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People get benefits back from their cards because of the transaction fees. Thats where the money comes from, not from the bank accounts of Visa and Mastercard's
by krunck 2y ago
People get benefits back from their cards because of the transaction fees. Thats where the money comes from, not from the bank accounts of Visa and Mastercard's CEOs.
Merchants are prevented by their contract from charging the transaction fee to the customer using the card. Therefore all customers pay the fees though increased merchant prices, even those using cash.
I resent paying for peoples credit card "benefits" - actually they're payoffs - every time I use cash.
- scarface_74 2y ago> Merchants are prevented by their contract from charging the transaction fee to the customer using the card. Therefore all customers pay the fees though increased merchant prices, even those using cash. This hasn’t been true for over a decade https://usa.visa.com/dam/VCOM/download/merchants/surcharging-faq-by-merchants.pdf https://usa.visa.com/dam/VCOM/download/merchants/surcharging... > Can I add a surcharge to card transactions? > As a result of a legal settlement to resolve claims brought by a group of U.S. merchants, merchants in the U.S. and U.S. territories may add a surcharge to certain credit card transactions, starting January 27, 2013. Merchants who choose to surcharge must follow > I resent paying for peoples credit card "benefits" - actually they're payoffs - every time I use cash. You really think retailers would reduce their prices by the amount of credit card fees if they didn’t pay them?
- bigstrat2003 2y ago> You really think retailers would reduce their prices by the amount of credit card fees if they didn’t pay them? What kind of question is that? You were literally given an example, in this thread, about how some retailers do just that.
- scarface_74 2y agoIn aggregate, if all credit card fees were eliminated tomorrow, would all prices get 2% cheaper?