Grocery Store charges if use debit card under $5...Allowed?

[disneychrista]

I absolutely DETEST that commercial were people are all dancing through a lunch line using their cc and then some poor guy comes up with cash and disrupts their party and everyone gives him the evil eye. What a blatant middle school type of brainwashing. Oh, you don't want to be different do you? The horror!

I lol at that commercial because, it takes about 2 minutes to run a credit card at the bar I manage because there is no high speed internet available, so it is very very slow dial up. Where as a cash customer is about a 10 second transaction.

 

[tonilea]

Unless I am covering for my bartender (and receveing tips) I never have more than about $5 cash and many times I have no cash. If a place charges a fee to use the CC or debit card I generally won't go there w/o cash. It really really is annoying and bad business to charge customers for paying for their goods and services.

But you do pay for it. One way or another. If you aren't charged up front, then the cost is built into the cost of doing business - and ultimately, the customer shoulders that cost.

 

[HunnyPots]

Do people really walk around with so little cash on them that they can't pay for a purchase of under $5 without a credit card or debit card?

Yes, that would be me! I very rarely have any cash on me at all. Our paychecks are direct deposit so we never even enter the bank building. The only way for me to get cash is by getting cash back on a debit purchase!

 

[C.Ann]

Yes, that would be me! I very rarely have any cash on me at all. Our paychecks are direct deposit so we never even enter the bank building. The only way for me to get cash is by getting cash back on a debit purchase!

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Please tell me you at least have some "emergency" cash at home - or somewhere that you could get to it quickly if need be..

 

[peachgirl]

Add me to the list of cashless.

If I have any cash on me, it's usually just change. I charge everything. I rarely find a place that won't take cc's and if they don't, I don't shop there anymore.

Putting everything on a cc earns me rewards and I can easily track where I spend every penny all month long. I think I actually spend less now that I can see where it all went every month.

 

[SPJammer]

I run a small business online and I accept all major credit cards and it does cost us merchants a decent penny just to accept accept credit cards. Example here is an example of typical fees for an online merchant.

$25 monthly fee
2.37% + $0.30 per transaction for no frills credit card
4.47% + $0.30 per transaction for reward cards
4.12% + $0.30 per transaction for business cards
4.17% + .30 per transaction for corporate cards
4.13% + .30 per transaction for debit cards



Let's say you buy two bags of $0.99 chips. Your order total comes to $2.10 ($0.12 of this is tax) and you pay using your debit card. That purchase would cost me $0.39 to process. Subtract that and the $0.12 tax and the total is now $1.59. Of that $1.59 the product cost me a total of $0.99 because Frito Lay sells it to me at $0.495 each but yet the bags are marked $0.99, we are now down to $0.60 profit.

If you knock out that $0.39 credit card charge, I break even. $0.60 + $0.39 = $0.99 so to recoup my loses due to the fact that it is convient to use that little piece of plastic and the due to the fact that Visa/MC has decided to transfer all of the costs over to me, I refuse credit card purchases under a certain amount.

Now here's where things get sticky. Let's say you bought the chips for a friend and it turns out you bought the wrong kind and you want to return the unopened bags of chips. You demand that the charges go back to your debit card. If I process that refund I am charged the exact same rates as if it were a purchase. Which means your $2.10 purchase, cost me a total of $0.78 in credit card fees and I have no profit to show, since you returned the products and I had to give you the money back.

The above example is purely hypothetical and is was just used to show you why some stores set a minimum limit on credit card purchases. Rates will vary and so does cost of merchandise.

 

[Lisa_M]

Do people really walk around with so little cash on them that they can't pay for a purchase of under $5 without a credit card or debit card?

I often don't because our nearest bank branch is 23 miles away. We should just change banks, but when you've got automatic payments coming out for various bills, it's a pain in the bum bum. We use our debit or credit cards for almost everything. When I need cash for something, I get cash back on debit at the grocery store.

 

[starwood]

We have a .99 cent store here that won't let you use a cc for less than $10.

Unfortunately there would never be a discount for cash. Remember the gas stations that used to advertise a discount for cash (it was the same price as the other stations that didn't give the "discount"). It was really a penalty for using your cc.

 

[Todd&Copper]

Do people really walk around with so little cash on them that they can't pay for a purchase of under $5 without a credit card or debit card?

I have had a grand total of $1.50 in my wallet for well over a month now and my world is nto crashing down around me. Why should I use cash if I can pay off the cc bill every month in full and get the benefit of rewards? It is an interest-free loan to me.

 

[daisax]

I have had a grand total of $1.50 in my wallet for well over a month now and my world is nto crashing down around me. Why should I use cash if I can pay off the cc bill every month in full and get the benefit of rewards?

There's using cash, and then there's HAVING cash.

God forbid there's some kind of major electrical meltdown/powergrid interruption for a week or so...plastic won't be worth much when there's a rush at the grocery store for water and bread. And beer

 

[Todd&Copper]

There's using cash, and then there's HAVING cash.

God forbid there's some kind of major electrical meltdown/powergrid interruption for a week or so...plastic won't be worth much when there's a rush at the grocery store for water and bread. And beer

Sweetie, that will never happen. Even when we had a horrible ice storm and most of the city was without power for 5 days, the grocery store had back-up generators and accepted charge cards.

 

[julsmom]

Do people really walk around with so little cash on them that they can't pay for a purchase of under $5 without a credit card or debit card?

And if you're using a CC card to pay a bill on-line or whatever and they are charging you an extra fee on top for using the CC, what is the point of paying by CC?

I also never have cash. It is a new age. I use a debit card everywhere and never have seen a charge until now. For our bills, we either do online bill pay (not with a Cc) or send an old fashion check.

 

[HunnyPots]

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Please tell me you at least have some "emergency" cash at home - or somewhere that you could get to it quickly if need be..

Well, um, no... I don't.
But what kind of cash-requiring emergency would not allow for me to drive a couple of blocks to the ATM or the grocery store?

 

[kaytieeldr]

Yes. I have exactly $4 in my pocket and it has been that way for about a week. I charge virtually everything.

Not quite on-(original) topic, but… most mornings, I use a toll bridge to get to work. There’s an exit about a mile before the bridge, possibly with a sign stating “last exit before tolls”. A lot of drivers use that option to avoid paying the $3, even though it’s a roundabout route. Fine. Well, one morning there was some kind of structural problem with the exit, so it was closed. Note that this was repeated on all traffic reports, plus the electronic signs for several miles in advance. Doesn’t matter. There were seemingly-clueless drivers who apparently carry NO cash – because several cars were trying to back down the on-ramp in an effort to avoid the bridge.

 

[BostonTink85]

I'm another that generally doesn't have cash, but I was recently reading about how a lot of banks now charge anywhere from 10 cents to 1.50 when you use a debit card and type in your PIN vs. signing. If anyone has any more info about this please post it, I was trying to find a list of the banks but haven't had any luck yet.

edit: here is a link to the article that disucsses this http://moneycentral.msn.com/content/Banking/Betterbanking/P86737.asp

 

[punkin]

Well, um, no... I don't.
But what kind of cash-requiring emergency would not allow for me to drive a couple of blocks to the ATM or the grocery store?

Hurricane Katrina?

Actually, I never have cash either.

 

[julsmom]

Not quite on-(original) topic, but… most mornings, I use a toll bridge to get to work. There’s an exit about a mile before the bridge, possibly with a sign stating “last exit before tolls”. A lot of drivers use that option to avoid paying the $3, even though it’s a roundabout route. Fine. Well, one morning there was some kind of structural problem with the exit, so it was closed. Note that this was repeated on all traffic reports, plus the electronic signs for several miles in advance. Doesn’t matter. There were seemingly-clueless drivers who apparently carry NO cash – because several cars were trying to back down the on-ramp in an effort to avoid the bridge.

We live a few hours from Chicago, but we visit it enough that we purchased an I-Pass (a prepaid device for tolls).

I'm another that generally doesn't have cash, but I was recently reading about how a lot of banks now charge anywhere from 10 cents to 1.50 when you use a debit card and type in your PIN vs. signing. If anyone has any more info about this please post it, I was trying to find a list of the banks but haven't had any luck yet.

I would like to know too.

 

[TheBeadPirate]

Hurricane Katrina?

Actually, I never have cash either.

Thanks for saying this, cause I was a'thinkin it! When we evac-ed gas was $4.59 a gallon and it was cash only. The generators were being run overtime for the gas pumps and a (1) drink cooler. And diet Coke was $2.50 for a 20oz.

One thing I learned then? Once emergency has been declared there's no more liquor sold!

It took 6 of us to come up with enough cash to fill the tank and I used all my extra change that I always leave in the ashtray to buy 3 drinks. Gotta have my Diet Coke or someone'll surely get hurt!

That said I almost never have more than $20 on me at any given time.

 

[jeankeri]

When I quit smoing 11 years ago I also stopped carrying cash. There were just too many useless purchases being made with the few bills I had in my pocketbook. Using my debit/ charge cards makes me think twice about the small impulse purchases. I rarely make them.

 

[bumbershoot]

We have a .99 cent store here that won't let you use a cc for less than $10.

Unfortunately there would never be a discount for cash. Remember the gas stations that used to advertise a discount for cash (it was the same price as the other stations that didn't give the "discount"). It was really a penalty for using your cc.

We have local gas stations with discounts for cash. Of course, they are the Shells and Chevrons, and therefore are much higher per gallon than Arco or Costco, so we don't USE them anyway, but still, if you're a Shell or whatever user and want to use cash, you can get a discount around here.