No Surcharge for using Credit Cards

[chico bill]

Consumer Protection will punish credit card shenanigans

<p>Santo Domingo.- The Consumer Protection Agency (Pro Consumer) warned Fri. that the practice of some commercial establishments of charging commission or surcharge to users who pay with credit cards is “illegal and abusive.” It announced that businesses that incur in this irregularity to the...

dominicantoday.com

Ok so the government says a business can not charge you more for using a credit card.
But can they offer a cash discount ?
In other words the price is 5000 pesos on that item and you pay 5000 with a credit card but if you use cash then it's 4600 pesos ?

Would that be abusing the law ?
Of course in the US, Canada or Europe the price is the price either way - but here almost all appliance stores, or cell stores offer discounts for cash - seems to me they are still punishing credit cards

 

[JD Jones]

Consumer Protection will punish credit card shenanigans

<p>Santo Domingo.- The Consumer Protection Agency (Pro Consumer) warned Fri. that the practice of some commercial establishments of charging commission or surcharge to users who pay with credit cards is “illegal and abusive.” It announced that businesses that incur in this irregularity to the...

dominicantoday.com

Ok so the government says a business can not charge you more for using a credit card.
But can they offer a cash discount ?
In other words the price is 5000 pesos on that item and you pay 5000 with a credit card but if you use cash then it's 4600 pesos ?

Would that be abusing the law ?
Of course in the US, Canada or Europe the price is the price either way - but here almost all appliance stores, or cell stores offer discounts for cash - seems to me they are still punishing credit cards

None of the places I shop even try to hide that charge. Items have one price, use a card it's 5-10% more. I don't see that changing.

 

[chico bill]

None of the places I shop even try to hide that charge. Items have one price, use a card it's 5-10% more. I don't see that changing.

Yeah I know right - seems it will be an uphill battle for the government unless they actually levy fines, which uncle Tito will push back on in a big way

 

[SKY]

None of the places I shop even try to hide that charge. Items have one price, use a card it's 5-10% more. I don't see that changing.

The most common place to constantly use Cards would be supermarkets. None that I know of charge anything extra to use a Card.................

 

[rubio_higuey]

Consumer Protection will punish credit card shenanigans

<p>Santo Domingo.- The Consumer Protection Agency (Pro Consumer) warned Fri. that the practice of some commercial establishments of charging commission or surcharge to users who pay with credit cards is “illegal and abusive.” It announced that businesses that incur in this irregularity to the...

dominicantoday.com

Ok so the government says a business can not charge you more for using a credit card.
But can they offer a cash discount ?
In other words the price is 5000 pesos on that item and you pay 5000 with a credit card but if you use cash then it's 4600 pesos ?

Would that be abusing the law ?
Of course in the US, Canada or Europe the price is the price either way - but here almost all appliance stores, or cell stores offer discounts for cash - seems to me they are still punishing credit cards

Cash discount is a valid option that even card companies (Visa, Mastercard. AMEX) officially acknowledge is a legal option merchants have. you can not legally penalize discount on a certain method of payment, yet you can legally penalize surcharge on a certain method of payment. Moreover, surcharge for payment with card also goes against your merchant agreement signed when accepting payment cards.

Cash Discounts and Credit Card Processing Fees - What Not to Do

Is it legal to offer a cash discount to cut down on credit card processing fees? Yes, but there are still rules you'll need to follow.

www.cardfellow.com

 

[rubio_higuey]

 

[Seamonkey]

Consumer Protection will punish credit card shenanigans

<p>Santo Domingo.- The Consumer Protection Agency (Pro Consumer) warned Fri. that the practice of some commercial establishments of charging commission or surcharge to users who pay with credit cards is “illegal and abusive.” It announced that businesses that incur in this irregularity to the...

dominicantoday.com

Ok so the government says a business can not charge you more for using a credit card.
But can they offer a cash discount ?
In other words the price is 5000 pesos on that item and you pay 5000 with a credit card but if you use cash then it's 4600 pesos ?

Would that be abusing the law ?
Of course in the US, Canada or Europe the price is the price either way - but here almost all appliance stores, or cell stores offer discounts for cash - seems to me they are still punishing credit cards

I always got deals in Canada for paying cash when buying a big ticket item.

 

[chico bill]

Cash discount is a valid option that even card companies (Visa, Mastercard. AMEX) officially acknowledge is a legal option merchants have. you can not legally penalize discount on a certain method of payment, yet you can legally penalize surcharge on a certain method of payment. Moreover, surcharge for payment with card also goes against your merchant agreement signed when accepting payment cards.

Cash Discounts and Credit Card Processing Fees - What Not to Do

Is it legal to offer a cash discount to cut down on credit card processing fees? Yes, but there are still rules you'll need to follow.

www.cardfellow.com

Yes that's what they all do I assume is post a price then offer a cash discount.
But I have asked the price of some major ticket items in DR than pulled out my credit card and they say they must charge more - that seems disingenuous and more like adding a surcharge

 

[william webster]

Try any gas station in the US..... one price for cash, another for card

The cash price is the one you see on the big sign

 

[malko]

Consumer Protection will punish credit card shenanigans

<p>Santo Domingo.- The Consumer Protection Agency (Pro Consumer) warned Fri. that the practice of some commercial establishments of charging commission or surcharge to users who pay with credit cards is “illegal and abusive.” It announced that businesses that incur in this irregularity to the...

dominicantoday.com

Ok so the government says a business can not charge you more for using a credit card.
But can they offer a cash discount ?
In other words the price is 5000 pesos on that item and you pay 5000 with a credit card but if you use cash then it's 4600 pesos ?

Would that be abusing the law ?
Of course in the US, Canada or Europe the price is the price either way - but here almost all appliance stores, or cell stores offer discounts for cash - seems to me they are still punishing credit cards

Well to be fair, accepting CC -and debit cards, to a lesser degree-- adds charges to the merchant, so he will naturally pass them on to the client.

CC merchant fees are not proportional. The better the client is ( ie, the higher the amount he deals in CC ), the lower the fees. So basically it is penalizing small businesses.

Understandably, small buisnesses will do everything that is possible to get you to pay cash.

 

[cavok]

Try any gas station in the US..... one price for cash, another for card

The cash price is the one you see on the big sign

I have never encountered that(?).

 

[SKY]

I have never encountered that(?).

It was once prevalent in the US, but no more.................

 

[cavok]

It was once prevalent in the US, but no more.................

Maybe it was prevalent in some states(?). I never encountered it once in 35 years in Florida.

 

[chrisgy]

Try any gas station in the US..... one price for cash, another for card

The cash price is the one you see on the big sign

This is very common in NYC . However they do post both prices

 

[SKY]

This is very common in NYC . However they do post both prices

In NYC they would charge for oxygen if they could..............

 

[william webster]

Any state..... gas prices have 2 levels..... the credit Price is shown much smaller....

nothing to do w/ the state.... it's a Sunoco/Shell/etc policy

 

[chico bill]

Any state..... gas prices have 2 levels..... the credit Price is shown much smaller....

nothing to do w/ the state.... it's a Sunoco/Shell/etc policy

I have seen it but it is not as common as it once was.
There is a workaround however:

How To Buy Gas With Credit Card And Still Get The Cash Price

The gas station I usually go to added a discount for cash. The prices posted high on the board are cash prices. Down at the street level, there is a small

thefinancebuff.com

 

[windeguy]

The most common place to constantly use Cards would be supermarkets. None that I know of charge anything extra to use a Card.................

No one is referring to charging more than list price, as in a surcharge, for using a credit card.
Yet, since I moved here in 2003 there have been "discounts" for using cash.

Call it semantics, or whatever you want. Many times you pay more if you use a credit card (when you are not in a supermarket).

I never use credit cards here.

 

[windeguy]

Yes that's what they all do I assume is post a price then offer a cash discount.
But I have asked the price of some major ticket items in DR than pulled out my credit card and they say they must charge more - that seems disingenuous and more like adding a surcharge

I have never had that happen, but then I don't use credit cards. NO they should not be doing that, They could lose their ability to use credit cards if you report it.

The discount off of the list price for using cash is another story and they can and do have that policy most everywhere (not in supermarkets).

 

[windeguy]

Yeah I know right - seems it will be an uphill battle for the government unless they actually levy fines, which uncle Tito will push back on in a big way

Charging more than list price for using a credit card would be in violation of agreements with credit card companies. I don't expect the government has any say in it at all. Many places have discounts for using cash to "work around" this issue.