Major Changes For Credit Card Users In New York

New York State has issued new guidance for local businesses that goes into effect on  February 11th and will have a big impact on credit card users.

The new guidance issued by the state's consumer protection division will allow businesses in New York State to pass along the credit card usage fees to consumers as long as they clearly state the charge.

There are three legal ways businesses in New York can pass along the surcharge fees.

CLEARLY POST PRICES FOR USING A CREDIT CARD AND USING CASH

If a business wants to add a credit card surcharge to the price of the item, it has to be clearly marked that you are paying more for the item if you use a credit card.

POST CREDIT CARD PRICE AND OFFER DISCOUNT FOR USING CASH

Businesses can post only the price for an item, the price you will pay if you use a credit card, and then offer a discount if you use cash.

CHARGE THE SAME PRICE FOR USING A CREDIT CARD OR USING CASH

A business can simply charge the same price for the item no matter what type of payment you use.

There are some things that businesses can't do when it comes to collecting credit card surcharges.

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One of the biggest things is that businesses can't just post a sign saying that a processing fee is added to all credit card purchases. They also can't advertise a cash discount that doesn't apply when you use a credit card.

You can see all the new guidelines HERE

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