Ten dollar credit card minimum: No thanks.
With all the different ways to pay for things these days and the, rise of the machines, I simply do not carry cash on me anymore. I used to walk around with 30 grand rolled up in a wad like in Goodfella's (not really) but these days: Zero cash. I have a couple of cards, both of which are not credit; They operate off my own bank balance or cash I load it with and I'm happy with that. Credit isn't something I value that highly, or at all.
Anyhow one of my pet hates is those places that impose a $10 minimum transaction on credit card transactions. I don't see it as a justifiable request in this modern age of credit cards, apple pay and similar options. I happen to know that EFTPOS machines from the bank are free in that the banks provide the machine, maintain it and will replace it for free and there's no extra account fees to have it either. I happen to know this because my wife uses one daily for our business. I have had this conversation before, in the real world, and was told that a minimum number of transactions is required for the free service and you know what? I call bullshit. My wife would do around 5-10 transactions per day over a 5 day week, so not a lot. How can we believe then, that a cafe would not meet the minimum number of transactions in a 7 day 7-10pm working day? Like I said, I call bullshit. Maybe they're trying to get you to spend more? Maybe they would rather you pull a $10 bill from your pocket and pay with cash so they can avoid declaring it to the government to avoid the resulting tax? No, really? Surely not!
So, here's how I handle it; And I stick by this self-imposed rule like superglue to your fingers...
I refuse to pay it. I have purchased things for $9.95 and been advised of their dodgy $10 minimum for credit card purchases and simply said, "Oh, ok, no worries, forget about it," and walked out. Brutal? Not as brutal as walking out despite the fact they made the coffee or food already though! I do that too. You see, there is no minimum at all and what they are trying to do is increase your level of spend in their outlet. It's border-line extortionate in my opinion. As a caveat to my rule, I will always look for a sign advising of the $10 minimum and choose to walk out prior to ordering if my purchase is going to be less than $10.
Anyway, that's just my take on it and I assume other's have a widely different view. For me I'll continue to option out of those stores and outlet's that take it upon themselves to dictate to me on how much I HAVE to spend there, and I'll take my hard-earned consumer dollars elsewhere where the service is just that; Service. After all, this isn't George Orwell's 1984, despite how similar life looks these days.
[- Design and create your ideal life, don’t live it by default - @galenkp -]
I haven't met that $10 minimum in ages; I think it's dying out.
Absolutely agree with your sentiment though.
If they're adding to your total after you've ordered, (their reasoning is irrelevant) then you have every right to walk.
Agreed, it's not as common as it used to be but is still around in places. It annoys me as I know they can charge the $10 for an $8 order and then pull $2 from their till in change. It's a simple concept right?
Anyway, I hope you're well @mattclarke. I want to come to the next catch up. Last Thursday of each month at the Monkey's Balls in Flinders Street?
Lol. I'll let the owner know we've rebranded.
Never know, if we get big enough we might buy the place and change the name :)
From 6pm in the beer garden.
Partners welcome; particularly yours.
Unfortunately it’s all the little shops that are family owned that do it, they’re the ones we should support! But instead they give us more reasons to go to ‘on the run’ or the supermarkets.
The mum and pop stores are getting worse deals from the banks and their fees are higher. The majors have more bargaining power to decrease there transaction fees.
Bring on blockchain payment systems to lower costs and even the playing field!
Brilliantly put! Dealing with something like that would annoy me too. Fortunately, Bulgaria doesn't have any businesses trying to impose something like that, but some merchants try other tricks. I have also walked out and opted out of some goods and services when they have tried to impose unadvertised additional fees or penalties for ridiculous things. Your bill is too low, we want more money is not something any of us have to stand for.
There's something similar happening here with taxis. As the rates are relatively low compared to properly developed countries, most taxi drivers hate short routes. Despite the fact that they don't have the right to refuse them by law, many of them do. But those peope are at least honest so I never kick up a fuss with the. Others though are more annoying as ask to be paid a fixed price that is usually higher than than the price you would pay for destinations they would otherwise do. Those annoy me quite a bit and I never ride with them. But there are some who would take a client at their regular rate regardless of the distance (those are also the ones that understand math as they all have a base charge which means that the shorter the distance, the more they make per mile/kilometer). The funny thing is that when a driver like that gives me a ride, I always leave them a sizable tip putting their pay higher or on par with the ones that start out bargaining. I'm sure many people do the same.
Many business owners in the service industry often forget that nothing can increase their profits more than good service and happy clients.
Ok so firstly @rocking-dave, you are the one and only person I have ever interacted with in Bulgaria. So today is a day of firsts! :)
It seems Bulgaria is not much different to other places in that taxi drivers try to take advantage of people. It might be made more difficult isfUber is active in the area however taxi drivers are one and the same when it comes to fare-charging I think.
Thanks for reading my post, nut just for agreeing with me, but for also adding valid and interesting comments. Greatly appreciated.
My pleasure, it was an interesting post to read! :)
i have the opposite problem, as i don't use plastic at all - cash only for me - it's getting harder to pay with cash - most only want plastic. Look at stores like "bunnings" - pulled out their tills and its 95% self serve - with plastic. if you think its bad now, wait till cash is phased out and we get negative interest rates....That's their long term plan.
When cash goes, we're screwed only hope after that is decentralised crypto. It is already criminial that we are forced to put our earnings into the bank first and hence forced to pay their charges. By the way are you from New Zealand? that's nice shot of you and your girlfriend. haha lol jokes
South Australia, a malls baller - and ewe - no the wife is @minisnallholding - shes not jelous - much :)
:)
I hear ya! I had a rant about the lack of humaniod-check-outs at Bunnings, Woolworths etc. a little while ago. Plastic, or these days, phone-based paying is the way it's going I'm afraid. We use cards to have a track on our spending but the money we use is actually ours and not bank credit so it's an attempt at balance. I'd prefer to pay with cash or barter for everything..You know, hike down from my cabin in the woods through the snow carrying my pelts to the trading post to exchange for grain, implements, a bucket, a new six-shooter and bullets...But those days are gone. And it doesn't snow in Adelaide :)
Thanks for your comments @realtreebivvy, always appreciated.
In the end of the day the best way to contribute to change is to not conform to the shit that you don't like. Vote with your wallet - literally.
Credit card surcharges are pretty cheap - and it's actually illegal now to charge more than the real costs.
So if you wanna buy a $4 coffee, if they wanna add surcharge, of say, 10 cents (which is over 2%, so even that is a bit high), then by all means, I'll cop that.
But to flat out refuse any transaction under $10 pretty much means they're just wanting to build up their pool of cash transactions that can go undeclared and therefore they save money on their tax bill. That can be the only explanation.
Or they're assholes. I stick to my rule very closely, sort of like Maverick when he was dog fighting with Jasper at Top Gun! :)
I think it depends on the EFTPOS plan that is available. In my business, we are stuck with one of the big banks because of the specialist hardware that is required. There are three different middlemen all taking their cut along the way through. Some of their costs are fixed, some are a percentage. My average transaction value is between $2 and $3, and my costs by the time we add up each mob taking a bit along the way from the device to my bank is somewhere from 20-30 cents, so as a percentage that is 10%. That's a far chunk out of my profit margin. How I react depends on the situation. At some sites, I add a surcharge, in others I roll it in to the costs and absorb the costs myself (which means those paying cash are technically paying more).
In any case, these are business decisions, and so long as no one is forcing you to shop where there is a minimum spend, you can decide where you will shop and businesses will adjust accordingly to the market forces. (I agree with @mattclarke that these minimums seem to be dying out.)
I am looking forward to being able to integrate blockchain payments systems into business to cut out costs for credit card fees. Bitcoin fees are no even more ridiculous than Visa and Mastercard on microtransactions, so it would have to be something like a graphene based chain.
You make good points of course and yes, the practice is dying out. I was just having a whine about it. I simply abide by my own rule and take my business elsewhere.
Whats worse: there's a pub in the CBD (not the one we have our monthly meet at) That imposes a $10 minimum. Drinks are typically $8.
Technically speaking, That's forcing me to buy two drinks instead of one.
RSA? Move the drinks to $10 and no one would go there. Bring a friend and exchange rounds? Who will be driving?
Its pretty disgusting from a business standpoint.
Agreed! Hey man, what night is the catch up?
Last Thursday of every month at the Jade. :) from around 6pm.
Cool, planning to make the next one. Work got in the way of the last. :)
This. I love this. It’s time to revolt!
I wish I could give this a bigger upvote man, I couldn’t agree with this is crap anymore!
And who doesn't LOVE a good revolt! :)