Credit Card fee at Doctors office??

[Rule3]

What's up with this 3% surcharge?

Went to a Dermatologist that I have been going to for years.
Check out and there is a 3% fee added on? Asked whats with this, "Oh we got a new terminal and it does that"

Well no one told me. Never seen this at a Medical office. What,? they don;t rake in enough of your money??

Spoke to the office manager after I got home, said I could use a debit or check.Well I don;t like doing that. This is a big company with offices all over the Country,
Ticked me off. Time to find another .

 

[LVSteve]

Still catching up on their cashflow from the days of COVID. I see this and worse every time I go to buy something these days.

 

[Onomea]

I think the CC fee, or discount for using cash or a check, like is usual on Gunbroker, is becoming more widespread. We use T-Mobile for our phones and they recently changed their policy so that if one wishes to continue to receive the auto payment discount, one needs to use a debit card or a direct bank debit.

So far our medical services providers haven't adopted that policy, but I would not be surprised if they do.

 

[NFrameFred]

A local eatery has structured their menu to reflect a face price assuming many, more, or most are paying with plastic these days, and they inform you at the register if you pay with cash that you are receiving a 3% discount.

 

[rockquarry]

Why would it bother someone to write a check or use a debit card? Especially if you save a few dollars? Medical folks have to pay the credit card fee, too, for the convenience of allowing their patients to use a credit card for payment. Doctors' offices have overhead just like other businesses.

 

[Marine Corps Air]

What Arlo said!

I have observed this same new practice in our area over the last few months. I can't explain all of it. The merchant's explanations focus on the fact that supply chain costs, as well as labor costs, employee-turnover costs, etc. have been continuously increasing, the merchant wants to recover some of these costs from those who use their credit card, for which the merchant is charged. Being a Six Sigma-TQM person, I believe that some components also include waste and poorly managed operations. However, this is certainly not always the case. Inventory theft is certainly another major factor. I don't see this practice for credit cards reverting back anytime soon.

On the horizon must surely be new tips and gratuities for almost everything.

Cheers!

Bill

 

[Muss Muggins]

I use Square to process debit and credit card payments to my small business. Square charges me 4%. I charge those who pay by card 4% more. Surely I'm not expected to eat that charge and lose 4% for a card payment. The alternative is to charge everyone 4% more, thus making those who pay cash subsidize those who use a card, which is also not fair. Processing a card payment is a service for which a company deserves compensation . . .

 

[CAJUNLAWYER]

Agree with you 100% Muss. That 4% ia monwy directly from your pocket-pure profit that you are not getting. My card company charges 3.5% and I give my clients the option of paying wither way, but if they pay with credit card, thewy will pay the extra.
As for me, I pay in cash or check whenever possible to avoid the fee, but if I use a credit card it is for MY convenience and I expect to pay accordingly.

 

[dockmurgw]

I support credit card fees. Why should my payment by cash or check include the cost of other people's credit card usage? You want to use a card? Fine, use a card...but don't stick me with the cost.

 

[Onomea]

This thread got me to thinking about credit cards versus debit cards. I'd long thought that debit cards were riskier as unlike credit cards they did not offer fraud protection.

I looked it up.

It turns out that while debit cards don't offer as comprehensive fraud protection as credit cards, they do have pretty good fraud protection:

... Debit cards also limit your fraud liability but require you to report your lost or stolen card within two business days to limit your liability to $50. If you report after two business days but before 60, your liability goes up to $500. If just your debit card number is stolen and not the card itself, you are not liable for unauthorized charges, as long as you report them within 60 days of receiving your statement...

Credit Card vs Debit Card: Which Is Safer? | Bankrate

My conclusion is that if anyone offers me a discount for cash and will accept a debit card, that's the way to go.

 

[rockquarry]

I use Square to process debit and credit card payments to my small business. Square charges me 4%. I charge those who pay by card 4% more. Surely I'm not expected to eat that charge and lose 4% for a card payment. The alternative is to charge everyone 4% more, thus making those who pay cash subsidize those who use a card, which is also not fair. Processing a card payment is a service for which a company deserves compensation . . .

You explained that very well, far better than I could in so many words.

 

[Onomea]

I support credit card fees. Why should my payment by cash or check include the cost of other people's credit card usage? You want to use a card? Fine, use a card...but don't stick me with the cost.

It turns out that credit cards make their money primarily off those who don't pay off their debt each month. Hence there are free cards that offer cash back and other reward deals. No need to subsidize anyone, or even pay for your own use of the card, if you pay off your debt each month, as many of us here do.

There are cards worth paying a membership fee for. For some of us anyway. If the rewards outweigh the fee. E.g., for folks who travel a lot the free miles, annual travel cash rebates, lounge access, etc.

 

[Rich Richardson]

I used to ask my customers how they intended to pay. If by CC I just built up the bill by 3%. Not hard to do and it didn’t start a dispute with the customer about CC fees.

 

[rockquarry]

I used to ask my customers how they intended to pay. If by CC I just built up the bill by 3%. Not hard to do and it didn’t start a dispute with the customer about CC fees.

Certainly nothing wrong with that and it's fair.

 

[twodog max]

These fees have been around a long time nothing new there. Like Caje said it is a convenience for some to use it. However some places do not accept checks and I hear of cash not being accepted in places.
All this comes at a time when the conversion to digital currency is being pushed out. Seems to me that currency is on the way out so the common mans money can be tracked by whomever. I do not care for all these invasions of privacy and CC companies reporting your purchases to government.

 

[Muss Muggins]

I used to ask my customers how they intended to pay. If by CC I just built up the bill by 3%. Not hard to do and it didn’t start a dispute with the customer about CC fees.

Not a problem unless your card customers and your cash customers meet up for a beer. I tell mine up front. They don’t like it, plenty of other businesses out there that do what I do . . .

 

[ladder13]

It turns out that credit cards make their money primarily off those who don't pay off their debt each month. Hence there are free cards that offer cash back and other reward deals. No need to subsidize anyone, or even pay for your own use of the card, if you pay off your debt each month, as many of us here do.

There are cards worth paying a membership fee for. For some of us anyway. If the rewards outweigh the fee. E.g., for folks who travel a lot the free miles, annual travel cash rebates, lounge access, etc.

We use our card for everything, pay in full every month, and get 4% back.
We get upgraded or reduced rate rooms @Hilton, Marriott, etc. Bonus Sky miles, seat upgrades, free checked bags, etc.
And more……

 

[NYlakesider]

We use our card for everything, pay in full every month, and get 4% back.
We get upgraded or reduced rate rooms @Hilton, Marriott, etc. Bonus Sky miles, seat upgrades, free checked bags, etc.
And more……

Use my cards quite often and noticed that it slowly is getting to the point that more and more places are tacking on a use fee.

Sure it cost me a bit more bur I'm a firm believer in paying for convince and see no reason not to continue. Hardly write many checks now and with the price of postage going up that small add-on is not a problem unless its a large cost item/service!

Yes doctors offices are starting, I wonder why it took them this long not to! Its not like in the old days (at least around here) the doctors are paid help just working there and the office manager is the boss of the whole operation.

 

[ladder13]

I wonder why anyone took so long to figure this out. The free ride is over.

 

[yaktamer]

Not a problem unless your card customers and your cash customers meet up for a beer. I tell mine up front. They don’t like it, plenty of other businesses out there that do what I do . . .

Could always quote the higher price as the default, but mention a 4% "discount" if they pay cash. Human psychology being what it is, card users might be more accepting than if told they are being required to pay a premium, and cash buyers would figure they are getting a bargain.