Minimum spend on debit card & non bank cash machine charges.

sekrapa

Bowling_4_Gold wrote: »

What a load of misguided rubbish. Please show me proof for your claim as fees for debit card are normally at least 35p per transaction.

I think you're also forgetting the installation cost, monthly fee and electricity cost to run the card machine. It all adds up and when they get customers paying silly amounts by card, no wonder the trader will slap £1.75 on top.

We pay 38p per transaction for debit cards and 4.4% for credit cards. If we had a greater turnover (like Tesco), we could get this down to single figures for debit cards and minimal for credit cards. We also have to rent a terminal (purchasing option was withdrawn several years ago) per month, pay for all machine rolls (which are getting smaller and more expensive) and constant electricity and phone line for the terminal to be plugged in. All this adds up, so am all for a minimum spend and why we enforce a minimum £5 to cover costs in processing card transactions. As 99.9% of customers spend is over £5, the problem is minimal.

transient

My local Spar cash machine is free

geordieracer

mattyprice4004 wrote: »

It costs a set amount per transaction plus a % of the total to process a debit/credit card, hence why they have a minimum spend.

Perfectly reasonable, they shouldn't be out of pocket because people want to buy a Flump on their debit card.

Ive been a to a fair few countries that dont care how small your spend is on your debit card - notably down under. Even kids knock about with them now to pay for sweets and the like so why cant this country?

Is it because it all adds up for a little bit extra for the banks??

mrs_sparrow

geordieracer wrote: »

Ive been a to a fair few countries that dont care how small your spend is on your debit card - notably down under. Even kids knock about with them now to pay for sweets and the like so why cant this country?

Is it because it all adds up for a little bit extra for the banks??

No, the retailer gets the money, not the bank.

As someone else said, the Merchant Bank charge either an amount or a % per transaction that the retailer puts through, they also have to pay for the machine and, when I had mine many years back, I used to have to pay for the 'call' that it made to the bank to get the money.

The charge is more likely to be so that the retailer is not processing 100's of low value card transactions - it must be very disheartening to take 100 x £4 card payments, earning the retailer £150 profit, to then get a bill from the Merchant Bank of £80 because it's 400 x 20p for processing charges. And 20p is a cheap rate - sometimes it is more than that. When I was taking them years ago because I was a small retailer it was 33p per debit card. The larger the retailer the better you can get the rate.

Alex-Riley.

fluffnutter wrote: »

My friend was forever running out of loo roll. One memorable time I had to use the previous day's newspaper. Whilst on the loo, I flicked through said paper looking for a suitable page and finally settled on a big close-up of Esther Rantzen's face.

my fiancees parents were the same always running out of TP so I found a picture of Piers Morgan in the paper


but yeah I hate the cash machines that charge you for using them it's like 1.25 for using a cash machine !!!! off

Takeaway_Addict

I can't believe the OP made that big a deal out of making a £5 limit to be honest. as has been said before you should have been able to make the limit with something else.

Smacks a bit of cutting your nose of to spite your face

giraffe69

The development of the cashless cards they are currently trialling will help overcome this as will mobile phone payments but even if it does we will have the "why should I have to have a mobile phone" brigade and "why should I have to have one of these new fangled cards"
If a shop has a minimum spend then I think they should two two things
a. make it for a reasonable amount and £5 is
b. make it clear before you buy

chewynut

Why do the people complaining about how they've been treated always insult the expression the shop assistant had on their face? Or just their face in a lot of cases.

The person on the till's appearance has very little to do with the shopper's laziness or mistakes. It just makes the person whinging look like a child.