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I like my rewards Visa more than I like Kroger. Good luck with that ban, guys.
by chiph 8y ago
I like my rewards Visa more than I like Kroger. Good luck with that ban, guys.
- parshimers 8y agoSeriously, dealing with cash is a hassle, especially on a self-checkout. Arco has tried the same nonsense and I avoid them at every turn, because it requires me to a) have cash and b) stand in line to pay , rather than it taking a moment to swipe a card.
- jchb 8y agoWhy do you need to stand in line to pay with cash? Maybe the self-checkout machine in particular only accepts cards, but it could look like this: https://www.ecrs.com/wp-content/uploads/2018/03/fujitsu-genesis-sco.png https://www.ecrs.com/wp-content/uploads/2018/03/fujitsu-gene... - I see these all the time.
- bowmessage 8y agoArco is a gas station - the pumps don't accept cash so the only way to pay cash is to wait inside to speak with the cashier.
- toomuchtodo 8y agoKroger has most likely done the math with their Kroger rewards program (which has historical payment data), and has determined most people won't care and will switch to debit or a non-Visa CC network instead.
- kevin_thibedeau 8y agoWal-Mart has had success with forcing debit transactions to withhold merchant fees.
- toomuchtodo 8y agoThey’re also trying to push Walmart Pay as well. At their scale, it’s worth it. Despite the pain, I still think Walmart should’ve acquired and rebranded a bank, and offered financial products. Would do wonders for the unbanked, while keeping their transaction fees down.
- MrEldritch 8y agoI seem to recall from a previous discussion about the possibility of Amazon buying a bank that such an arrangement would be extremely illegal. IIRC, there's a law expressly prohibiting any company from both acting as a bank and a retail business. edit: Yep, there is. The Bank Holding Company Act prevents companies in commerce from engaging in banking activities.
- pseingatl 8y agoLaws can be changed. An entity like Amazon can lobby for a change. Donate money to politicians likely to vote for a change. Call for a change on the editorial page of the Washington Post. Remember, once upon a time, there was but one phone company. Then the law changed... Interstate/branch banking was illegal. Then the law changed. Amazon could probably set up a members-(i.e., customers) only credit union without too much difficulty.
- MrEldritch 8y ago>Despite the pain, I still think Walmart should’ve acquired and rebranded a bank, and offered financial products. I just wanted to point out that this was actually significantly more difficult than the parent comment may have realized.
- deleted 8y ago[deleted]
- wiredfool 8y agoHow did Sears do it with Discover, or is this a recent thing?
- will_dev_4_food 8y agoVisa likes their 3% which is auto deducted from your purchase, so I guess many “real people” will be cheering for Visa.
- bostonvaulter2 8y agoI wish credit card fees would come down, they're ridiculously high and increase the price of doing business, which increases the prices you pay for items.
- cycrutchfield 8y agoMost people that care get a substantial portion of those fees back (either as cash or rewards). So in reality, those fees are a tax on the poor, the un-creditworthy, and the financially illiterate.
- kasey_junk 8y agoI assume they meant merchant fees.
- sokoloff 8y agoProbably so. That's where the money for the cash-back comes from, after all...
- throwaway76543 8y agoMerchants raise prices to compensate. That is why it is "the poor, the un-creditworthy, and the financially illiterate" who ultimately pay.
- kasey_junk 8y agoSure but I think the argument is that because those merchant fees are unknowable no one can make intelligent choices around them. The disadvantaged are obviously more impacted but it’s possible that all of us not in credit card employ or shareholder are taxed. A prisoners dilemma sort of thing. But we are well past my economics understanding.
- throwaway76543 8y agoWe know generally what the rates are and the statement above is accurate: "Most people that care get a substantial portion of those fees back (either as cash or rewards)"
- Johnny555 8y agoI like my rewards Visa... That's why Kroger is willing to turn you away -- they don't want to pay for your rewards. In a business where profit margins can be a thin 1 - 2%, losing some customers that cost a 3% transaction fee while driving others to cheaper transactions can be a net win despite losing business. Though I suspect that Visa will blink first before other retailers decide to do the same.