How is it legal for a gas station to charge two different prices based on how you pay?

Question

I understand that there is a credit card charge, but how can a gas station legally charge 10 to 15 cents more per gallon for using a credit card?

I see it the same as charging someone $2.99 for a gallon of milk if they pay with cash, but $3.15 if they pay with a credit card.

Answer 1

Most stations just absorb the fee that credit card companies charge them, but this one decided to pass it on to you. Nothing wrong with it IMO. They're there to make money.

Answer 2

It's perfectly legal.

As a truck driver, I have to pay a higher price all the time, when I use my fuel card.

It comes with the fact that credit card transactions have, and pretty much always will, include an extra fee for the transaction. This goes for fuel, paypal, a lot of banks, etc.

You also pay a certain fee for using an ATM other than your bank.

Same idea.

Ultimately, if you don't like it, pay cash :) It's not that hard.

Answer 3

i thought they had determined long ago that you cannot. Old pumps i still see had the old buttons for cash/credit. These had two different prices. I read where they want to bring that back. I do not know if that was voluntarily removed years back or if it was a law.

Answer 4

Credit card companies charge a fee to the vendor to use the card.I am in home improvements and if my customer pays cash I can give them an additional 3% off.

Answer 5

It's perfectly legal according to the law.

It is, however, against the policies of all the major credit card companies in the US.  However, enforcement of this policy is left to the individual banks, and the only consequence is being dropped as a merchant.  So if someone complains, all that will happen is that the gas station won't be allowed to accept the card anymore.

Answer 6

Credit cards cost more as they keep you free of taking money with you, it's security what it costs more, and services, as gas stations and any other commerce charge this services to the banks, so thats why its more expensive to pay with credit cards.

Answer 7

It is legal and even though I don't like paying more to use a credit card, I think it should remain legal.  In the past I have obtained a cheaper price (not for gasoline but other mdse) by asking "what kind of discount will you allow me if I DO NOT USE MY CREDIT CARD and pay you cash instead ?".   I have received discounts from 2% to 5% merely by asking.  This is called Capitalism and it is what helped the USA become the greatest nation in the world.