misshelper
New Member
Yes they come from the same source. But if you process it as a debit and use your pin number then the charges are less. If you use it as a credit card and sign the charges are more.
I only use debit.
Yes they come from the same source. But if you process it as a debit and use your pin number then the charges are less. If you use it as a credit card and sign the charges are more.
What about debit cards? I'm thinking those under $10 should be using their debit cards.
Yes they come from the same source. But if you process it as a debit and use your pin number then the charges are less. If you use it as a credit card and sign the charges are more.
You are RIGHT on Bob....but some people would like everything to be exactly to their liking with little consideration of any effects that may have. I cut and pasted a days sales:
01/21/09 $1,864.69 $0.00 $0.00 $0.00 $0.00 $372.93 $0.00 $39.25 $1,452.51 The $1864 was the total sales and the ACTUAL drop after fees is the end number...$1452....That's significant when you are trying to keep people employed.
D and I do use your Visa debits. Aren't they processed the same way?
Exactly, but who cares what it costs the business owner, right?
So it's been established that a $1.89 fountain soda purchased with a credit card costs the merchant $.04? How much of a markup does the merchant put on the soda? I'm not worried about $.04.
Having to use your debit card vs. the check.
It is much easier to use debit cards vs. checks because the funds are directly debited and are itemized at time of purchase. Also, most cards can double as Visa or MasterCard along with the ability of using debit. The Merchants will love you for using your debit card rather then your credit card, it saves them money in the long run.
Its very simple to carry around a debit card instead of paper checks and you don't have to show your drivers license all you have to have is your pin number memorized. As long as you have the money in your bank account the debit card can be used. Make sure to check with your card issuer of any fees involved with using your debit card. The debit card is widely used and you never have to write a check.
Debit vs. Paper Money.
The good thing about debit cards vs. paper money, is if you lose your card you can have it cancelled and re-issued a new one. With paper money if its lost, it is long gone. Using your debit automizes your checking account and statement show exactly where you purchased from.
So it's been established that a $1.89 fountain soda purchased with a credit card costs the merchant $.04? How much of a markup does the merchant put on the soda? I'm not worried about $.04.
Looking at the costs reMax posted, it wouldn't be $.04 it would be more in the neighborhood of $.40, but if that's no big deal to you go the ATM in the store, pay the $2.50 surcharge to get cash ($10 withdrawal that's almost the same % the business owner would be absorbing) and pay cash for your $1.89 soda and everyone would be happy.
No, I didn't assume, although one of my links did say it cost the merchant 2% in fees. I told Bob my cost was probably low.No, it has not been established that .04 is all it cost the merchant. This is just what Chasey assumes it cost the merchant.
Wikipedia:
[edit] Detriments to merchants
Merchants are charged many fees for the privilege of accepting credit cards. The merchant may be charged a discount rate of 1%-3%+ of each transaction obtained through a credit card. Usually, the merchant will also pay a flat per-item charge of $0.05 - $0.50 for each transaction. Thus in some instances of very low value transactions, use of credit cards may actually cause the merchant to lose money on the transaction
Wikipedia:
[edit] Detriments to merchants
Merchants are charged many fees for the privilege of accepting credit cards. The merchant may be charged a discount rate of 1%-3%+ of each transaction obtained through a credit card. Usually, the merchant will also pay a flat per-item charge of $0.05 - $0.50 for each transaction. Thus in some instances of very low value transactions, use of credit cards may actually cause the merchant to lose money on the transaction
The catch is that the fee is assessed only if you treat the purchase as a debit and use your PIN to authorize the transaction. Press the "credit" key, sign your name on the receipt and no fee is charged.
Using a PIN could cost you
In a survey by the New York Public Interest Research Group, 89% of the banks surveyed tack on a point-of-sale fee of anywhere from 10 cents to $1.50 for PIN-based debit transactions. While the survey looked only at New York-area banks, people all around the country are finding these debit-card fees on their bank statements.
Just as with credit cards, retailers usually pay a fee for the processing of a debit card transaction. NYPIRG says a flat fee of 7.5 cents to 10 cents is paid when the PIN is used and the transaction is processed "online." If the customer signs for the purchase, it's processed "offline" and the fee can be up to 2% of the transaction.
No, I didn't assume, although one of my links did say it cost the merchant 2% in fees. I told Bob my cost was probably low.
Soooo, I'd like someone to provide a link for other fees.
No, I didn't assume, although one of my links did say it cost the merchant 2% in fees. I told Bob my cost was probably low.
Soooo, I'd like someone to provide a link for other fees.
Just FYI...
Using a debit card transfers the cost from busniess to customer..