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Gas & Diesel stations are now charging from 6 cents to 10 cents PER GALLON to use your debit or credit card to pay for fuel. The reason they give is the margins on the fuel won't cover the percentage of sales and transaction fees the card companies charge the station.
I don't like carrying a large wad of cash so I tend to use my debit card for most purchases.
Unfortunately for them, I will now go to Costco where not only do I pay less for gas and there's no extra fee to use my credit or debit card.
The station I usually go to will now lose over $400 per month in my business. Costco is only a little bit out of my way but well worth it to save 6 cents per gallon.
I wonder what affect that will have on their margins....?
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"Small House, Big Yard "
"May the FOREST be with you" Alfa See-Ya 5'er and 2007 Kodiak C4500 Monroe
That's a "rip" as far as the Debit card. To use Credit Card the merchant fees are by percentage of sales but Debit Card should be .15 cents per transaction. That's what it is up here anyway.
I'm not sure about the rest of the country, but this is nothing new for NJ anyway. For at least the past few years, pretty much every place charged that much more for non-cash.
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Cheryl B. in her new RV
(well, not new any more! Full timing since 6/25/14)
2008 DRV MS 36TKBS3 (the CoW: Castle on Wheels), 2005 Ford F550 hauler (the Bull)
Do they actually advertise as a "Surcharge" to use plastic or a "Discount" if use cash. My merchant rep. told me the vendor can't add a surcharge to use plastic. If they are, then the merchant company can pull the machine out of the vendors business. It deters the consumer from using plastic and the merchant provider don't like that.
Do they actually advertise as a "Surcharge" to use plastic or a "Discount" if use cash. My merchant rep. told me the vendor can't add a surcharge to use plastic. If they are, then the merchant company can pull the machine out of the vendors business. It deters the consumer from using plastic and the merchant provider don't like that.
The big sign on the street shows Cash Price $3.29 Credit/Debit $3.35 at every station.
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"Small House, Big Yard "
"May the FOREST be with you" Alfa See-Ya 5'er and 2007 Kodiak C4500 Monroe
That's strange ......We can't do that up here. Did you ever contact the merchant provider and ask them about it? Maybe it's different from Canada and U.S.
In NJ it clearly says on the price signs, one price for cash and another price for credit/debit, just like there's a separate price listed for regular and premium and diesel.
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Cheryl B. in her new RV
(well, not new any more! Full timing since 6/25/14)
2008 DRV MS 36TKBS3 (the CoW: Castle on Wheels), 2005 Ford F550 hauler (the Bull)
It is nationwide. All the big 5 truck stops do it and many other stations as well. The amount charged for a transaction in the US depends on who you use to process your transactions. I believe it is called a discount for cash or check. The big 5 also charge more for fuel. Look for smaller stations to save money.
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MarkS & Jackie MSgt, USAF, Ret 2004 Volvo 780 530 HP Cummins 13 speed 2014 Trilogy 3650RE fulltime since Oct 8, 2016
...and yet all the credit card companies are reporting record profits. Not all stations are doing the cash discount, but it is spreading. Cash is king once again. The funny thing, if the stations start having large cash hoards again, they will need more security, more charges for armored cash pick ups, tie up resources to count more money at the end of every shift.... and so on. Are they really saving money on swipe fees? Inquiring minds want to know. Most retailers would rather not process checks so I don't get their logic for giving a discount to use them vs CCs.
Brian
-- Edited by biggaRView on Monday 3rd of November 2014 06:43:00 PM
On the West Coast, Safeway has gas stations with a lot of their grocery stores. You earn ponts towards based upon grocery purchases, $100 = $0.10 off per gallon. Their stations have one price for cash, another for cash purchases, usually $0.10 difference. HOWEVER, you can buy the Safewsy gift card, with the amount you put on the card going towards the reward points, with a credit card/debit card in the store, and their gift card is treated as cash at the pump. Sometimes you can get double points when purchasing the gift card. We often have enought for $0.50 - $1.00 off!
Barb
-- Edited by Barbaraok on Monday 3rd of November 2014 07:36:39 PM
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Barb & Dave O'Keeffe
2002 Alpine 36 MDDS (Figment II), 2018 Ford C-Max HYBRID
We get 3% in cash back if the gas station takes American Express and 6 months of the year (Jan-March and July-Sept) we get 5% cash back from our Chase Freedom card. 3% of $3.00 is 9 cents, more than the 6 cent surcharge for a credit card.
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Bill Joyce, 40' 2004 Dutch Star DP towing an AWD 2020 Ford Escape Hybrid Journal at http://www.sacnoth.com Full-timing since July 2003
We used a credit card on our last trip.. Got a attempted fraud on one pump. they must have had one of those machines in it. 2 weeks later, a $500 charge showed up. We where on it fast. Bank took care of it...
Nothing but cash from now on for me. It a hassle, but it a nightmare when someone grabbed your card info.
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"Be who you are and say what you feel because those who mind don't matter and those who matter don't mind" - Dr. Seuss