How Would Making Gas Cash-Only Affect You?
Some gas stations across the country have stopped accepting credit cards for gasoline purchases.
Gas station operators nationwide are reporting that higher prices translate into higher credit card fees the managers must pay, squeezing profits at the pump.
Their complaints target the so-called interchange fee — a percentage of the sale price paid to credit card companies on every transaction.
The percentage is fixed — usually at just under 2 percent — but the dollar amount of the fee rises with the price of the goods or services.
As gas tops $4 a gallon, that pushes fees toward 10 cents a gallon.
Now stations, which typically mark up gasoline by 11 to 12 cents a gallon, are seeing profits shrink or even reverse.
Legislation pending in the U.S. House and Senate would allow merchants to bargain collectively with major credit and debit card companies.
The National Retail Federation says gas prices point to the unfairness of the system: Gas stations are paying more in interchange fees because the price of gas has gone up, while the cost of processing credit or debit cards remains the same.
The credit card companies say fees are just part of the cost of doing business.
Jay Misonheimer, chief operating officer for the Food Fast chain of gas stations headquartered in Tyler, says it will offer a 3-cents-per-gallon discount for customers who pay with cash. He said the discounts will likely go into effect within the next two weeks.
If the gas stations you use stop accepting credit cards for fuel purchases, how will you be affected?
Reader comments on this topic are invited for use in the “As You See It” forum to be carried in the Monday, June 30,
Tyler Morning Telegraph. A 350-word limit is requested and responses should be received in the newspaper office by Thursday, June 26, to allow time for processing.
Send to: As You See It,
Tyler Morning Telegraph, P.O. Box 2030, Tyler, 75710. E-mail: opinion@tylerpaper.com.
Tyler Morning Telegraph, P.O. Box 2030, Tyler, 75710. E-mail: opinion@tylerpaper.com.
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