Article Side

Online Article Directory!

Hello Guest! Login or Register to submit articles!

Surcharges on Credit Card Transactions

By Vision Payments Subscribe to RSS | January 18th 2012 | Views:
loading
 
  



Vision Payment Solutions understands that doing business is a daily challenge, that, as a merchant, you have responsibilities that might drive others to insanity – dealing with unsatisfied customers, keeping everything stocked, and overseeing those who work for you to ensure all your consumers are well taken care of and pleased when they walk out the door. After all, keeping your supporters happy is the best long-term goal you could have, as customer loyalty is crucial in these tough economic times. Today’s topic is the surcharge issue – something a lot of merchants haven’t been happy about, but something to nonetheless understand. Surcharges can amount to big trouble, so it’s important to avoid processing fees for credit cards altogether.

Have you ever posted a sign in your shop or store informing the customer of a minimum amount for a credit card transactions Processing, claiming you’ll charge a fee for processing the card if it’s under a certain bracket of prices? Call it what you will (surcharge, convenience fee, credit card acceptance fee or checkout fee), neither Visa nor MasterCard allow retailers to charge an additional fee on top of a credit card transaction.

MasterCard’s official documentation states that you “must not directly or indirectly require any Cardholder to pay a surcharge in connection with a transaction” (Charges to Cardholders, to date: this document is regularly changed, and so pages and paragraphs keep taking new form). Additionally, their documentation also holds that “MasterCard rules specifically prohibit merchants from adding a fee for acceptance of MasterCard cards; This is considered surcharging.”

The Visa officials are mirroring their appraisal of the situation: “Visa rules do not allow retailers to charge cardholders a checkout fee for using their cards” and, furthermore, advising card-holders to “report retailers that are charging checkout fees.”

Both Visa and MasterCard stay well within politically correct boundaries, as they base their rules on discrimination laws, and surcharging a shopper paying with a credit card is, in a sense, discrimination based on type of payment. Several states in the U.S. have accepted the associations’ ruling, and outlawed surcharges on credit card payments. These states are: California, Colorado, Connecticut, Florida, Kansas, Maine, Massachusetts, New York, Oklahoma & Texas.

So what does this mean? Do the associations and state regulators expect retailers to finance processing fees out of their own pockets? Merchants should embed their processing fees in their final prices and therefore should not be allowed to offer discounts for cash and check purchases, as well as for PIN debit cards, as long as such offers are made to all buyers.

We sincerely hope this matter was clarified for you in this blog, but should you have any questions on surcharges, simply call us any time at the number above. Friendly representatives are standing by!

Vision Payments - About Author:
George Williams is an experienced, fast-growing merchant account service provider, and provides credit card payment processing
and credit card processing services services.

Share on Facebook Tweet It Stumbleupon this post This post is delicious !

Article Source:
http://www.articleside.com/finance-articles/surcharges-on-credit-card-transactions.htm

Related Finance Articles Subscribe to RSS

Free credit score report: why to get one
Published by Brigham Brock on May 29th 2012 | Finance
It is essential to begin creating a credit status as early as possible. You can start to create one ...
 
What to consider when applying for a credit card online
Published by Fiona Roy on April 23rd 2012 | Finance
Discover which type of credit card is right for you....
 
Cash loans bad credit- Fast Cash Notwithstanding Bad Credit
Published by Rider Abraham on March 21st 2012 | Finance
Cash Loans Bad Credit is an instant solution and a great short term financial support for persons wi...
 
No Credit Check Loans- Fast Cash Without No credit Checks
Published by Jason Welsh on March 29th 2012 | Finance
If you are looking for a hassle free and easy process to get immediate cash help, then you need look...
 
Get an absolute idea before opting for business credit loans
Published by Macrobusinesscapital@gmail.com on January 15th 2012 | Finance
The growing world and the rapid increase in the technology have completely changed the life of human...
 
Regain your financial standing through credit counseling Houston
Published by James on March 31st 2012 | Finance
There are lots of people who fall into a debt for different reasons. Usually after falling into a de...
 
No credit search loans - Get Funds Without Verification Process 
Published by Alice Johnsonn on January 12th 2012 | Finance
No credit search loans don’t account your credit history and helps you to avail cash support in qu...
 
Unsecured loan information : Advantages for the all types of credit scorer
Published by Mark Fulton on April 12th 2012 | Finance
Unsecured loan Information are normally a personal loan and are ideal for individual who need money ...
 
How to choose the balance transfer credit card offer?
Published by Alenpaul on January 19th 2012 | Finance
As many find themselves in debt with certain credit cards, and trying to renew their card ability th...
 
Christian credit counseling and credit counseling services
Published by James Blee on December 14th 2011 | Finance
This recession has been very tough for people who have especially taken loans against their credit c...
 
Bad credit loans no fees: Shake Hands with Cash Crunches with Smile
Published by Cameron White on December 13th 2011 | Finance
Bad credit loans no fees are always ready to shake hands with poor creditors to let them feel comfor...
 
Where can I get the best rate credit cards - at the bank or online?
Published by Jesse Wallace on June 6th 2012 | Finance

Applying for a credit card online can sometimes offer better rates than in high street banks....
 
Signature loans no credit check- Get fund with a simple signature!
Published by John Simen on April 9th 2012 | Finance
With the aid of signature loans no credit check, you can avail funds up to $15000 with your signatur...
 
Instant loans with bad credit: Cash facility with poor creditors
Published by Calvien Peter on December 5th 2011 | Finance
These finances are the best way to get the fast cash. Applicant can avail fast cash without pledging...
 
Merchant Account processing type Merchant debit and Merchant credit card processing
Published by Eric Hannelius on January 18th 2012 | Finance
When you are doing the business your main focus is onto customers’ service provided to them so tha...
 
Finance for worst credit sanctioned within a day of filling
Published by Ross Sorin on March 2nd 2012 | Finance
Online financial aid is available for bad creditors through which they can get easy cash without fac...
 
Understanding Christian and credit card debt settlement organizations
Published by Julia Roger on December 14th 2011 | Finance
With increasing debts among the majority of the population, people have started to seek professional...
 
If you accept Visa and MasterCard you can get Bad credit small business loans
Published by Joseph Richard on April 4th 2012 | Finance
Despite it being a popular means of finance, there are several business operators who are unsure of ...
 
Why should i get my free credit report?
Published by Mary Cruise on May 25th 2012 | Finance
Your free credit report is consulted by potential employers, landlords, credit issuers and lenders, ...
 
Prepaid card-The credit solution
Published by Anni on March 2nd 2012 | Finance
A prepaid card is some card that you place your own cash into ahead of era so you can employ that ca...