7 ms·
Potentially, although do remember that card processing fees are rather high for small businesses, and every transaction that they don’t have to lose 3% or 5% of
by bootcampjs 9y ago
Potentially, although do remember that card processing fees are rather high for small businesses, and every transaction that they don’t have to lose 3% or 5% of or whatever is extra money they can keep.
- lotsofpulp 9y agoUnless jedberg is referring to a 3% discount as a big discount, then I think it's quite obvious that it's due to tax evasion, which would allow the merchant to provide deeper discounts. This is common in cash businesses.
- jedberg 9y agoWell it's $12 instead of $15, so 20% off. But keep in mind that for a small merchant, besides the 3% processing fee, there is also a base fee, and when you talk about a haircut for $15, the base fee eats up a whole lot of the profit.
- sushid 9y agoThe standard maximum rate is 2.9% + 30 cents. Looks like they're losing over $2 per transaction for doing business in cash, unless, they make us for this cough somehow.
- SilasX 9y ago20+% business/personal tax vs 5% CC fee. Which do you think is the bigger motivator there?