passing 3% credit card fees onto the customer?

[_Will_]

I noticed more and more sellers now expect the " customer" to pay for transaction fees of 3% for credit cards or debit. I always thought that was the cost of doing business? When I had a small business, I had to file every quarter and pay tax and fees. I didn't try to pass transaction fees onto the customer. Is this the new norm now on places like Gunbroker? Even FFL's are doing this.

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[TacticalPinky]

I noticed more and more sellers now expect the " customer" to pay for transaction fees of 3% for credit cards or debit. I always thought that was the cost of doing business? When I had a small business, I had to file every quarter and pay tax and fees. I didn't try to pass transaction fees onto the customer. Is this the new norm now on places like Gunbroker? Even FFL's are doing this.

It adds up quickly now that cash is no longer the predominant form of payment. I don't have an issue with this it's always been factored into prices, now they just might be letting you know that as a customer more openly.

 

[WAW44]

I noticed more and more sellers now expect the " customer" to pay for transaction fees of 3% for credit cards or debit. I always thought that was the cost of doing business? When I had a small business, I had to file every quarter and pay tax and fees. I didn't try to pass transaction fees onto the customer. Is this the new norm now on places like Gunbroker? Even FFL's are doing this.

Yes, it adds up quickly, and also makes for a great bait for buyers. This Awesome Rifle is only 199.99 + (small print) 25% handling fee + 3% CC fee + $50 shipping fee.

 

[pogi]

There should be a benefit to using cash.

 

[ZA_Survivalist]

I noticed more and more sellers now expect the " customer" to pay for transaction fees of 3% for credit cards or debit. I always thought that was the cost of doing business? When I had a small business, I had to file every quarter and pay tax and fees. I didn't try to pass transaction fees onto the customer. Is this the new norm now on places like Gunbroker? Even FFL's are doing this.

I used to eat the cost with my business.. it adds up, A lot. So I stopped. Im just too small of a business to throw money away like that. If anything its a 3% convenience fee.
Perhaps if I had a crew of 4-6 working for me Id have enough volume to offset it.. but I can fully understand why folks that do things in high volume pass the cost along.

 

[Alexx1401]

This has LONG been done here by gun shops. My "take" on this has long been if people want to pay with plastic and do not like the fee? Simple enough, use cash. If they are wanting to pay with plastic because they do not have cash? I don't hear them cry that they are paying some insane interest fee for the loan. So pay the points, or pay in cash. Can't for the life of me understand why anyone cares.
Many I guess were not around when grocery stores would not take plastic because they did not want to raise the price to all to cover the cost. No one seemed to care. This only changed because one large chain decided to take plastic so others followed.

 

[TTSX]

Can't say this ever bugged me. Some places charge it, some don't. I get reasonable cash back with my cards to the difference is often about 1% even if the fee is on me, meaning a net expense of $10 per thousand. In other words, not even the cost of a background check in most cases and in extreme cases, a tank of fuel. If I want the gun bad enough, I'm going to pay that convenience fee and smile at the range

 

[solv3nt]

I'm a small business owner and begrudgingly eat the 3%. My customers all pay via CC for speed of service.

 

[TacticalPinky]

I'm a small business owner and begrudgingly eat the 3%. My customers all pay via CC for speed of service.

Ouch.

 

[Caveman Jim]

There should be a benefit to using cash.

There is, to each person that pays in cash there is a feeling of freedom from oppressive CC taxes/Fees.
Try it, more just might like it.

PS: I only have 1 CC and it is for large purchases.

 

[TacticalPinky]

There is, to each person that pays in cash there is a feeling of freedom from oppressive CC taxes/Fees.
Try it, more just might like it.

PS: I only have 1 CC and it is for large purchases.

I'm the same way, I only use my one CC for purchases big enough that I don't wanna carry that much cash around.

 

[American123]

I noticed more and more sellers now expect the " customer" to pay for transaction fees of 3% for credit cards or debit. I always thought that was the cost of doing business? When I had a small business, I had to file every quarter and pay tax and fees. I didn't try to pass transaction fees onto the customer. Is this the new norm now on places like Gunbroker? Even FFL's are doing this.

You're going to pay either way, either in the original price being higher, or in the fee for payment other than cash/debit.

 

[The Heretic]

IIRC, part of the agreement the merchant has with the CC processing co. is that they will not try to charge more for using plastic.

That said, if it is a small outfit (e.g., not PSA or Amazon) then I don't have a problem with it. If it is something expensive, and it is in person and I trust them to not cheat me (i.e., I would not need the protection policies many credit cards have), I offer to pay cash/check vs. plastic. I did that when I bought my motorcycle for $10K and the merchant was appreciative (a small single person specialty shop - the only person in the PNW who sold that particular brand of motorcycle and was well regarded by the community).

A lot of businesses just add the cost into the price anyway, whether you pay cash or card.

 

[uberguy]

I've mostly seen it with sale merchandise but also places like Gunbroker. On GB if it's a professional FFL seller, they often don't or will accept money orders / cashers ck.

If it's not on sale (a good sale) I won't buy it when someone is charging cc fees.

 

[Kruel J]

I don't have a problem with it. People should be pizzed at the CC companies, not the small businesses.

 

[CountryGent]

I never had a problem with it. Now a days I buy 100% of our firearms online anyway, so other forms is more of a process, and I prefer the convenience of plastic in general. The profit margin on firearms is, generally, pretty thin, so 3% takes a bite from the seller's bottom line. (And our CC is paid off every payroll cycle, so we never carry a balance.)

 

[The Heretic]

And our CC is paid off every payroll cycle, so we never carry a balance.

And I get 1-5% rewards (Amazon points, which I use all the time) back on most purchases.

 

[CountryGent]

And I get 1-5% rewards (Amazon points, which I use all the time) back on most purchases.

Same. Our primary card pays 1—5% cash rewards, depending on the category.

 

[billdeserthills]

I noticed more and more sellers now expect the " customer" to pay for transaction fees of 3% for credit cards or debit. I always thought that was the cost of doing business? When I had a small business, I had to file every quarter and pay tax and fees. I didn't try to pass transaction fees onto the customer. Is this the new norm now on places like Gunbroker? Even FFL's are doing this.

My credit card processing costs at least 5% & they told me that some cash-back cards can charge up to 6.5% for their cash awards--and that doesn't cover the processing fees.

There are plenty of additional fees that aren't covered under any percentage the credit card processing charges incur

 

[gmerkt]

I've noticed it more with gun business than any other form of retail. One other place that discriminates against CC is Winco, they just plain won't take them.

I think one reason it's so prevalent with gun businesses is, "we've got it, they want it" and options are often limited, even pre-pandemic Most other types of merchandise, there are many other options. They try to put the CC fee on buyers, they can lose a sale.

Maybe there is a certain mind-set with people who deal in guns. Less apt to think in terms of "part of the cost of doing business," more apt to be hard-nosed about business, don't want to give up anything they don't absolutely have to. As a buyer, I adapt. If there is a CC fee, I pay with cash. I don't want to give up any more than I have to either.

Talk about giving up. How about the "buyer premium" at auctions?? Total rip-off. The auctioneer is already getting a fee from the seller.