MSE News: Credit and debit card charges banned from Saturday - what you need to know
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I renewed the tax on our Yaris on Monday 8th, and they said that it would cost an extra £2.50 to pay by credit card. As the renewal was only £20, that's a wopping 12.5%! Needless to say, I paid by debit card...Jumbo
"You may have speed, but I have momentum"0 -
Well I guess this explains why the TV Licencing website is currently down (I tried to log in earlier to pay the TV licence). They must be updating the site to take account of these changes.
I shall be interested to see if I can pay by CC without paying extra, or if the option will be gone entirely (have paid by Debit Card up til now).If your dog thinks you're the best, don't seek a second opinion.;)0 -
Without wishing to get bogged down in all the stuff from the other thread again, even if it was a surcharge, it clearly wouldn't be a surcharge specifically for paying by card, it would be one for not arranging account settlement by DD, in that it applies to payments by cash, cheque, bank transfer, etc, as well as cards, and so is unaffected by this change in regulations.What exactly does that signify?
Three call it a discount for paying by DD. Not the same as a surcharge, but their £5 non-DD fee is essentially a surcharge which can be 25%-100% of your phone bill.
Not clear cut.DonnySaver wrote: »My sandwich shop charges 50p for using a card if the price is below £5. Will they be able to continue doing this?
To be fair, small shops are the ones who suffer the most from taking card payments, as the combination of high merchant fees and associated costs (relative to large companies) and low transaction values (again relative to large companies) means that they're effectively penalised more than most. However, they won't be allowed to surcharge going forward, so will have a choice of:does this apply to businesses as small as corner shops?
In my experience they are often the worst offenders for adding card charges- absorbing the card fees
- increasing prices across the board
- refusing to take card payments at all
- or potentially ignoring the new regulations (perhaps even refusing to serve objectors).
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It's an EU directive, but we know with some EU directives, there could be 28 different dates for implementing a directive via 28 new local laws throughout EU - anyone know if it'll actually be an instantaneous implementation throughout EU and/or EEA, or will Netherlands (as lupus suggests) and others still be looking to discriminate against "foreign" cards for some time yet?0
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In the Netherlands nothing will change. Every Dutch person has a bank debit card, Maestro or its Visa equivalent, that costs virtually nothing for the merchant to accept. Cards issued in the UK, on the other hand, involve relatively substantial fees to support the culture of rewards, cashback, etc, that the British have been sucked in to and which simply doesn't exist in the Netherlands.Having been on holiday to the Netherlands, I worry about which way this might go. In many (possibly most?) shops, they only accept Debit cards. However, they mean some Dutch only scheme of debit cards which require you to have an account with a Dutch bank. Debit cards using the Visa or Mastercard systems (which is now most cards from UK banks) aren't accepted. Nor are credit cards at all.
The Dutch are not so foolish to believe they would be getting something for nothing that nobody pays for and nobody uses a credit card. So those cards are simply rejected by the card terminals, except in tourist areas and department stores etc where the prices support the cost.Evolution, not revolution0 -
It's an EU directive, but we know with some EU directives, there could be 28 different dates for implementing a directive via 28 new local laws throughout EU - anyone know if it'll actually be an instantaneous implementation throughout EU and/or EEA, or will Netherlands (as lupus suggests) and others still be looking to discriminate against "foreign" cards for some time yet?
13 January is the latest date by which member states must bring the directive into law.
Some states could have chosen to enact some of the provisions earlier.
The UK has gone beyond the requirements of the directive by treating Amex and PayPal the same as EU credit cards.0 -
Can't disagree with that - struggling to think of any decent sized retailer that hasn't added a CC % fee - except Jet2.we should all already know that in the UK if there is a way to rip customers off, businesses will find it and exploit it! and usually, in cases such as this, the 'new charge' will be higher than the old charge that has just been banned! you cant beat living in a great country!!
I doubt it's from any philanthropic position, more likely to attract potential custom away from the major opposition who do impose such surcharges.
Nevertheless, no complaints - if you use a cashback credit card through a cashback linked website you can enjoy a "triple play" nice little earner !!!0 -
Thanks Nick_C. So does that mean countries like the Netherlands have to swallow their pride and stop discriminating against "foreign" Mastercard and VISA payments?13 January is the latest date by which member states must bring the directive into law.
Some states could have chosen to enact some of the provisions earlier.
The UK has gone beyond the requirements of the directive by treating Amex and PayPal the same as EU credit cards.0 -
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Semantics methinks. As I read it, every business will, from this coming Saturday, be forced to remove surcharges for the particular types of payment it chooses to accept. So if a business anywhere in EU says it accepts VISA and Mastercard and hitherto has accepted all of them and continues to do so next week (and contrary to an earlier post, that will not just be businesses in 'tourist areas', but will include all the major supermarkets and fuel stations across Europe where all we out and about Europeans spend the larger proportion of our money daily), it must cease adding any surcharge for any VISA or Mastercard payment, no matter whether it was issued in country, or abroad, or whether it is a debit card or a credit card.It depends what you mean by discriminating. No business is going to forced to accept a particular type of payment.0
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