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Do you have a policy on the dollar limit that you will charge on credit cards from your customers?

Mariann Cumbo's Profile

Answers

Cindy Kraft
Title: CFO Coach
Company: Executive Essentials
(CFO Coach, Executive Essentials) |

No. That actually used to be illegal ... I'm not sure it still is.

Garry Tabler
Title: Controller
Company: Smith-Boughan, Inc.
(Controller, Smith-Boughan, Inc.) |

Requiring a minimum is not illegal, its just not allowed per the contract signed with the credit card company.

Topic Expert
Shannon Mathews
Title: Controller
Company: Aldrich Services LLP
(Controller, Aldrich Services LLP) |

In some states it is part of the law. The state of Oregon doesn't allow a limit to be placed on credit card transactions (at the top or bottom end of the payment scale). If you let someone pay via credit card for anything you have to let all clients have that opportunity.

The second part is that the card companies have prevented you from adding a surcharge to clients paying by card. I know MasterCard and Visa have recently removed this from their contract (effective date in 2013??) but some states still prevent this as part of the law as well. Note that Amex still prevents you from charging surcharges so if you do start charging them you would have to make an exception for purchases with an Amex card.

You should consult a legal council about your state laws as well as the new credit card rules.

Keith Johnson
Title: Principal
Company: Keith E. Johnson CPA PA
(Principal, Keith E. Johnson CPA PA) |

Customer conveinence outweighs any profits. If I see a store with a minimum charge, I walk out and don't come back. Doesn't show they care about the customers.

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