Tips for new surcharge on credit card
What consumers need to know
- Duration 2:56
- Date Jan 27, 2013
What consumers need to know
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This is a segment that you -- yes -- do some shopping.
That's for sure because packed with your credit card could be a lot more expensive as of today thanks to -- check out fees that go into effect also won were Bill Price to pay well here don't explain what we need to know before we swipe that car -- fox does that works.
Lori Rothman Hillary high ink skies what it's all about how much I didn't increasingly -- OK so.
His quick background -- Seven banks and MasterCard and peace agreed to a settlement or MasterCard -- -- second actually charge you -- customer.
Extract cash up to 4% of your entire perch it's just for using your credit card.
Their comments like -- -- check out the it's important to note though that this is and in ten states big states.
States like California Colorado Florida Texas New -- -- that actually -- tens of millions of consumers this extra feet.
But again the -- McCain because the credit card companies -- cells were charged by the processors.
A -- every time consumers use the credit carts another credit card companies are turned around.
To offset that cost on.
Ox is I guess the obvious so if if I go to -- with one of those states and I go buy something will my bills say here's an extra 4% -- not sure bill and that's a great point Tucker because the merchants who are doing this must post statement clear -- that yes we are charging you.
A 4% at 24% surcharge to -- you're not taken off guard and you're not surprised by a merchant can't bear it -- -- -- Which means you the consumer have the right to say well you know if you're gonna charge me -- 4% feet and didn't discount somewhere else you're totally in your right way.
-- it negotiate and it's caught a swipe fees.
Slightly down credit card or Internet because some great swiping your card absolutely -- no in fact that's the other thing to consider.
I don't think this -- this getting so much backlash right -- you're not gonna -- big retailers like Wal-Mart cost of the -- discount -- digital -- there that -- -- captive audience there and in this tough economic climate there's no way they're gonna alienate you -- -- -- another extra -- percent went on -- you're -- hi -- likely that you're struggling to pay to this -- a huge advantage for online retailers it could be yes especially since we know that they -- holidays those are so frequent nowadays Amazon.com -- -- there's a -- -- it -- like.
They put a free shipping holiday on -- to -- and that's also a tough competition space as well online so in other words do not.
You customers are killing shipping -- so if you look at it that -- because some people with -- well if it's a surcharge or swipe -- Verses of shipping -- you know it's it's kind of a wash but I think you're looking at it at a retail industry right now that's.
Under pressure because again wider but economic situation high unemployment.
And there are being squeezed by the credit card companies themselves and so -- just in the in the banking situation looking for an additional revenue cascades -- consumer laureates have really.
Tight and helpful explanation I.
Think -- -- --