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Forums » Tech and Talk » City Chat » Southeast » [Info] Watch what you pay at the pump
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viperpa33s
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Bradenton, FL
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[Info] Watch what you pay at the pump

Don't know if anyone else has seen this......

I just went to fill up my car today at my usual fill up spot. On the sign it was $3.44 a gallon for regular. I started filling up and noticed the digital reading on the pump read $3.50 a gallon. I thought maybe they didn't change the sign yet.

So I went inside to buy something else and I told the lady at the counter that the price on the sign was different than the pump. She said the price on the sign is for cash or a gas company credit card. The extra price you pay at the pump is for using a regular credit card. I was like, you got to be kidding me? She said a lot of gas stations are starting to do it to recoup the higher credit card fees.

They did this years ago but stopped doing it because of backlash. Guess they decided to bring it back again. So I guess convenience is not so convenient after all.


lilhurricane
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I thought it was illegal?

said by consumerismcommentary.com / CIRCA 2007 :
I thought it was against the terms of service of a merchant account—and possibly against the law—to charge different prices for cash and credit or to add a surcharge for credit card purchases, all else being equal. Here’s how the stations apparently get around this issue:

Now we all face dual pricing, and as was the case when the practice first popped up, to comply with the law, the pump price has to be the credit price from which the cash discount comes.

But the price advertised on the big signs that draw people to the stations is the cash price. That is misleading.

According to North Jersey Media Group, gas stations are “forced” to adopt this policy because merchant fees eat into their profits..

.. it’s clear that when this was initiated at the stations within the last few days, the cash price is the one that followed the trending line and an extra surcharge was added to the credit card prices. Nevertheless, they can still consider it a “discount” for cash purchases. The regular credit card price should be the one advertised on the large signs, not the discounted price.

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viperpa33s
Why Me?
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join:2002-12-20
Bradenton, FL
·Bright House


edit:
April 9th, @08:53PM

reply to viperpa33s
The only reference that it's cash is on the outside sign itself. It's small type, you would not even think of looking. There is no mention of the price difference at any of the pumps. The price difference only happens after you swipe your credit card.

Here your trying to look at the outside sign that stands about 25 feet to 30 feet in the air and trying to avoid major traffic at the same time. Can we say accident waiting to happen.

I agree it's misleading, maybe illegal. Not sure what the law is in Florida regarding this. I can say it's my fault for not paying more attention and that's what I will have to do in the future.


lilhurricane
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Well, i appreciate your posting about it..

..and I'll certainly be looking more closely from here on out.


Hayward
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join:2000-07-13
Key West, FL


edit:
April 9th, @10:42PM

reply to viperpa33s
said by viperpa33s See Profile :

The extra price you pay at the pump is for using a regular credit card. I was like, you got to be kidding me? She said a lot of gas stations are starting to do it to recoup the higher credit card fees.

They did this years ago but stopped doing it because of backlash. Guess they decided to bring it back again. So I guess convenience is not so convenient after all.
I'm not surprised... and though many think the gas station the evil meanence fact is they are only making PENNIES a gallon... a very low profit margin, and likely the oil company were offsetting it and stopped doing it, to get all their QUARTERS too. You seeing it universally or just that company.

Haven't seen it here yet.

Early in the internet there was often a 3% surcharge for charges... but others decided to absorb it and gained business... that ended it more than anything legal happening, I imagine the same for gas, unless all stations in the area are doing it again.
--
»haywardm.com (Hayward's Key West)


timcuth
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join:2000-09-18
Pelham, AL
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 reply to viperpa33s
I read an article in WSJ a few days ago about another side to this problem. The merchants, including gas stations, cannot control the fees they have to pay to the credit card companies. The credit card companies have no contractual obligation to keep their fees at anything definite.

Where this really comes into play is with the rewards we all like so much for using our credit cards. For example, I have one card that credits me 3% on gasoline purchases. At that rate on today's gas prices, that is over 9-cents per gallon. Gas stations only make about 4 cents profit per gallon. Yes, I know, the oil companies are making a killing, but the small business owners are just trying to eke out a living like the rest of us.

Guess where that 9-cent rebate comes from. The credit card companies who are offering the reward? Not on your life! They are taking it from the merchants in the form of increased fees.

The article went on to say that these fees are adding about 76 billion dollars every year to increased prices due to increasing credit card acceptance fees. This adds to prices for everyone, not just for credit card users.

In reality, the gas stations that are charging higher prices for using credit cards are being fairer than those that charge the same fee-inflated prices to everyone.

Tim
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viperpa33s
Why Me?
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join:2002-12-20
Bradenton, FL
·Bright House

reply to Hayward
said by Hayward See Profile :

said by viperpa33s See Profile :

The extra price you pay at the pump is for using a regular credit card. I was like, you got to be kidding me? She said a lot of gas stations are starting to do it to recoup the higher credit card fees.

They did this years ago but stopped doing it because of backlash. Guess they decided to bring it back again. So I guess convenience is not so convenient after all.
I'm not surprised... and though many think the gas station the evil meanence fact is they are only making PENNIES a gallon... a very low profit margin, and likely the oil company were offsetting it and stopped doing it, to get all their QUARTERS too. You seeing it universally or just that company.

Haven't seen it here yet.

Early in the internet there was often a 3% surcharge for charges... but others decided to absorb it and gained business... that ended it more than anything legal happening, I imagine the same for gas, unless all stations in the area are doing it again.
I don't think gas stations are a mannace, and I believe any business owner has a right to make money. I just want the business owner to be honest with there customers. Putting a sign on the pump to let the customer know was not so hard to do.

I went to that gas station for convenience and the attendants were friendly even though they charged more per gallon but I won't go back after this. It's all part of doing business.

The gas station I went to was Chevron but I haven't seen it at Racetrack down the street. The BP and Shell I haven't see it either but I am sure they are working on it. The lady told me the manager took a trip up to North and South Carolina and they are starting to do up there. She never said what part of the states it was.

Fisamo
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join:2004-02-20
Apex, NC
·AT&T CallVantage

I haven't seen that in the Raleigh area yet, but that's not to say it's not coming...

I thought the same as lilhurricane See Profile, that it was illegal to post the cash price and charge more for a credit transaction. For a while (back in late '80s) in CT, they tried the first approach and fell back to giving change at the register if you went to pay the exact pump amount with cash. However, I haven't seen anything like that since then.


lilhurricane
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reply to viperpa33s
This looks like a good link, in case anyone needs it

»www.fueleconomy.gov/feg/gasprice···ex.shtml
Forums » Tech and Talk » City Chat » Southeast


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