Reply
Established Contributor
chan85
Posts: 547
Registered: ‎03-13-2011

Re: Report a Merchant to Amex


Dadaluma83 wrote:

Wrong, surcharges are still a violation of the merchant agreement in all 50 states. The lawsuit settlement allowing surcharges hasn't even been accepted yet let alone taken effect.

 

What they are doing violates their merchant agreement with all 4 card companies. Report them.


You are right, filling out that form for Amex right now!

WM TransUnion- 650 (6/2014) Credit Sesame Experian- 691 (6/2014) Credit Karma TransUnion- 665 (6/2014)
Amex Zync/UNICORN- NPSL/Capital One Venture One Pro -$7,000/NFCU Cash Rewards- $7,500/NFCU NavChek- $5,000/SouthWest Airlines- $5,000/Capital One Quicksilver Platinum- $3,000/Wal-Mart Discover- $6,000/Bill Me Later- $2,200/JCP- $4,700/Discover IT- $500/Care Credit -$2,300/Old Navy Visa- $2,000/New York & Company - $1,000/Capital One -$800
GOALS: No new inqs until 10/30/14. Pay off debt consolidation loan in less than 1 year. Snowball debt payments.
Last HP: 3/5/14
New Contributor
bluewillow
Posts: 81
Registered: ‎03-26-2009

Re: Report a Merchant to Amex

Hmm how do gas stations get away with it....$3.48 for cash $3.58 for credit, isn't that a surcharge? Just curious

Senior Contributor
Open123
Posts: 4,018
Registered: ‎02-23-2011

Re: Report a Merchant to Amex


bluewillow wrote:

Hmm how do gas stations get away with it....$3.48 for cash $3.58 for credit, isn't that a surcharge? Just curious


I know that once there was such an agreement, but I'm not sure if it's still in place after Visa/MC's settlement with the DOJ.

So long as it is uniformly applied, my understanding is that a merchant is free to give a cash and credit price.  This is no longer contra to a merchant agreement with MC and Visa.  Even with Amex, the agreement allows for a merchant to practice price discrimination, but so long as it is uniformly applied throughout all credit payment spectrums.

 

 

Frequent Contributor
jd5189
Posts: 470
Registered: ‎08-14-2012

Re: Report a Merchant to Amex


bluewillow wrote:

Hmm how do gas stations get away with it....$3.48 for cash $3.58 for credit, isn't that a surcharge? Just curious


It is not a surcharge because the way it is worded. All merchants are allowed to give a "discount" for cash customers, but they cannot surcharge to use a CC though. It's alllllllll in the wording....

Example:
You want to buy a shirt with a $20 price tag. The store says, if you pay in cash, we can give you a $1 discount, so your final purchase price is $19. What they CANNOT do is charge you $1 extra because you use you CC, so they cannot make you pay $21 for the same shirt. Therefore, all the price tags in that store (and gas stations) are "credit card" prices. If they wish to discount to use cash, they may. 

Essentially, yes they are charging you more to use credit. But, because the way they word it... they can get a way with it. They are not making you pay more to use credit, they are allowing you to pay less to use cash... Tricky tricky....

In my wallet: Amex PRG & Zync, Amex BCE (19.2k), Chase Freedom (5k), PSECU Visa/PSL (20k)
Current Scores: Equifax: 738 (Fako) TransUnion: 721 (Fico) Experian: 717 (Fico)
Disclaimer: I am by no means a financial advisor. My posts are based on opinion, experience, and/or knowledge.
Established Contributor
chan85
Posts: 547
Registered: ‎03-13-2011

Re: Report a Merchant to Amex

Like a previous poster said, and I found it on google as well, the new judgement in favor of the credit companies hasn't been confirmed, so this hasn't gone into effect as of yet. So they shouldn't be charging yet.
WM TransUnion- 650 (6/2014) Credit Sesame Experian- 691 (6/2014) Credit Karma TransUnion- 665 (6/2014)
Amex Zync/UNICORN- NPSL/Capital One Venture One Pro -$7,000/NFCU Cash Rewards- $7,500/NFCU NavChek- $5,000/SouthWest Airlines- $5,000/Capital One Quicksilver Platinum- $3,000/Wal-Mart Discover- $6,000/Bill Me Later- $2,200/JCP- $4,700/Discover IT- $500/Care Credit -$2,300/Old Navy Visa- $2,000/New York & Company - $1,000/Capital One -$800
GOALS: No new inqs until 10/30/14. Pay off debt consolidation loan in less than 1 year. Snowball debt payments.
Last HP: 3/5/14

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+