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  1. #1

    Cash discount

    Why are merchants so hesitant on cash discounting programs?

  2. #2
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    Quote Originally Posted by Christian.D23 View Post
    Why are merchants so hesitant on cash discounting programs?
    IMO - It's a hustle to write accounts for 3.86% - It is sold as the "Merchant Will Pay Zero Fees" since they are passing the higher cost
    of processing to their customers.

    **Not many retail merchants pay 3.86% in discount fees.
    Dave Lambert, Business Development
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  3. #3
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    Is Cash Discounting the future?

    Back in the day you couldn't add a surcharge to the customer if they used plastic. Guess that changed?
    " The world has always gone forward when people have dared to have crazy ideas . . . "

  4. #4
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    Quote Originally Posted by cruisinman View Post
    Is Cash Discounting the future?

    Back in the day you couldn't add a surcharge to the customer if they used plastic. Guess that changed?
    It's the reverse. No Surcharge for Plastic. Just Discount for Cash.

    Potato/Potahto

  5. #5
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    Quote Originally Posted by Christian.D23 View Post
    Why are merchants so hesitant on cash discounting programs?
    There is a way to do it compliant, it's just a lot more work. You may add it on at the product level, but not on the "credit card surcharge" level. The price of the product needs to change based on what method is used for checking out at the POS.
    https://www.valuepenguin.com/credit-...nvenience-fees
    There are horror stories out there on the internet of state taxes being imposed on surcharges for not charging sales tax on the surcharge. If done on the product level, it'd taken care of automatically.

  6. #6
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    Quote Originally Posted by ryan $ View Post
    It's the reverse. No Surcharge for Plastic. Just Discount for Cash.

    Potato/Potahto

    If a merchant is providing a true "Cash Discount" why does he/she need a credit card terminal.

    Cash Discounting-Surcharging is nothing more than a hustle to write merchant accounts at a 3.86% Discount Rate.
    Dave Lambert, Business Development
    dave@fcbankcard.com
    Merchant Services Consultant
    High Risk Merchant Payment Solutions
    SBA 7(a) Loans & Short-Term Funding
    T/VM: 727-291-7890
    Office: 727-233-1111
    Skype: fc-financial

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