The Great BFC Credit Card Swindle?

Barnsley FC are charging supporters a 3% fee for using their credit cards to buy season tickets. They claim they are charged between 2.6% to 4% for a credit card transaction, so have passed on the cost to the customer at a 3% average. This doesn't appear to be the case. According to the link below, current interchange fees range from 0.8% to 1.25% on credit card transactions and are soon to be capped at 0.3%.

http://uk.creditcards.com/credit-ca...terchange-fee-cap-mean-for-consumers-1372.php

The only retailers I have encountered who pass on this fee to their customers are my local corner shop if I spend less than a fiver and Barnsley FC.

 

I thought most credit card transactions carried a surcharge

debit cards seem to be free of that though.

 

What about the merchant service charge?

Dunno a lot about this so I may have got that wrong.

 

Re: I thought most credit card transactions carried a surcharge

No they don't. Go and buy a £500 TV from Currys or a £300 washing machine from Argos and there won't be a surcharge. Same with your Grocery shopping. Insurance companies tend to charge one though. I was going to edit my post and add that but it was too late to edit it.

 

The point I was making is that the link I posted suggests that retailers are charged between 0.8% and 1.25% per transaction. Not 3% or 4%.

 

There are still the odd places that charge for debit cards even though you'd think a lot of the time that would be preferable and it doesn't actually cost them anything these days.

I've always wondered why some people complain about certain companies charging a booking fee whilst for others it's never mentioned.

Ryanair used to charge a couple of quid booking fee on top of the advertised price, people were up in arms.
Buy a ticket for "Glasto" and you'll still be hit with a booking fee on top of the already ridiculous cost, yet no-one complains.

 

Re: I thought most credit card transactions carried a surcharge

Sorry, but I'm not wrong in saying a lot of companies do charge. Just because a lot don't charge. I was simply saying BFC are not alone in charging for using credit cards.

 

I meant when it comes to tickets/hols/ flights etc

always seems there is a surcharge.. I am all too often wrong as well you all know

 

Yes they do. Pretty much every holiday company, airline, car dealer, insurance companies I've ever dealt with charge a credit card fee. Some also charge a fee on debit cards. So while you're right to suggest there are lots of retailers that don't charge, you're wrong in implying BFC are in a minority.


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I was replying to someone who said 'most' do.

 

Not for much longer.

 

My Company gets charged 2.75 - 4% per transaction + monthly fee + non compliance fee etc So I charge 5% - if you don't like it pay by : Cheque, cash, debit card, BACS - Why should they pay for YOUR credit? Other retailers who Don't charge are usually including the cost in their retail price. Ask how many of them take American Express - who charge more than most credit cards for their Merchant fees!

 

I know of a retailer who operates on a smaller scale than BFC and they pay 1.2% for credit cards (Visa & MasterCard) and 1.9% for MasterCard Premium.

Debit cards are 13p per item.

On top of this is the authorisation charge for all transactions - 3p per item. And rental of the card machine itself. £18 per month plus vat.

So 3% of the amount seems steep to me.

Barclaycard etc are amenable to negotiating rates - certainly for a business with BFC's level of transactions, so perhaps the super duper new commercial folk ought to give them a call, then the savings could be passed onto BFC's customers.

 

I run my own business and have a merchant account. They charge me 2.5% for credit card transactions and have just doubled my debit card charges from 30p per transaction to 60p per transaction. Plus monthly rental fee etc etc.

I will not now take debit cards for transactions under £10. And if the credit card transaction is high - say over £500 - then I add the 2.5% surcharge. I sell caravans, so many transactions are over £5,000. 2.5% of that is a high cost to me.

 

Give them a call, there are lots of companies out there who would be willing to take your business for a lot less than that.

 

Merchants who do this obviously don't really want my business. I don't pay a penny in interest and use 0% offers to pay for expensive items. I simply don't use retailers who try to charge me for using a credit card. If you look at the link I posted, there should be no excuse soon for a retailer to do it anyway. The fee the retailer gets charged is going to be capped at 0.3%. Good news for everyone.

 

Always best to pay in cash where possible.

 

Cheap, until someone buys some hundreds and thousands and that wipes you out.