Ie... say you can only use a card if you spend a min. of $10. I thought its illegal
2007-02-25 05:10:46 · 8 answers · asked by dexter020281 2 in Business & Finance ➔ Credit
I was told it was illegal. I want some links to the matter Iam trying to win a bet :)
2007-02-25 05:46:26 · update #1
No it is not illegal but if it is a Visa or MasterCard debit or credit card it is against their policy in some countries but merchants still do this anyways.
2007-02-28 12:56:26 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Of course they can. The merchant banks almost force them to because of their terms. The store has to pay on a fee structure that looks something like this: 40 cents per transaction plus 2-1/2 percent. That's the bank's fee for processing the credit card and depositing the money in the merchant's account.
So if the store allows a customer to pay by credit card for a $1 purchase, the bank gets nearly half of the payment. Not a good deal for the store.
Use of a credit card is a convenience to the customer, paid for by the merchant. It's hard to imagine why even the most regulatory-minded legislators would want to pass a law to require it or set rules for it.
2007-02-25 05:19:56 · answer #2 · answered by Anonymous · 0⤊ 2⤋
I dont think its illegal as they are not compelled to take credit.debit cards. I know certainly here in the UK that some smaller shops do set a limit, mostly for credit cards though as they have to pay something like 2.5% of the transaction as a fee to the company for the pleasure of being able to accept those cards!
2007-02-25 05:14:04 · answer #3 · answered by Tiffers 3 · 0⤊ 0⤋
No, they are entitled to set a minimum. It costs the store a certain amount of money to take credit (keep an account open with the various card companies, etc). If they allow somone to charge a $2 item, for example, they can actually lose money on that sale. Therefore the minimum is set to keep them in business.
2007-02-25 05:19:50 · answer #4 · answered by spiffyjones86 2 · 0⤊ 2⤋
yes they can. Because they have to pay for it. It depend how they set it up but 10$ is the minimum. No it is not illegal it has be in that way for long time
2007-02-25 05:18:03 · answer #5 · answered by marsh 7 · 0⤊ 2⤋
Standard contract law. The store is not required to do business with anyone unless they choose to do so. If you don't agree to their terms, they can decline your business. Anti-discrimination laws prohibit excluding customers on the basis race, gender, etc. No such laws apply to form of payment.
2007-02-25 06:34:02 · answer #6 · answered by STEVEN F 7 · 0⤊ 0⤋
Yes, they can. The places have to pay a fee for offering those services.
2007-02-25 05:44:14 · answer #7 · answered by Mariposa 7 · 0⤊ 1⤋
Of course they can.
2007-02-25 05:16:02 · answer #8 · answered by Box815 3 · 0⤊ 1⤋