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> > I don't love that I also have a 3% tax going to VISA/Mastercard/Amex/... > You don’t. The merchant you are buying from is choosing to pay 3% for credit car
by rascul 3y ago
> > I don't love that I also have a 3% tax going to VISA/Mastercard/Amex/...
> You don’t. The merchant you are buying from is choosing to pay 3% for credit card payments because they believe incentivizing people to pay with credit cards will result in them earning more (via higher prices or higher margin goods) than incentivizing them to pay with debit/cash.
Today I picked up flooring from a place that gave a 5% discount for paying with cash or check. Many gas stations around here are around 3% less when paying with cash. At such places you pay extra for the convenience of the card.
- hackernewds 3y agoMany places you are paying with cash also push for that option to skirt on reporting taxes.
- grvdrm 3y agoYou’re not alone. I just paid for something that added a 3% convenience fee for paying with a card. I don’t see it frequently but the behavior is out there. Otherwise I think the incentive point is exactly right. My town allows you to pay for parking with a mobile app and CC. I’m sometimes charging a dollar total to the card for parking. Not much left for the town after the fees. But I always have my phone and can pay vs carrying cash or coins to pay. My guess is the town makes more overall in parking fees because of that app
- EVa5I7bHFq9mnYK 3y agoMany apartment complexes charge convenience fee of 2-3% for paying with card. They don't take cash either, so I paid with money orders while living in the US.