Giving 10 to 20 cent discount on gas to persuade people to pay by cash. While making themselves targets of robberies? Wouldn't they not want to accept cash for safety?

What are the various processing fees?

BohunkAg said:

---

Ryan the Temp said:

---

It's not a discount for paying cash; it's a surcharge for using a credit card.

---

Correct. I may be wrong here, but I think in a lot of cases, they can't make you pay more for using a credit card, but they can give you a discount for paying cash. We've looked at it for our business. Currently, we eat the credit card fees. I'd rather take all payments electronically for the reasons the OP mentioned, but the processing fees are crazy. We are constantly shopping providers.

---

You can now charge a surcharge for credit cards but not debit, and you have to post signs at entry and at the POS. Onion Creek hit me w/ a charge on my debit card and I'm thinking of calling Akin's Army.

You can inflate your prices and offer a cash discount to get around excluding debit cards and you don't have to post signs.

https://www.merchantmaverick.com/credit-card-surcharges/

Sounds like Spec's

cajunaggie08 said:

---

I've also heard its meant to force buyers into the store where they would be more likely to buy other goods as the gas station makes its profit off the convenience store while selling gas at just above cost value

---

I've heard the same.

Matsui said:

---

What are the various processing fees?

---

Depends on the processor you are using....and the card. I do know that some places don't take Amex specifically because their fees are higher.

drumboy said:

---

BohunkAg said:

---

Ryan the Temp said:

---

It's not a discount for paying cash; it's a surcharge for using a credit card.

---

Correct. I may be wrong here, but I think in a lot of cases, they can't make you pay more for using a credit card, but they can give you a discount for paying cash. We've looked at it for our business. Currently, we eat the credit card fees. I'd rather take all payments electronically for the reasons the OP mentioned, but the processing fees are crazy. We are constantly shopping providers.

---

You can now charge a surcharge for credit cards but not debit, and you have to post signs at entry and at the POS. Onion Creek hit me w/ a charge on my debit card and I'm thinking of calling Akin's Army.

You can inflate your prices and offer a cash discount to get around excluding debit cards and you don't have to post signs.

https://www.merchantmaverick.com/credit-card-surcharges/

---

Is that true in Texas? At one point you couldn't do it in Texas.

All it does is make me keep driving to the next gas station without the "fee".

Captain Winky said:

---

All it does is make me keep driving to the next gas station without the "fee".

---

Corporate gas stations can afford not to charge it. Passing the fee on is a way for mom and pops to remain competitive....so by all means keep propping up poor Walmart, Amazon, etc.

Bucees and Costco are by far the cheapest gas around and dont mess with these dumbass fees or anything, which is nice. We probably get 95% of our gas at the 2 of those establishments

BohunkAg said:

---

drumboy said:

---

BohunkAg said:

---

Ryan the Temp said:

---

It's not a discount for paying cash; it's a surcharge for using a credit card.

---

Correct. I may be wrong here, but I think in a lot of cases, they can't make you pay more for using a credit card, but they can give you a discount for paying cash. We've looked at it for our business. Currently, we eat the credit card fees. I'd rather take all payments electronically for the reasons the OP mentioned, but the processing fees are crazy. We are constantly shopping providers.

---

You can now charge a surcharge for credit cards but not debit, and you have to post signs at entry and at the POS. Onion Creek hit me w/ a charge on my debit card and I'm thinking of calling Akin's Army.

You can inflate your prices and offer a cash discount to get around excluding debit cards and you don't have to post signs.

https://www.merchantmaverick.com/credit-card-surcharges/

---

Is that true in Texas? At one point you couldn't do it in Texas.

---

Yes, the law changed a few years ago.

Matsui said:

---

What are the various processing fees?

---

Something like $0.60 + 2%. That's also why small businesses often have a minimum purchase for credit cards. If you buy a pack of gum for 50 cents, the store had to pay 60 cents in fees.

The Wonderer said:

---

BohunkAg said:

---

drumboy said:

---

BohunkAg said:

---

Ryan the Temp said:

---

It's not a discount for paying cash; it's a surcharge for using a credit card.

---

Correct. I may be wrong here, but I think in a lot of cases, they can't make you pay more for using a credit card, but they can give you a discount for paying cash. We've looked at it for our business. Currently, we eat the credit card fees. I'd rather take all payments electronically for the reasons the OP mentioned, but the processing fees are crazy. We are constantly shopping providers.

---

You can now charge a surcharge for credit cards but not debit, and you have to post signs at entry and at the POS. Onion Creek hit me w/ a charge on my debit card and I'm thinking of calling Akin's Army.

You can inflate your prices and offer a cash discount to get around excluding debit cards and you don't have to post signs.

https://www.merchantmaverick.com/credit-card-surcharges/

---

Is that true in Texas? At one point you couldn't do it in Texas.

---

Yes, the law changed a few years ago.

---

It's getting more common all over the places....I've seen it at multiple restaurants and even at a doctor's office, but I got around it by sending the money via Zelle.

Credit card fees are an asswhip for everyone. But i guess the card companies have to make money too...outside of the outrageous interest they charge to some people.

I don't think I've driven to a specific establishment for lower priced gas since I was in high school 20+ years ago. Do you really drive somewhere else based on a few pennies of a lower price for gas?

I'm at a gas station right now and the cash price is 10 cents higher than "easy pay". I always assumed "easy pay" is credit card, but I didn't really know for sure. The fist count only applies to regular and I never buy regular.

I'm volunteering for a school group that uses Stripe for cc purchases. They charge a fee that's a percentage of our charge. Sometimes, thanks to rounding "errors", we actually lose money on transactions. The cc company rounds in their favor, so we sometimes get shorted a few cents.

School district has started forcing us to pay the cc fee charged by their online payment system even if we pay by check. Parents are mad because sometimes the fees are $15-$20.

Cole Trickle said:

---

I don't think I've driven to a specific establishment for lower priced gas since I was in high school 20+ years ago. Do you really drive somewhere else based on a few pennies of a lower price for gas?

---

No but we make it a point to stop at the cheapest places already on our established regular routes. And some places I pass are 50+ cents more than others. On a 34 gallon tank that is a fair amount of scratch per fill up. On my wife's side, she uses roughly 1500 gallons a year. The savings add up if you simply plan out your day and fill up where it is most economical.

I do and I use GasBuddy to find cheaper places.

90% or the time I just go to Costco

Cole Trickle said:

---

I don't think I've driven to a specific establishment for lower priced gas since I was in high school 20+ years ago. Do you really drive somewhere else based on a few pennies of a lower price for gas?

---

Prices can vary 10 cents a gallon or more if you're heading out further than a short commute. It can start to add up for people who aren't WFH visual storytellers who only need to drive from the townhouse to the Heights HEB once in a while. It doesn't make a huge difference at the end of the day, but the instinct to stop at the place that consistently has lower prices is pretty hard wired. And over the course of a year, that easily can be a few hundred dollars difference, even with fairly light mileage.

*back to the OP, I always figured the cash price is mostly a lure to draw you in with a shockingly low price. There are a couple Valero stations that only show the cash price on the digital sign, and then once you pull the pump out you see the real price after authorizing your cc.

I mean you could look up a credit cards financials to see what they're making. But I assume earnings on interest rate isn't as high as some think. I'd wager the majority of people pay their bill every month. These people also specifically choose credit card companies for their rewards. They got to pay for all those rewards and benefits somehow.

Martin Q. Blank said:

---

Matsui said:

---

What are the various processing fees?

---

Something like $0.60 + 2%. That's also why small businesses often have a minimum purchase for credit cards. If you buy a pack of gum for 50 cents, the store had to pay 60 cents in fees.

---

There are not many places paying that high of a transaction fee. Even Stripe is only $0.30 for an online transaction. Most are less than $0.10 + fee.

I'm perfectly fine to pay extra so I don't have to step foot in the hellhole.

I thought it was about laundering money.

Nah, I know lots of people have crazy credit card debt. I also know lots of people spend $20k+ every month…. and they pay it off every month. And they do it for the rewards. Just find it doubtful that the average American in credit card debt is paying for the benefits for those black card holders with their interest…..

Amex Q3 earnings:

Discount Revenue (aka merchant fees): $7.8B
Interest on Loans (assume interest from cc's is included in this): $3.2
Card Fees: $1.5B

Card Member Rewards: $3.6B

Matsui said:

---

What are the various processing fees?

---

Double miles, 5x points, etc. All that cool "free" stuff we get is paid for by sellers.

Captain Winky said:

---

My bad, I didn't realize I was screwing over the little man when I drive past the Exon and Shell branded gas stations. Still don't care.

---

Exxon and Mobil stations are all privately owned. XOM sold all of its C stores years ago.