Could be my last day at work. Hopefully the Baby Jesus can hold me down.

[BacktoBasics]

Its taking every ounce of everything I got to hold back. I'm smack dab in the middle of working out a construction loan to build my house otherwise I would have exploded by now. Not really sure if I truly have it in me to keep the demons down. Wasn't planning on quitting this job until I closed or shortly after.

Situation.

Saturday I had a guy come in from Houston to pick up and pay for his nice new pop-up camper. Cash buyer. We had the deal in place for the last two weeks and we were just waiting for it to come in since we were out of stock. These prices are preset and not negotiable like everything else on the lot.

He paid with his credit card. In full about 8k dollars. I didn't charge him an extra 3% for using his card because Texas state law on the Attorney General's website clearly states that its illegal to charge extra for using a credit card. I was just informed that since I didn't charge the 3% back to the customer that it would be deducted in full out of my commission. Basically it cuts my take in half. My response was that had this been a regular item I would have just kicked up the price or charged him a dealer prep or freight to cover the expense but since its a fixed advertised price I had no option.

The Law

Charging Extra For Credit Card Use

In Texas, a business can not penalize you for paying with a credit card. Businesses that add a surcharge to those who pay by credit card might be violating provisions of the Texas Finance Code. However, businesses can discount the regular retail price of an item for consumers who pay cash. If you believe a business is charging extra for credit card purchases, please a file a consumer complaint with our office.

I don't think I should have to cover this expense.

Sincerely,

Boiling Over

[chreph]

The situation sucks, but it is what it is, unfortunately. I don't think the fee is actually 3%, though, but it may be considering the fact that this is a pretty big-ticket item. I know in the restaurant biz, some of them are beginning to charge back the credit card fee for server tips left on a credit card. For example, if a server had $100 in credit card tips at the end of their night, the restaurant would hold back anywhere from 1.9% - 2.1% (depending on their merchant fees contract) from the tips and pay them out $97.90-$98.10 at the end of their night (assuming they had no cash transactions). The credit card companies are really banking on the new way of life (everything is electronic) and it just makes sense to use your card for everything to rack up rewards points rather then hand over your cash. If companies wanted to do themselves a favor, they'd offer a 1% off discount to cash buyers so everyone wins. The business doesn't have to eat 2%+ cost to the credit card companies, the customer who can pay in cash gets the 1% break, and the credit card companies get nothing. It's win-win-win

Sucks that you have to take the $240 hit, though

[PakiDan]

Have you shown that clause to your employer?

[DarkReign]

Lawyer up, cowboy.

[PM5K]

Don't your pants over 240.00.

You've never been in that situation before?

[BacktoBasics]

Have you shown that clause to your employer?

Oh yeah. Response "interesting" then silence.

[mrsmaalox]

I can understand not being able to negotiate the purchase price of an item, but why can't you still add a freight or dealer prep charge as long as you don't officially call it a "credit card processing fee"? How has your employer handled this in the past?

[PM5K]

Oh yeah. Response "interesting" then silence.

That would have pissed me off way more than having to pay 240.00

[BacktoBasics]

I can understand not being able to negotiate the purchase price of an item, but why can't you still add a freight or dealer prep charge as long as you don't officially call it a "credit card processing fee"? How has your employer handled this in the past?

Yeah that would have been possible if we hadn't advertised a "drive out" price. Usually one or two trailers and our pop-up see some type of "drive out" advertising through out the year.

[angel_luv]

Sorry to hear about that B2B. You worked hard for that sale and carefully followed the law and deserve your full commission.

I will pray something unexpected and great happens to you that will reimburse you plus some for what you lost.

[mrsmaalox]

Yeah that would have been possible if we hadn't advertised a "drive out" price. Usually one or two trailers and our pop-up see some type of "drive out" advertising through out the year.

Well then that has to be a cost your dumbass employer should absorb! He needs to add some "cash only" fine print to his ad.

[Bigzax]

well dude, that really sucks, but at least your out of there soon...you've dealt with all kinds of for this long, what's a little bit longer...

don't put yourself in a bind because you work for a money grubbing dumb .

[s0ldEONs0ul]

'em.

[phyzik]

Burn the trailers when you leave.

Better yet, let me just drive off the lot with one.

[PM5K]

He needs to add some "cash only" fine print to his ad.

Right on the money, your boss ed up and he's the one that should be eating it.

[BacktoBasics]

Credit card payments are considered cash.

[Cry Havoc]

Credit card payments are considered cash.

Uh. Wow. lol

That makes no sense at all.

[PM5K]

Sounds like you no more than all of us, and your boss, open your own ing place.

[BacktoBasics]

Sounds like you no more than all of us, and your boss, open your own ing place.

Would love to. Got an extra 300-400k I can borrow.

[BacktoBasics]

Uh. Wow. lol

That makes no sense at all.

Actually it does. Any form of payment outside of financing is considered cash buying. For years they would just add a credit card fee to all bottom lines to recoup the cost. Then they made it illegal but places still do it.

You won't see it much anymore but gas station used to advertise prices on their big signs just like we see now. You go to the pump and the pump reads the correct price. Then you swipe your card and the price at the pump changes to cover the cost. Their answer to this was once you swiped your card the digitally changed price at the pump would suffice at written notice of the agreed upon price. Some places still do this despite the fact that its illegal. I always look to see if it happens but you just don't see it anymore.

[PM5K]

There has to be a way to get around this right?

[BacktoBasics]

Uh. Wow. lol

That makes no sense at all.

To better explain.

Cash vs. other options was originally brought about because a lot of places would handle the financing themselves in house. Which isn't done much these days because most financing is done by a third party.

People asked for "cash" discounts because the place of business received the full amount upfront vs. a payment plan.

So a credit card, bank draft or cold hard cash were all considered cash because it was payment in full upfront.

Since this is an old way of doing business and really isn't applicable anymore you really shouldn't ever ask for a cash discount. Sets you up for a massive job.

[Wild Cobra]

That is ed.

remember when credit card fees were only 1%? Well, since then, they have more people defaulting. Interest rate increases are going out the window by laws, and now maybe credit card companies are charging the retailers more.

3%... Wow...

Just another reason why I will continue to use cash at restaurants. I never felt it was the employers need to know how well I tip the cute waitresses.

[BacktoBasics]

There has to be a way to get around this right?

Doesn't appear so. Like all of my happenings here I simply make copies of everything. Write good notes and one day I'll turn the ship around, bail out and go public or go the police about it.

I have a pretty impressive list of wrong doings and/or illegal, immoral or unethical happens here.

[mrsmaalox]

But if there is actually a clause somewhere that says if you add a fee for credit cards you can be in violation of something, but that you can give a discount for cash purchases, doesn't that imply that in the eyes of the law, that there is a difference in credit card and cash?