10 ms·

US credit can be indispensable for those taking career risks and those operating small businesses. In any case, I don't pay transaction fees the merchant does

US credit can be indispensable for those taking career risks and those operating small businesses. In any case, I don't pay transaction fees the merchant does. They're often not allowed to give cash or particular types of cash-in-kind store discounts. This actually just raises the prices for everyone. The payoff for the merchant is it reduces some of the risk of taking cash money and stabilizes some of their transaction flows through their account. It's all probably worth slightly more than what the EU caps it at, but the solution to improve this discovery is to increase the number of transaction networks, not arbitrarily cut them off at the knees and ensure the market never grows to this point. It's at least one reason to love bitcoin and other crypto. You don't need permission to conduct a transaction. Which, given the extreme costs of transactions there, was clearly sorely lacking in the current artificially scarce market.

Hikikomori 2y ago
EU has no credit?
- lxgr 2y ago
  It does, and it's usually free if you pay in full every month, just like in the US. Given the interchange cap (0.3%) and current interest rates, this interestingly looks like a losing product at a first glance (the cost of capital for an average due date of 6 weeks after the purchase date is higher than 0.3%).
Sayrus 2y ago
> In any case, I don't pay transaction fees the merchant does. Unless you're one of those operating small businesses. > It's at least one reason to love bitcoin and other crypto. Sure but what happens in case of fraud, or if I need to initiate a dispute ? What are the fees for that transaction ?
- akira2501 2y ago
  > Sure but what happens in case of fraud, or if I need to initiate a dispute ? What are the fees for that transaction ? Well, yea, exactly. I'm pointing out two systems that are diametrically opposed and nothing in the middle. It highlights the fact the market is broken. This is one consequence of that. > Unless you're one of those operating small businesses. Ironically, I never took credit. Cash or Check only. Handling costs don't apply because the chain of custody is just myself.
  - manuelmoreale 2y ago
    Here in the EU I don’t think you can go cash only as a business. It’s just not an option. I’m ignoring checks because those aren’t a thing anymore. Only people in their 70s might still use them.
    - lxgr 2y ago
      The EU isn't one homogenous place in terms of local habits and practices. In at least some countries you can totally get away with being cash only (although less so since the pandemic).
      - manuelmoreale 2y ago
        Ok I’m not sure if it’s an EU thing or not then but I think here in Italy, if you run a business, you’re not legally allowed to go cash only. It’s just not an option. You must accept traceable payments either via cards or direct bank transfer.
        Sayrus 2y ago
        To provide another data point, in France you are allowed to refuse credit cards or checks. Cash is the only payment method that you cannot refuse but there are exceptions for that as well.

Hikikomori 2y ago

EU has no credit?

lxgr 2y ago
It does, and it's usually free if you pay in full every month, just like in the US. Given the interchange cap (0.3%) and current interest rates, this interestingly looks like a losing product at a first glance (the cost of capital for an average due date of 6 weeks after the purchase date is higher than 0.3%).

Sayrus 2y ago

> In any case, I don't pay transaction fees the merchant does. Unless you're one of those operating small businesses. > It's at least one reason to love bitcoin and other crypto. Sure but what happens in case of fraud, or if I need to initiate a dispute ? What are the fees for that transaction ?

akira2501 2y ago
> Sure but what happens in case of fraud, or if I need to initiate a dispute ? What are the fees for that transaction ? Well, yea, exactly. I'm pointing out two systems that are diametrically opposed and nothing in the middle. It highlights the fact the market is broken. This is one consequence of that. > Unless you're one of those operating small businesses. Ironically, I never took credit. Cash or Check only. Handling costs don't apply because the chain of custody is just myself.
- manuelmoreale 2y ago
  Here in the EU I don’t think you can go cash only as a business. It’s just not an option. I’m ignoring checks because those aren’t a thing anymore. Only people in their 70s might still use them.
  - lxgr 2y ago
    The EU isn't one homogenous place in terms of local habits and practices. In at least some countries you can totally get away with being cash only (although less so since the pandemic).
    - manuelmoreale 2y ago
      Ok I’m not sure if it’s an EU thing or not then but I think here in Italy, if you run a business, you’re not legally allowed to go cash only. It’s just not an option. You must accept traceable payments either via cards or direct bank transfer.
      - Sayrus 2y ago
        To provide another data point, in France you are allowed to refuse credit cards or checks. Cash is the only payment method that you cannot refuse but there are exceptions for that as well.