The Commerce Commission put a notice on retailers surcharging customers for using credit cards today. However, consumer groups are suggesting people to check charges and shop around, now that retailers are allowed to pass on credit card charges.
Retailers Association chief executive John Albertson says some florists, taxi firms and utility providers are already in the cue for charging a fee for paying by credit card. Even the police is not behind, charging an extra 3% for the same.
Independently owned BP stations are charging 60c extra for every transaction by credit card under $30 and 90c for every transaction over $30.
Albertson claim that retailers had encountered extra costs for making their payments by credit card, and they now possessed the right to recover that extra cost.
The retailers are continuously exerting pressure on credit card companies to lower merchant service charges by surcharging. However, the customers are questioning whether the surcharges reflect the cost to retailers.
Commerce Commission general counsel Peter Taylor claimed that the introduction of surcharges meant greater transparency for consumers. Now the customers will be made aware of the cost of credit-card transactions to retailers.
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