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> Credit cards give me cashback, worldwide acceptance and peace of mind. That's because you (and everyone else in Switzerland, even those paying cash) is eatin
by closewith 1y ago
> Credit cards give me cashback, worldwide acceptance and peace of mind.
That's because you (and everyone else in Switzerland, even those paying cash) is eating a 2-3% merchant fee markup. In the civilised world like the EU, where credit card interchange fees are capped of 0.3%, those cashback benefits (which is, again, your money you've just paid) don't exist.
> worldwide acceptance
For now, at a huge economy-wide cost. That skimmed 2-3% is what Trump is trying to protect.
> peace of mind
That's also country-dependent. In many countries, credit card transactions have no additional protections and chargebacks aren't the magic bullet they are in some.
> more convenient, safer, faster.
Pix is more convenient, safer (much, much safer and lower risk of fraud), and faster than credit cards. Cheaper too.
- brainwad 1y agoSwitzerland has interchange fees of 0.4% for consumer credit cards (by contactless, only slightly higher by chip+pin): https://www.visaeurope.ch/content/dam/VCOM/regional/ve/unitedkingdom/PDF/fees-and-interchange/july-2023/switzerland-interchange-fees-jul-23.pdf https://www.visaeurope.ch/content/dam/VCOM/regional/ve/unite..., https://www.mastercard.com/content/dam/public/mastercardcom/eu/europe-lfi/europeaninterchange/pdfs/48switzerland.pdf https://www.mastercard.com/content/dam/public/mastercardcom/.... And yet banks offer 0.33% cashback cards: https://certo-card.ch/one https://certo-card.ch/one. And let's not forget that cash acceptance costs an order of magnitude more than this anyway; if anything businesses should charge surcharges for accepting cash, not the other way around, and given the social constraint of no surcharges, cashback is a fair mechanism to reward efficient payment methods.
- closewith 1y ago> Switzerland has interchange fees of 0.4% for consumer credit cards Only since Wednesday of this week due to COMCO action, so no-one knows if cashback will persist, but it will be a lot less than .33%. > And let's not forget that cash acceptance costs an order of magnitude more than this anyway; In the EU, it's .5% for cash vs .3% for cards, but the situation falls back into favour for cash once fraud is accounted for.