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Old 03-14-2016, 06:12 PM
 
Location: S-E Michigan
4,278 posts, read 5,935,039 times
Reputation: 10879

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We ate at a State & Liberty restaurant Saturday afternoon. The bill was presented to me in the folder, I quickly reviewed it and slipped in my credit card, the folder was picked up by the waitress and returned. I glanced at it again and thought to myself that the total seemed different. I added tip, signed the slip, and left.


Today I compared my copy of the credit card slip to the initial table receipt, since I still had both in my wallet, and was surprised by what I saw.


The credit card slip was 11% higher than the initial receipt! It is not illegal to add surcharges to credit card purchases in Michigan (I researched this today too) but I have never encountered these charges before.


If one area restaurant is doing it I am sure others will soon start to follow suit. I have no idea if my Credit Card company charges retailers 11% for my use of their card. Since there are no cash back or travel points awarded with use of the card I would be surprised if its cost is that high. A local Home Improvement Contractor told me last year that he got burned when a customer charged their project on a Disney credit card. According to this contractor, he had to pay Disney 35% of the total as a surcharge!


No wonder Disney Card users earn free trips to see the giant mouse. This contractor has since stopped accepting the Disney card as payment.


Just a heads up that you may want to start paying in cash when dining out in the Ann Arbor area. Eleven percent savings (or more) is one heck of a discount.
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Old 03-14-2016, 06:25 PM
 
282 posts, read 814,493 times
Reputation: 108
I used my Discover card at my pharmacy, in Washington MI, and was charged just over 4%. I pay in cash now.
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Old 03-15-2016, 09:37 AM
 
Location: Ann Arbor MI
2,222 posts, read 2,248,808 times
Reputation: 3174
I haven't seen that yet at my preferred watering holes in A2. But I mostly stick to the SE side.
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Old 03-15-2016, 07:18 PM
 
Location: Las Vegas area
263 posts, read 437,931 times
Reputation: 543
Quote:
Originally Posted by MI-Roger View Post
We ate at a State & Liberty restaurant Saturday afternoon. The bill was presented to me in the folder, I quickly reviewed it and slipped in my credit card, the folder was picked up by the waitress and returned. I glanced at it again and thought to myself that the total seemed different. I added tip, signed the slip, and left.

Today I compared my copy of the credit card slip to the initial table receipt, since I still had both in my wallet, and was surprised by what I saw.


The credit card slip was 11% higher than the initial receipt! It is not illegal to add surcharges to credit card purchases in Michigan (I researched this today too) but I have never encountered these charges before.

It's not illegal to name the restaurant, either...

Plenty of people should be able to give a more definitive comment, but my understanding is most credit card companies take a 3 or 4% 'cut' out of the charged amount as their fee, and the local businesses just think of it as a cost of doing business/making things easy for customers.

11% sounds more like a rip off, especially if the business is labeling it as a credit-card surcharge. The credit card company might be interested in knowing that...
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Old 03-17-2016, 09:56 AM
 
1,648 posts, read 3,272,749 times
Reputation: 1446
Under state law it must be disclosed on the door when you enter the restaurant and separately itemized on the receipt. If it wasn't, you should file a complaint with the state attorney general.

It is important to note - merchants CANNOT charge a fee for a debit card.

What restaurant was it?

http://media.mlive.com/business_impa...Surcharges.pdf
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Old 03-17-2016, 12:46 PM
 
Location: Ann Arbor MI
2,222 posts, read 2,248,808 times
Reputation: 3174
Quote:
Originally Posted by belleislerunner View Post
Under state law it must be disclosed on the door when you enter the restaurant and separately itemized on the receipt. If it wasn't, you should file a complaint with the state attorney general.

It is important to note - merchants CANNOT charge a fee for a debit card.

What restaurant was it?

http://media.mlive.com/business_impa...Surcharges.pdf
good link.... thanks.

It seems to me that gas stations tend to charge an extra 10 cents a gallon for using plastic and it doesn't matter if its credit or debit. How does that work in to things? Are they exempt in some way? Are they in violation? Am I just imagining things?
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Old 03-18-2016, 10:46 AM
 
1,648 posts, read 3,272,749 times
Reputation: 1446
Only credit cards are allowed to be hit with the surcharge.

It's all how it is worded as well with the vendor - some stores may provide you a discount for paying in cash as contrasted with a surcharge for using credit. Then both debit/credit can have the same price.

If the charge is a "surcharge" for using credit - you should call the attorney general and give a copy of the above notice to the retailer/gas station and say you're contacting the attorney general.
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Old 03-18-2016, 11:53 AM
 
Location: Ann Arbor MI
2,222 posts, read 2,248,808 times
Reputation: 3174
Quote:
Originally Posted by belleislerunner View Post
It's all how it is worded as well with the vendor - some stores may provide you a discount for paying in cash as contrasted with a surcharge for using credit. Then both debit/credit can have the same price
so thats the loophole they get away with. Seems like a game of semantics.
If you charge $2 cash and $2.10 for plastic whether thats a cash discount or a plastic surcharge is defined how? By what the store wants to call it?
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Old 03-18-2016, 12:20 PM
 
1,648 posts, read 3,272,749 times
Reputation: 1446
I'm not a lawyer - I'm just stating the rules. haha. That's why I tend to only fill up at Meijer gas stations - they tend to have the cheapest prices and charge the same whether using cash or plastic. I actually avoid going to ones that charge differently, on principle, when I have the choice (i.e. tank not on E).
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Old 03-18-2016, 01:15 PM
 
Location: Ann Arbor MI
2,222 posts, read 2,248,808 times
Reputation: 3174
I drive a small car with a 12.1 gallon gas tank. I don't much care whether I pay the extra $1.00 on my 10 gallon fill up or not. I'm mostly just curious.
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