobs right now - so let's give these guys a break.

  • Josh

    Everyone in this country needs to realize we are the people enabling these merchants to set their rules thinking they can force fees down our throat.

    We are the consumers, we set the rules! We have the option of NOT buying anything at these stores if we don't want to pay extra!

  • michael bare

    Open your eyes people. The real reason this has come about is to acclimate people to paying credit card user fees before we go to a cashless system. The wealthy people of this world have always been able to manipulate those who legislate to ensure their future. Does this sound familiar, "Those who don't learn from history are doomed to repeat it?"

  • Louis

    I live in Ga. this issue should be before our congress , is there any to get more money they can get out of , what next I agree with all the comments I read.

  • Larry

    What's going to happen is all the retail stores will have there own card. Look at Target. Maybe the banks will go out of business

  • CARCAR

    Next they will want 11 ounces of flesh or your first born. Society revolves aroune credit cards; however there is nothing to stop us from going back to cash or avoid retailers charging the extra fees. And don't tell us to stop whining, just statine options.

  • Lynn

    I am a small business owner..We are all losing when it comes to credit cards except the banks.Why is a business charged a fee to accept credit cards anyway? The consumer is already paying to use the card. When you use your card the bank is charging the percentage both ways.(the consumer and the retailer) We need to look at the big picture. Plain and simple...If u have to use your credit card to buy something of pleasure ( not needing it ) then u cant afford it. If we used cash you are keeping more money in you and the retailers pocket. Everyone wants to complain about the fees but you want the privilages.Why should we (the retailer)pay for you (the consumer) to have that privilage. We are not forcing you to use your credit card...But if we dont we loose your business so in turn your forcing the retailer to pay the price ....Have you ever gone to a store that accepts credit only? That would be insane...Although thats what the world is coming too..Using your credit card is only making the banks richer..Everyone else looses..

  • Paul Ekholm

    ANOTHER reason to pay cash or not buy!

  • http://interest.com CHARLES

    Charges by banks should be abolished on charge cards what ever kind it is. We all put our money in the bank which they use free making interest. However they pay us hardly anything on our money if you are lucky to have an account that pays you any interest, but most checking accounts don't pay any interest. The banks also charge us interest on the credit cards which are too high as greedy S_Bs that they are,they cause the problems in banking then they want us to pay and bail their butts out, and the politicians in Washington who are supposed to work for us people but seem to work more for there benefit by giving the banks carblonch.

  • Michael

    I've got news for you Marty, credit cards are "not" a more secure form of payment for a merchant. I'm sure you used this lame pitch when you "sold" or should I say "leased" those credit card terminals to those "merchants," or should I say "suckers" for another $50 - $75 per month to process those credit cards. Then about the time you get one paid for, you come back with new card designs and security feature making the processing machine it took you four years to pay for "obsolite!" Don't even go there criminal. And tell everyone here what a charge back is. At least when someone writes me a hot check I can get law enforcement envolved to recover my money. Anyone and I mean anyone can dispute a charge for any reason and I mean any reason at which time you vultures reach inot my bank account and take back the funds. I'm not going to argue with anyone here about wheather or not it is a good idea for a merchant to charge for a credit card swipe, I have no plans to do it in my business; however, I also won't hold it against any business that does either. To all of you folks that think business owners are getting wealthy on you back, go open one for yourself. We pay taxes and fees you never heard of and don't want to know about. If and when I get tired of accepting credit cards I will tell anyone who does not like to not to let the front door hit ya where the good Lord split ya. As for myself, I'm not an idiot, I use a debit card and I don't use credit cards. I will also tell you that the merchat processors and the banks are usually two seperate entities. And if you accept credit card payments on your web-site many merchant processors want you to have another processing account dedicated to only those on-line transactions and yes, there goes another $25 to $50 a month. Next you get a transaction fee for each swipe and what is called a batch fee at the end of a day for uploading all of those transactions. I have dealt with many of these companies over the years and they are scum of the earth. I don't do it because I like it, I do it becasue I like my customers and I try hard to please them regardless of what it costs. Nut up folks, everything is getting more expensive. If you don't like it Bitch at Obama and stop crapping on folks out there actually doing some work. And all of you bankers and credit card processors can KMA, you friggin leaches...

  • PizzaGuy

    Wow...where to start...it is really ashame at the lack of knowledge in this country anymore. It's really apparent when you read some of the comments made by people who just do not have a clue. As a business owner it is hard to not accept credit cards as part of doing business, accepting checks is not part of my business anymore due to the lack of responsible people these days who believe it is ok to write checks and not have money to cover them. This in itself shows the lack of morality in the world today, when accepting checks it was not uncommon to lose $500.00 a month from the fees THE BANKS charged and the money loss itself. Credit cards are also a loss for most businesses, the cost involved for the smaller businesses are far higher than the big box or big chains because of the discounting due to their size. Yes these fees as are all costs of doing business and are figured in to the end costs, so is it really fair to the person paying cash that he pays the same as the person paying with a credit card...NO...but since 80%+ people now use plastic it is really not on the radar these days. If people only knew the reality of the fees involved they could be more aware of the truth and not just making rash comments like"I wont shop there anymore" or "Just turn around and leave" and on and on. Fees are comprised of many different aspects when the charges are listed for us on our credit card bills. Too many to list here in this limited space but needless to say, first the BUSINESSES pay your reward points, miles, blah blah blah NOT the banks or credit card co's, second BE aware and knowlegeable in things that you have comments about as to not make yourselves look so unintelligent.

  • mike

    The small business... We borrow the money to get started, a building, merchandise, insurance, labor, and other related costs. We open our business in hopes that we can make a living and give a few more employees a lively hood as well. The banks charge us interest on all of the financing. We than charge the consumer for our products and orservice. If we do not accept credit cards we lose the consumers business. The banks once again charge us ( the business) to use the credit card.The consumer often getting points or cash back.
    Most small business do well to keep their heads above water. The banks?? They seem to think that everyone of their stock holders deserve a 10 to 15% profit even when the banks make bad judgments and lose money. The amount of credit card debt lost through bankrupcy is enormous. Most of this loss is due to banks poor judgement. Yet, it is the consumer that pays his bill that has to pay for the banks poor judgement.
    It is time to fix the banks, not the small businessman.

  • Mike C

    Hey, as a business ownerand a consumer, credit cardsare a loss leader for my sales. I pay processing fees, as well as monthly surcharges. However, due to the prevalence of consumer credit use, if I refuse credit/debit transactions, I lose more then paying the fees. It's true the banks and card companies are the big winners.
    As a consumer, I use my credit card every month and I pay it off every month, just like the old American Express cards. If I don't have the cash to cover the charge, I don't make the purchase. Over 75% of my purchases are by cash, so the retailer actually gets to keepthe full amount of the price I greed to pay and I don't have to worry about interest rates or payment schedules. I make less money than the Federal poverty line (on worker' comp for two years now) so anyone disciplined enough can do the same. Start using more cash and stop abusing rotating credit accounts and the banks will stop taking that extra % every month.

  • john

    Pizzaguy....poor comments. Most of us are aware of the cost that the banks charge merchants to accept credit cards. we as consumers will just chose to not use business that tack on an extra cost regardless if is an extra expense for the business or not. The free market will decide if you have made a good decision or not to include the credit card fee or not. And if you loss business because of it don't complain.

  • E Dziadowicz

    Merchants get their fair value from the credit card fees. First of all, they minimize the danger of handling large amount of cash. Employee theft increases and the large amount of deposited cash greatly increases the risk of violent and possibly tragic robberies. Additionally banks are wising up and charging the merchants for excessive cash deposits. Also much more cash must be kept on hand for change, again creating a target for criminals, so they gain a few cents back from the customers they don't lose but lose customers at the same time. Meanwhile they gain nothing, because the banks will get their fees either way..

  • Carol

    Now to all of you who think that fees are included in pricing of products you are so wrong when it comes to some things. For instance, tobacco companies tell retailers what they have to price their cigarettes at. The tobacco manufacturers DO NOT include fees, payroll costs, rent costs, liability insurance, workers compensation etc, into the price retailers have to charge their customers.
    As a small retailer with two stores I will tell you that on average...I am paying 62 cents for every credit/debit transaction that takes place at my store. For those of you who do not own your own businesses you do not even come close to understanding how much this can actually cost you at the end of the month. On average I am paying the processing company $24,000.00 a YEAR! That is money that I could use to offer benefits to my full time employees, give employees raises so that they can better care for their families, donate to the SPCA and the list goes on and on and on. Unfortunately though I have to give that money to the banks every year and all I get in return is the right to use their equipment, the right for them to hold my money for days on end and nothing else. Doesn't sound fair now does it but retailers have no choices here. The banks will continue to make it harder and harder for small businesses to operate and be successful. I Hate looking at my statements every month. So to all of you who say "Go ahead and charge me a fee and I will go somewhere else"....well we really don't care if you go somewhere else...you leaving you stuff on the counter and walking out is allowing us to feed our children.

  • Helen

    The banks are charging small businesses for cash deposits and check deposits. After $10000.00 cash 20 cents per $100.00 and 20 cents for every check deposited. Have you ever, as an individual, tried to deposit $5000.00 ? You will be charged a fee...
    Bottom line the banks do not need our money any more to be in business they print any piece of paper and they call it money. They give us a piece of plastic and profit from both ends

  • http://Comcast Douglas

    The level of Ignorance displayed in most of these postings is stunning. Have any of you actually read the Dodd-Frank financial overhaul act of 2010 ? ? ? And how this Democratic bill messed up the delicate balance of the private business' and banks by limiting swipe fees ? FYI - All business' seek to survive, and in order to do so, they need a profit margin, or they go out of business... so when the fees were 'limited' by the bill, the costs were merely transferred from business' to the consumer. Nothing has changed other than the bloated Congressional leaders feeling better about themselves, thinking that they actually accomplished something when in fact all they did was tinker & mess up a working and intact private market practice that has worked well for many years. The level of economic ignorance in our Politicans and some of the posted comments here has me gasping for breath as I witness the dumbing down of America taking us all to an almost 3rd world country level of understanding. Wake up people. Before you comment,,,,,, Educate yourself so you can comment with some spec of intelligent commentary. How Sad , how very, very sad....:--(

  • http://www.toro.com vasko

    I'm a distributor of products and have over 100 dealers who need this. My dealers take a hit everytime someone uses a card. We set the suggested retail and they sell it for that regardless of cash credit or check. They work on lower and lower margins every year. They get hit with 20 cents per transaction and the 2-3% plus rental of the machine that they are locked in for 1-5 years. It's only fair to give the consumer a choice to absorb the fee or buy with a check, finance it, cash, or banl card. THIS IS NEEDED!

  • Kat

    I agree that credit card companies and banks should not charge "swipe fees", they benefit from every transaction as many credit card customers don't pay their entire balance off monthly. However, those complaining about the amount of processing fees per year - you do write that off as an expense on your tax return so a portion does come back each year as a reduced tax. The fees are a known operating expense of a business, it may not be fair but it is a fact of life right now and I can only assume that retailers do adjust their prices accordingly to cover such standard costs.

  • http://xfinity Eric

    If credit cards are such a problem, why are fast food places all starting to allow there use when they never did before?

  • Veronica

    I am a small business owner for the past 20+ years. Accepting credit cards, therefore the fees to my business, has always been an increasing cost of doing business. Things are getting more competitive every day, businesses really can't afford to alienate any clients. The current method of offering a cash discount is still the best way to encourage clients to pay cash. It's all in how the business chooses to approach their clientele - encourage by offering a discount, or discourage by charging a fee.

  • Ruby

    We will become wise and fight back to the BIG banks. Here in US, big banks gets too much money, like interest charge for college loan and uncountable fees from retailers!
    We get a little rewards for using CC, but losing in our wage in the end because the busness we work for spends too much for the bank!

  • Veronica

    To Eric - The fast food industry likely feels that most people always have a credit card in their wallet. Therefore, you might decide to go to their restaurant if they accept credit cards, when you might not have the cash on any given day. So they feel they're getting extra business even if it's not as profitable.

  • Karen

    Don't charge more for using a credit card, offer a small a discount to those paying cash.

  • Paul Idaho

    I read through the blogs, and the issue is more complicated that most of us think..
    1. In this economy, I find it "inconvenient and unwise" to carry much or any money.
    2. Checks are easily comprimised.
    3. Credit card companys provide documentation and breakouts of charges that assist consumers daily and taxtime. 4. Credit card companies can buffer the consumer of highdollar misleading sales. After paying with cash, the consumer has reduced barganing power on a bad sale.
    5. Large amounts of cash can be costly to the stores, pilfering, counting, etc.

  • Stephen Winters

    I have noticed the charges on my debit card, but I didn't know anything was wrong with those charges. Since the initial days of the recession (ca 2008), I have only had a debit card to use. If those swipe charges are illegal, then how can I get my money back? I am tired of people putting their hands in my back pocket so that they can reap higher financial gains. Where do I sign up for this fight?

  • JM

    Well retailors want you to start spending more!Not a chance if they start this,I for one am very happy AND have no trouble using cash!!!!!!

  • Pat Murphy

    I'm not in favor of having lots of money in my pocket-book and having someone put a gun in my face. I believe that people who have a poor credit rating should have to pay more & those who have a good one less in fees.

  • Ton

    "NEW WORLD ORDER" Bible 101

  • kdog

    I can't believe the assumption that retailers charge extra to offset the credit card fees. In case anyone hasn't noticed, this is a very competitive climate we live and work in these days. Any store that raises prices to offset credit card charges are both pricing themselves out of the market and having a larger chunk taken by the card processing companies because the rates are based on percentages not flat rates.
    If a store raises their everyday prices to offset these bank charges they are hurting themselves (believe it or not, everyone doesn't use credit cards).
    I would have absolutely NO PROBLEM being charged say $2.00 per transaction to help them offset these rates. I have many friends who own small business and these rates are staggering and hurting them and their ability to offer insurance or other benefits to their employees.

  • http://Interest.com Ton

    @Kaye..you are one of the less fortunate, aren't you?

    Your reply belong elsewhere!! This is a forum about C.C.interest, not "love to hate President "Obama"!! Wow!!

  • Puddle Jumper

    This whole thing/conversation has been about the retail end. The place you buy some of your gas has been charging for using credit cards for a couple years or more. I wont mention who they are but its been $0.05 --$0.10 cents a gallon. so cash or debit card is urged to get the discount.
    Cody Wy gas stations stopped taking CC to enforce there objection of the bank processing fees acouple years a go. And it worked. But these guys survived so all is good. Thanks to government intervention and no back bone, we are all on bended knee once again.
    Just my penny's worth.

  • mark

    as a retailer I am delighted I now have more control over my income. Fees were killing me. I raised prices by sales tax and offer to cash customers discounts amounting to the sales tax amount. Sales have increased. Best year ever. Card use is STILL at just under 30%.

    To you non business folks bitching..........try a course in statistical analysis.

    I am not an anarchist....just a retailer trying to make a living against the big boys. Look at your numbers....REALLY LOOK.

  • Steve

    Funny.. most of the comments are written like credit card fees are something NEW.. They're not. Credit Card fees have been charged to the Merchants since the inception of the cards. This is nothing new people, the only thing that has changed is the fact that the merchant can now pass that charge on to you, the user of the credit card. Actually seems fair to me. If you want to use a card, and it costs the merchant to accept that card as payment from YOU, Then who should pay that fee?? YOU!! It's a privilege to use a credit card, it's not a right. Those merchants are not forced to accept them. If you have a problem paying a fee to use a credit card, don't.. PAY CASH. Besides, you probably pay way more in interest on those cards anyway.. you'll be saving even more money by keeping them in your wallet.

  • http://n/a kh

    I remember the days of gas stations charging extra for cc usage. Went the way of the dodo bird because people will not pay. This will too. I do not carry cash and will not pay more for using a card plain and simple. I'll find a place that does not do it and they will get my business. Go ahead make my day.

  • royengle

    I don't understand why retailers always ask if you want cash back, too?? If they are paying 1.5--3% of the transaction, then doesn't that increase their fee more so???

  • Michael

    "If you want to use a card, and it costs the merchant to accept that card as payment from YOU, Then who should pay that fee?? YOU!! It's a privilege to use a credit card, it's not a right. Those merchants are not forced to accept them."

    This is flawed thinking. It is directly noted in the article that merchants have raised their prices to ALL customers to account for the credit fees. Credit is convenience and merchants receive far more sales *because* they accept credit. As you said, they're not forced to accept it. But it is more profitable to do so.

  • paul

    kdog... $2, really? I use my cc whenever possible and pay it off every month. I average 60 transactions per month totalling 2-3K. You think I should pay $120 a month for the (Steve) privilege? of using the card? It's certainly not a right but it's the right way to shop. No other method that I know of (please enlighten me) offers effective conflict resolution. My cc company has intervened (painlessly) on my behalf numerous times to recover charges for bogus products or services that the merchant refused to acknowledge or mitigate. Does anyone know if the merchants are required to post their policy so you can decide whether to buy before you stand in line and then find out when it's printed on your receipt?

  • Marty

    Just an FYI for business owners. Both Visa & Mastercard publish their interchange rate on their websites. Take a look at the interchange rates and compare that to the rate your paying for each transaction. Its a tool to negotiate the fees your paying to your processor.
    Leasing equipment is a bad deal. I never encouraged my clients to lease equipment. Purchase the equipment outright. Its less expensive in the long run.

  • Tom

    So I guess that means that I will just have to order online even more because I am willing to bet that online retailers wont charge a fee because how would you pay them cash? Go ahead and see how many more people just start ordering online.

  • Luis Fernandes

    I'll buy online, and i'll ask for a discount at the supermarket if they charge more for a cc payment!

  • RJ

    I have no objection to a fee for the use of a credit card to make my life easier. I do object to a per centage rate. It should be a flat fixed fee. It costs the merchant, card company or bank the same to process no matter the cost of the merchandise.

  • dAVID w. bROWN

    I blame it all on the big banks. They are simply greedy and have no regard for the smaller marchants whose profit margin may only be 2-3% on smaller items. This makes it incredibly harder to add that 2-3% when the purchase price might only be 2.97 cents. Congress is obviosly in bed with the big banks and it litteraly makes ne

  • KLH

    If I can't use my card with out being charged a fee I will write a check and if everyone in line would do that it would hold up their progress and eventually they might get the message.

  • none

    business's are free to charge what they choose to sell products or services they need to make sure there is a reasonable margin of profit built in to that price charging fees over and above that only masks the true cost of the items to the customer, this is true of any fees and or taxes and should be included in the marked price of anything on the shelf or advertised in print air or on-line.

  • M

    YES, Bill they are trying to charge extra for paying cash!
    I went to my local cable company a couple months ago to change the name on the bill because I had to do it in person. Since I was already there I was planning to pay my bill, even though it wasn't due for a least a week. They wanted to charge me $5.00 extra to pay with cash!!!
    However, I could drop a check in the payment box for no extra charge. I sent the check out the next day.

  • Sharron

    It costs companies more when you pay with a credit card than a debit card- $6 per transaction as compared to about 60-80 cents with a debit card, however there is no distinction at the gas pump. When you pay cash the price is 10 cents lower, when you pay with credit its 10 cents higher, however when you pay with DEBIT, even though it comes right out of your checking - they charge you the 'credit card' price. THAT'S robbery!

  • Shannon

    First off I live in CO so I'm one of the lucky ones who has a state that has banned this practice. With that being said I usually pay with check or cash anyway. As an accountant I know how the bottomline works. The more a company (especially a small independent company) has to spend on credit card fees the higher the costs of the product. You have been getting dinged with these fees ever since the banks starting charging the companies for their use. You just don't realize it. It's all fixed into the actual costs just like any other operating expense. How in the world do you think they make a profit? First cover operating expense (which includes bank fees) and then write in your profit and voila - price point for the item. Come on America. It's not rocket science! Don't be bitter about it. It's been going on for years. If we ALL used checks and cash then our debt would go down AND the cost of items would have a slight decrease. Accounting 101!!

  • Stacey Burkhart

    The comment made about them asking "would you like cash back?" raise the fees? The answer is no. Currently, if you use your card as a credit card they pay a fee. To get cash back, you must use it as a debit card. Then they do no pay fees, you do. A few local businesses have been charging different prices for Cash/Credit around here. A few of you are right that retailers already figure that into the prices you pay now. At least the companies that I have worked in accounting have done that.

  • Misty

    It costs the retailer money every time we swipe our credit cards. If we're only talking about covering that fee, then it's no different than paying for concert tickets or making a payment online and getting charged that extra "fee". But if retailers use it as a way to gouge, then it's wrong. They are offering us a convenience to be able to pay any way we choose. If you cannot afford the fee, then use debit or cash.

  • Misty

    If I can't use my card with out being charged a fee I will write a check and if everyone in line would do that it would hold up their progress and eventually they might get the message.

    Most places don't take checks anymore, and when they do they run it as a debit and give you back the check. No different than a debit card

  • Denise

    Steve-
    You do know that stores DO NOT have to accept cash too-don't you? As a matter of fact, tried to buy a plane ticket through Allegiant & guess what-they don't take cash!

  • Richard

    hang on a second, I am in california and have been paying more for gasoline if I use a credit card for years. Is that not a retailer?

  • John

    The banks should have been left to fail - no bailouts - the private market spoke, but the public sector didn't listen. Perhaps they should listen to this from Bruce Springsteen:

    Yeah, sing it hard and sing it well

    Send the robber baron’s straight to hell

    The greedy thieves that came around

    And ate the flesh of everything they’ve found

    Whose crimes have gone unpunished now

    Walk the streets as free men now

    And they brought death to our hometown, boys

    Death to our hometown, boys

  • Stuart

    For the most part, I must agree wih them as the interest fee's PRIVATE businesses have to pay (as opposed to the walmarts, macy's, etc who back their own cards) is tremendous, not the 1-3% as still being reported. When a private business gives you credit (card, debit, check, etc) they are giving you a loan, then they have to take a loan (from that mastercharge/visa bank) to cover the loan they gave you and a loan to cover the cost of the product they sold ya. plus the pay a guarantee on the card to the company for assuring them the card is good (not stolen, over-drawn, etc) plus that 1-3% is provided they wait about 3 weeks to get that money from the bank while hoping the bank doesnt do a charge back (often only because they feel like it). If they wish the money returned in 4 days or less, then the interest they pay for giving you that loan is an additional 15% on top of the 20% loan they took to give it to you. Therefore, should you make a purchase from you local ma & pa's, for every $1 you spend they spend about $1.40 and that is before paying for the overhead. Not like your big stores who most the time have their water, sewer, paid by your taxes plus never had to pay any interest before this.. (ever notice those discover ads with the jerk and his guitar and in black and white? That is because you never see him shop at a box store or mall, only ma & pas.

  • Chris

    How about instead of retailers charging you for using a credit card they discount your bill for using CASH!.

  • Glenn G.

    It's all BS, another ploy to nickel and dime the consumer, banks and businesses have been encouraging a plastic, non cash economy for years now. Most folks dont carry more than $20 in cash on them anymore since credit/debit cards are accepted everywhere these days. Its all about screwing the consumer for more greed.

  • Jan Jones

    There's an easy way to make sure merchants don't try to pull this. If everyone would just cancel their transactions when they find out they're being charged a fee for using a credit card, merchants will back off on this real fast. However, it may already be a non-issue as credit card companies already have it written into their contracts that merchants can't penalize customers for using their cards.

  • M.L.

    I am glad to see that so many people have responded to this article. The best thing to do is to not participate. If you don't use the card they can't charge you a fee. What happened to just good ole cash? This is a great country that has been taken over by bureaucrats and big business. The people who passed these bills should be called out by name and voted out of office whatever the party affiliation.

  • DON

    lets everybody not forget how much cash my business can deposit before my bank charges me a fee for cash deposits. I am the small guy, and when the bank changes fees, I do not have that built into any price!!!! cash discount how? the banks also charge a fee for that.

  • DON

    amanda, the government is the price gougers.income,sales,property. the list goes on. we are at 75% tax now and 2013 will be even worse.

  • Lynn

    This seems very stupid to allow retail merchants to break down the cost of doing business and charge the customer for them in a separate charge. When you buy an item its cost is figured by taking all the costs involved in developing, creating, marketing, distribution and so forth...including costs to accept Credit Card payments. What will be next, you'll get a separate charge for the cost of the store's light bill for the time you were in their store, or the cost of their online services for the time you were on their website. Customers accept the flat price as what the item costs, and realize it encompasses the cost to bring that item to them. To try to then break down a portion of that cost and charge that to customers separately comes across as greedy and asking for more than a fair price. They tried doing this with ATM Debt fees before and customers learned to avoid those retailers and shop at places that didn't do this. Retailers still pay fees for Debt transactions but have learned to just roll the cost into the price of the items like everything else that makes up the cost of an item. Retailers that try to now charge separate fees for Credit Card transactions will find themselves alienated just like those in the past with Debt fees. Wise up Retailers, in this economy, don't piss off what customers you have or push them to your competitor down the road.

  • dmc

    I understand why consumers would be outraged at this - it's annoying for everyone. But for those who keep saying "retailers have added that cost to their price" - this is just wrong. Small businesses rarely dictate their own pricing anymore thanks to big box stores and online sellers without a brick and mortar store. If you have a product that is selling online for $10.00 you have to keep your price at or close to that to stay competitive. You're usually paying 50% of that $10.00 for the item. Retailers could then be paying 10-30% to have that product shipped to them. By the time you deduct your employees pay, electricity, rent, etc. profits these days can be minimal. I'm not saying this is the case with every product and I'm not saying this is the case with every retailer. But unless you are a small business retailer you have NO idea what things cost and what kind of profits are being made. This is why small businesses are closing left and right. We can not offer the same pricing as a big box store with the service and caring of small business. All I'm saying is if you aren't in it don't assume you know anything about it.

  • Ed

    I tried and tried. But I could not find one cogent comment on this article that came from someone informed, that believes in a market economy, or that does NOT believe that the government (state or federal) should decide what happens in their lives.

    How about we let the market (in the CAPITALIST sense) decide? (an ugly word for most of you I am sure).

    How about if your local supermarket decides to start charging a fee, you vote with your feet
    (voting with your feet=market forces for those of you who aren't into capitalism).

    Pretty soon, most retailers may find out that, lo and behold, maybe the government or VISA/MC do not decide that retailers can or cannot pass on credit card fees ----the CONSUMERS do. They will decide.

    And for those people that frequent retailers that charge a transaction fee: gee, maybe they don't care. Maybe the retailer is informed, and the consumer is informed...and they've both decided: it doesn't matter to me. The goods/services that the retailer provides more than compensates for the fact that they are getting charged a few cents.

    Now I know what they mean by the "low-information voter". This country is truly in trouble. You are all looking outside yourselves to govern your lives. Looking to the government and big business. SAD.

  • http://Comcast Harvey Patton

    They are robbing the people ,thanks to g bush( ed regulatios. are still hit the working americans. they get to use it for taxs.as a write off and make us pay for it. It,s a same that we have to pay for paying our bills. they call it a service charge. that they use for a taxable deduction. it,s a reap off.

  • Per-Ola

    What most people do not understand, is that it is MUCH pricier to handle cash than card transactions. But, just as for CCs, the costs associated with "cash" are rarely seen.
    A few % for the peace of mind - both from the perspective of a merchant as well as the consumer is well worth it.

  • Jim

    After reading the comments, I must reply. Part of the problem is a lot of consumers think busineses are non-profit organizations. If you put everything on the line as a small business owner then you must cover your expenses however you can. Every business is price driven.Credit cards are a convenience for comsumers. If I absorbed bank fees we would pay in excess of $1000 weekly. Yes vertually all profits would go to the banks. Just what they would like to see.Remember we did not invent credit cards, banks did. This was a way of enticing consumers to over extend their credit sutuation, unknowingly. So stop whining and break out the checkbook or cash, or pay the fee.

  • Deneen

    I just received an invoice today for $1224.30, with a note that read they do accept credit cards for payment but they will apply a 2.9% credit card fee...that would be an extra $35.50 added to my bill. I will definitely start watching the fine print.

  • Tom Sekmistrz

    This is great news, finally the consumer pays for using the credit card instead of the seller. The credit card is absolutely the worst form of payment you can possibly imagine because you are spending something you dont have and it turns into a lifetime of payments when it gets out of control. Hopefully soon people will realize that credit cards are not the answer and the only reason why a buisness was never allowed to charge customers more for using the credit card is because then it would stir people away from using the credit card and we all know that the Banks cant have that cuz they dont care about anything other than the intrest they make off you. If i had the money i would loan somebody money for a brand new tv that costs 800 dollars and have them pay me in payments to amount in the long run upwards to about 1200 dollars this is why credit cards are dumb and people that use them need to be educated on the whole corrupt system that revolves the credit card. I love the fact that people are getting charged extra from the buisness for using credit card because the buisness looses not its time for the people who use them and the banks to start loosing now.

    • Matt K

      A few things:
      1. Maybe pay off the whole credit card each month?
      2. You're looking for the words "loses" and "losing."
      3. The consumer stands to gain off of using credit cards. This statement is only false for consumers with poor financial standing or that lack business sensibility.
      4. The business is never required to accept credit cards.
      5. That must be how old you are. Five years old. Because your argument is ludicrous and your spelling is abysmal. I know I already touched on it, but you can't expect to type like a child on a blog about big-boy finance and not get called out for it.