As Rules Change, More Retailers Offer Discounts for Cash Payments

July 8, 2013
By

Merchants, most visibly gasoline stations, have been offering discounts for cash payments because their agreements with credit card companies barred them from tacking on surcharges to process plastic.

But now, following a settlement between merchants and credit card giants Visa and MasterCard, that has changed.

According to new rules that went into effect Jan. 27, businesses are allowed to charge up to 4 percent on credit card transactions–provided they share their intentions with credit card companies and have clear signs telling customers about their policy.

Story by Abha Bhattarai for the Washington Post.

Similar Posts:

Share

2 Responses to As Rules Change, More Retailers Offer Discounts for Cash Payments

  1. Senior Citizen on July 8, 2013 at 4:23 pm

    In regard to paying less when buying with cash. I have no credit cards and when I use my debit card I still have to pay the higher price for gas.

    So I only go to Cumberland Farms where cash and credit is the same price and their gases prices are good. Some gas stations charge 6-9 cents more a gallon. Cumberland Farms now offers a SmartCard connected to National Payment Card Association. I filled out the form on line. The form was so long and asked so many questions. I then go an email saying they could not verify my address. I called the number, scanned my license and then got another email asking for more info. I got discussed and withdrew my application but they do have all me personal info. bank routing, account numbers etc.

    When the State raised the tax on gas and a gas stations could charge more when not in cash I saw a gas station not ringing up the gas sale in cash nor the carton of cigarettes on a customer. The State then is loosing out on the tax sales.

    In the long run I do not think cash payment should be a reward. It is a reward for dishonest employees or businesses.

    I will still buy gas at Cumberland Farms but without the SmartCard. They also got great coffee.

    • b mill on January 2, 2014 at 8:46 pm

      just found two surcharges of $1.00 each using credit card at two different local gas stations in Massachusetts. What’s going on?????

Leave a Reply

Your email address will not be published. Required fields are marked *