For years, select merchants (like Gas Stations) have been able to charge consumers more for Credit Cards than for Cash. Until recently, this has been forbidden to most merchants due to Visa and Mastercard Operating Regulations. Now a recent Department of Justice ruling has made it possible. Visa and Mastercard have tried to “muddy” the field by releasing a very confusing matrix.
What does it mean? It means SURCHARGING is still not possible, but DISCOUNTING FOR CASH is! What is the difference? ONLY IN HOW YOU DO IT! Well, to be “legal”, you need to post a sign in your location, letting customers know that the prices they are seeing, ALREADY REFLECT A CASH DISCOUNT, and that your receipts will reflect a “Cash Discount Not taken” Something like this:
Now, when you charge the customer, you can “Reverse” the cash discount easily. Our Software’s OPTION screens have a field to make this process easy:
Simply select a percentage to use on your “Notice”, then enter it into your Software. Some Versions of the software may not have this field yet. So check back for updates, and until then, you can add this in the “Tip/Fee” field on the main sales screen if it is not available on your platform yet.
USING THIS OPTION CAN COMPLETELY ABSORB YOUR TRANSACTION COSTS. REVIEW YOUR MERCHANT STATEMENTS TO SEE WHAT YOUR COMPLETE COSTS – INCLUDING MONTHLY FEES TO DETERMINE A PERCENTAGE THAT STRIKES A BALANCE BETWEEN WHAT THE MARKET WILL BEAR, AND HOW MUCH YOU WANT TO OFFSET YOUR FEES!