4 ms·
If it exists, you pay for it one way or another. In the case of credit cards the cost is just obfuscated in the form of higher final prices.
by rajacombinator 11y ago
If it exists, you pay for it one way or another. In the case of credit cards the cost is just obfuscated in the form of higher final prices.
- abalone 11y agoNo. It is vastly less expensive to have a central authority reverse a transaction by flipping some bits vs. guaranteeing it via escrow or insurance. Additionally the oft-repeated claim that credit card fees lead to higher prices has two problems: 1. When Australia regulated away CC fees, prices did not decline. 2. In the U.S., which has higher interchange rates, most of that is refunded back to the consumer via reward programs (1-2% cashback).