7 ms·

Pay in full customers can be profitable through interchange fees alone, so I don't really follow how it is a wealth transfer

• theandrewbailey 2mo ago
  Merchants almost never pass along interchange fees to the customer. Instead, it's built into the prices that every customer pays the merchant, regardless if the customer uses a credit card, which means everyone pays for credit card rewards.
  • justinclift 2mo ago
    Are you saying that in the US, there's no "credit card surcharge" line item near the bottom of your receipts to cover it?
    • xboxnolifes 2mo ago
      Sometimes, not always.
    • fernie 2mo ago
      Yeah, they include the surcharge in the list price and give you a "discount" for paying in cash (or direct debit). Some merchants include it as a separate line item. But remember that taxes aren't included in the list price, so it doesn't stand out as much as it does in other countries.