Dealer

Credit Card Charges Being Outlawed

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January the 12th I believe is the last day where retailers can charge for accepting payments via credit cards. Now I know the banking system doesn't run for free but I have always tried to pass on the charge (made punter pay 2%) to ensure that my margin remains intact. Back last year when a member of staff sold a 9k car I was horrified a few weeks later as the statement came through showing we had been charged £200 for taking payment via a credit card, to top it off he'd already given a discount on the car too. 

What are some of you guys going to do when the law changes, I've seen some retailers are going down a "service charge" route however they don't generally deal with the types of figures that we are involved with. 

 

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Not taking credit card payments unless it's been in stock forever or the deals worth doing for some other reason. We just explain to the customer that we get charged so they're better off using a debit card or BACS.

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I remember watching a program about the banking system and how they are trying to move to a cashless society. The cynics amongst us will realise that there's nothing stopping them from charging for 'every' transaction with a debit card.

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1 hour ago, met said:

I remember watching a program about the banking system and how they are trying to move to a cashless society. The cynics amongst us will realise that there's nothing stopping them from charging for 'every' transaction with a debit card.

I watched this too, interesting, they claimed that around half the notes that should be in circulation actually aren't. How they are trying to move to a cashless society and some businesses actually now don't accept cash, a cafe in Manchester area was on there with the owner stating that it was only the older generation that don't want to pay by cards etc. Thinking about it, every time I even go to a bar etc I always see people paying for rounds using their cards........ It's something I've never done so wouldn't really start now either. 

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I can imagine this will have an effect on auction buyers fees too. Surely they'll need to cover the lost surcharge by raising the tip for everyone, regardless of how they're paying 

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We have managed to get about 98% of our customers to pay via bank transfer and no issues so far.

we take £100 deposit on a debit card and ask for the balance via bank transfer. everyone seems to be fine with it so far.

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+1 on them trying to move towards a cashless society.

A friend was in China and he told me basically everything is done through a whatsapp on stereoids type system called WeChat. Everything is tied to it. He couldn't get setup for a little while so even getting a taxi was impossible.

A card machine salesman also told me that banks are removing holes in the wall where they can.

Dark days will come when cash no longer exists, trust me, it'll all be ushered in under the guise of beating benefit and tax cheats but in fact it'll just be another step towards removing your liberties. 1984 here we come...

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Thanks for this reminder Dealer, adverts updated and flyers printed 'We do not accept credit cards or Amex' :D

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1 hour ago, Trident said:

Thanks for this reminder Dealer, adverts updated and flyers printed 'We do not accept credit cards or Amex' :D

what about western union?:P

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3 hours ago, Mojo121 said:

+1 on them trying to move towards a cashless society.

A friend was in China and he told me basically everything is done through a whatsapp on stereoids type system called WeChat. Everything is tied to it. He couldn't get setup for a little while so even getting a taxi was impossible.

A card machine salesman also told me that banks are removing holes in the wall where they can.

Dark days will come when cash no longer exists, trust me, it'll all be ushered in under the guise of beating benefit and tax cheats but in fact it'll just be another step towards removing your liberties. 1984 here we come...

True! 

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We've been having this same discussion over December and we still couldn't come up with a resolution.

As from today, after a lot of Christmas thinking (The Sherry Helped!), we're stopping accepting payments of over £250 to be paid by Credit Card.  What you have to understand is the Credit Card generation like the cover the credit card companies offer so it is a tough call to stop accepting them totally.

It is fading though as last year we sold 17 vehicles on Credit Card payments of over £5,000 (out of over 600 sold, so not really affecting us a great deal but nobody likes to lose a sale).  Since 2015 we've only charged a customer what fees we were charged as we foresaw the PPi snakes to jump all over this.

===========================

The cashless society propaganda bandwagon or what ever it is they are trying to push through is a weird concept that has already been subconsciously taking place over the last 10 years so moving to a totally cashless society wouldn't surprise me.  I very seldom have any cash on me nowadays, can't remember the last time I actually paid for anything using cash.  I feel kinda bad at times as I don't even have cash to tip take away delivery drivers O.o

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In addition to any usage fees, there’s a benefit to banks getting people using plastic - much of the general public are so poor at money management that it’s just another way of getting them in debt.

A man with cash in his pocket knows what he has left - most of these idiots paying for drinks at the pub on plastic think that the card’s credit limit is point zero.

I’ve definitely noticed an increase in punters asking for CC payments - I don’t take them so it won’t affect me but punters who want the car usually rustle up the money but the CC brigade (who are no doubt so skint they can’t afford to maintain their car) can go elsewhere & bother them with their aftersales claims. Cash is still king here! :lol:

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1 hour ago, BHM said:

In addition to any usage fees, there’s a benefit to banks getting people using plastic - much of the general public are so poor at money management that it’s just another way of getting them in debt.

A man with cash in his pocket knows what he has left - most of these idiots paying for drinks at the pub on plastic think that the card’s credit limit is point zero.

I’ve definitely noticed an increase in punters asking for CC payments - I don’t take them so it won’t affect me but punters who want the car usually rustle up the money but the CC brigade (who are no doubt so skint they can’t afford to maintain their car) can go elsewhere & bother them with their aftersales claims. Cash is still king here! :lol:

I have lost deals when punters have wanted to pay by C/Card because I have asked them if they knew what interest rate they were paying ! As for cash,that has its problems also,apart from the bank charges.Back in the day when cigarette and tobacco smuggling was rife.we had punters swapping cars every 3 months and insisting on paying cash.You would regularly be banking £20/£30k in cash at a time,so I had the bright idea of saving bank charges by paying the cash into my building society and then getting them to give me a cheque to pay into the bank.I was then warned that HMRC would tax me at the higher rate on drawings from the company into my building society account.For security reasons,we then used 3 different Nat West branches when banking big dollops of cash.This caused us problems years later when HMRC were fishing through our records because one of the NatWest branches was in our local airport,so the HMRC dickheads thought this was suspicious......Da..Da...Da.!

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I can sense a splurge in customers wanting to use credit cards, Due to the dropping of charges.

How long until the merchant services push the prices up for credit cards?

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Can charge an admin fee for a customer you are happy to waive if they do a bank transfer can't you ;)

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