New Credit Card Fees Kick in Sunday

I did not read the all the posts so I hope someone covered it but if not I will again.

What is going on here is fear mongering and please don't be an ignorant and spread that BS, the article was clearly designed by the credit card companies.

For decades credit card companies have essentially shit on businesses and charged everyone a 3-4% tax on nearly half the dollars moving through this country. They make merchants sign a contract that says you MUST absorb the costs they charge you. You cannot pass it on to the consumers. And because of that every idiot in America thought their credit card was free to use. I can never believe how rare it is for a person I run into to actually understand this. And then rewards cards started getting popular and people figured they were actually getting paid to use a card.

So what happened is what should have been legal the whole time. Now merchants are allowed to pass that fee on to consumers, IE its illegal for a credit card company to deny you a merchant account because you want to pass the fee on.

But what do we get here from ABC news or lack there of, oh its a new charge, no there is no new 4% charge morons its always been there duh. And not only that but the lobbyist at Visa and MC have been able to push through laws to override the settlement in various corrupt shit hole states.

If you are someone who uses cash you should be pissed off because this law was actually going to protect you. All these years you were not using a credit card, guess what you were paying for everyone else to use one in the form of higher prices on goods.

At the end of the day lets get something strait here though, you all are just shit head pawns in a big game, Ask yourself how decades of credit card use passed without a peep about this and then suddenly there is a law suit and things change? What catalyzed it? Was it that we suddenly started caring about consumers? Nope not at all what is really going on is a giant corrupt bitch fight between the banks and merchants and the credit card companies. See credit cards were viewed as a good thing because they got people spending more money then they should, so stores would allow you to use them and absorb the cost slightly unhappily but then in the last 5 years something new happened, debit cards directly from your bank started becoming really common. So now merchants and of course banks, want you to use these instead of credit cards so they can make and save more money but still have the easy plastic that people tend to spend higher amounts with. And so the war started, credit card companies wanted to protect their forced tax of 4% on everything and hide the fact that all those reward cards you use screw over the merchant and the merchants and banks wanted to push down credit card costs.

If you are interested in learning more you should also look up the qualification vs rewards card scam merchants have been running where your card is down rated based not on if you are a shitty payer, but rather if you get more rewards. This is how they screwed merchants into paying for your rewards by charging them an increased rate as if you had bad credit. The merchant reaction to this was the huge push for every store to have their own credit card to keep fees in house.
 
Ducman69 said:
How can it possibly cost 3% in the digital age to process a credit card transaction?
Click to expand...

the fact that it's a percentage means that it doesnt. if its really supposed to be the cost of processing the transaction then every transaction would have the same fee whether its. $.10 or $10,000. i thought it was actually like $.50 which is why a lot of places say you cant use a CC for less than $10 or theres a $.50 fee tacked on.
 
rudy said:
I did not read the all the posts so I hope someone covered it but if not I will again.

What is going on here is fear mongering and please don't be an ignorant and spread that BS, the article was clearly designed by the credit card companies.

For decades credit card companies have essentially shit on businesses and charged everyone a 3-4% tax on nearly half the dollars moving through this country. They make merchants sign a contract that says you MUST absorb the costs they charge you. You cannot pass it on to the consumers. And because of that every idiot in America thought their credit card was free to use. I can never believe how rare it is for a person I run into to actually understand this. And then rewards cards started getting popular and people figured they were actually getting paid to use a card.

So what happened is what should have been legal the whole time. Now merchants are allowed to pass that fee on to consumers, IE its illegal for a credit card company to deny you a merchant account because you want to pass the fee on.

But what do we get here from ABC news or lack there of, oh its a new charge, no there is no new 4% charge morons its always been there duh. And not only that but the lobbyist at Visa and MC have been able to push through laws to override the settlement in various corrupt shit hole states.

If you are someone who uses cash you should be pissed off because this law was actually going to protect you. All these years you were not using a credit card, guess what you were paying for everyone else to use one in the form of higher prices on goods.

At the end of the day lets get something strait here though, you all are just shit head pawns in a big game, Ask yourself how decades of credit card use passed without a peep about this and then suddenly there is a law suit and things change? What catalyzed it? Was it that we suddenly started caring about consumers? Nope not at all what is really going on is a giant corrupt bitch fight between the banks and merchants and the credit card companies. See credit cards were viewed as a good thing because they got people spending more money then they should, so stores would allow you to use them and absorb the cost slightly unhappily but then in the last 5 years something new happened, debit cards directly from your bank started becoming really common. So now merchants and of course banks, want you to use these instead of credit cards so they can make and save more money but still have the easy plastic that people tend to spend higher amounts with. And so the war started, credit card companies wanted to protect their forced tax of 4% on everything and hide the fact that all those reward cards you use screw over the merchant and the merchants and banks wanted to push down credit card costs.

If you are interested in learning more you should also look up the qualification vs rewards card scam merchants have been running where your card is down rated based not on if you are a shitty payer, but rather if you get more rewards. This is how they screwed merchants into paying for your rewards by charging them an increased rate as if you had bad credit. The merchant reaction to this was the huge push for every store to have their own credit card to keep fees in house.
Click to expand...

1) Merchants don't have to accept credit cards
2) Merchants can cherry pick with credit cards they accept.

Merchants got themselves into the 2% fee. They could have refused to carry credit cards carrying fees they felt were unfair. They would have had to go without those customers. But they weren't willing to make that choice.

3) Before credit cards, Merchants use to have their own credit departments. They had to pay to staff and run it in order to appeal to more customers. Credit cards are not only a convenience for merchants in avoiding handling cash but they pretty much allowed stores to get rid of their credit departments wholesale.

4) This is a backdoor attack on online purchases who don't have a practical cash option except the debit card where the risk is very high compared to a credit card if the information is stolen.
 
jpm100 said:
1) Merchants don't have to accept credit cards
2) Merchants can cherry pick with credit cards they accept.

Merchants got themselves into the 2% fee. They could have refused to carry credit cards carrying fees they felt were unfair. They would have had to go without those customers. But they weren't willing to make that choice.

3) Before credit cards, Merchants use to have their own credit departments. They had to pay to staff and run it in order to appeal to more customers. Credit cards are not only a convenience for merchants in avoiding handling cash but they pretty much allowed stores to get rid of their credit departments wholesale.

4) This is a backdoor attack on online purchases who don't have a practical cash option except the debit card where the risk is very high compared to a credit card if the information is stolen.
Click to expand...
1) Competition compels companies to have credit cards.

2) Cherry picking how you get fucked doesn't make it more palatable. I'm not saying the entire cc institution is fucking people, but ccc have discriminated against small business and small transactions.

Merchants didn't get themselves into this unsavory position. The necessity of a cashless transaction was spearheaded by cc companies, but then used as leverage to maintain their market position. This isn't a matter of conjecture, it's been decided in court on multiple fronts.

3) Frame it as you like; ccc were a benefit to transitioning to a cashless purchase system, but the cc tax level has outlived its necessity.

4) This is not a backdoor attack. Credit card companies, once again, lead the way in protecting the consumer with online purchases. That is fantastic. Your connection is unjustified. What is the motivation behind such an effort?
 
metalsmart said:
1) Competition compels companies to have credit cards.

2) Cherry picking how you get fucked doesn't make it more palatable. I'm not saying the entire cc institution is fucking people, but ccc have discriminated against small business and small transactions.

Merchants didn't get themselves into this unsavory position. The necessity of a cashless transaction was spearheaded by cc companies, but then used as leverage to maintain their market position. This isn't a matter of conjecture, it's been decided in court on multiple fronts.

3) Frame it as you like; ccc were a benefit to transitioning to a cashless purchase system, but the cc tax level has outlived its necessity.

4) This is not a backdoor attack. Credit card companies, once again, lead the way in protecting the consumer with online purchases. That is fantastic. Your connection is unjustified. What is the motivation behind such an effort?
Click to expand...

If credit card companies don't charge the merchants a fee then how do they stay in business with offering people customer support as well as fraud protection. I wouldn't use a credit card if I didn't deem it safer than carrying cash everywhere.

The positive to credit cards is they stimulate consumer spending which is actually pro business. It isn't the credit card companies fault if you get fucked into using it as a loan based system.

That is the whole point of capitalism to fuck other people.
 
Also know this CCC and banks have been protected from competition routinely by the government (or regulatory bodies) its corruption of course, but we call it lobbying.. any other country and its corruption.
All the 'swipe' fees where pushed down, creating billions in loss.. they where push down to a point but they are still higher than what they would be have competition been allowed in the plastic money market (its been studied).
Walmart tried to become a bank, but was pushed out.. why?
 
sfsuphysics said:
Oh and hurray for California! However I have noticed over quite a few years gas stations are apparently allowed to charge different prices for cash vs credit.
Click to expand...

allowed to charge? There is a considerable fee for running a card. What's wrong in passing savings on to cash customers? If it bothers you, go somewhere that doesn't do that.

It's a cash discount, seems fair to me.
 
SticKx911 said:
allowed to charge? There is a considerable fee for running a card. What's wrong in passing savings on to cash customers? If it bothers you, go somewhere that doesn't do that.

It's a cash discount, seems fair to me.
Click to expand...

First... thanks for necro-posting/replying... now I have to read back to get the context of something that I said a couple months ago.

Second if you read the article it specifically states this

Ten states prohibit credit card surcharges, so if you're making a purchase in any of the following, you won't have to worry about being penalized: California, Colorado, Connecticut, Florida, Kansas, Maine, Massachusetts, New York, Oklahoma and Texas.
Click to expand...

Which brought about the comment about how gas stations can charge even though it clearly states my state has rules prohibiting separate prices for separate types of payment. More like if you don't like it (as a business owner) simply don't accept credit cards, which many do.
 
You must log in or register to reply here.
Back
Top