From nanog-bounces+bonomi=mail.r-bonomi.com@nanog.org Sun Jun 10 13:18:06 2012 From: Barry Shein <bzs@world.std.com> Date: Sun, 10 Jun 2012 14:16:10 -0400 To: Mikael Abrahamsson <swmike@swm.pp.se> Subject: Re: Dear Linkedin, Cc: NANOG <nanog@nanog.org>, Joe Greco <jgreco@ns.sol.net>
I was under the impression (I should dig out my contract) that merchant contracts also forbid charging more for a charge than for cash or conversely "discount for cash!" but I see so many violations of that particularly at gas stations I wonder if that's negotiable in the contract.
The 'true explanation' is even simpler -- your impression is incorrect. <grin> In the U.S., Visa/Mastercard/Amex/Discover/Diners Club contracts all expressly forbid charging extra for a card transaction. Using language that applies only to a 'premium' or 'surcharge' applied to card transactions. They do *NOT* forbid giving a discount for cash payment. They do not state it =is= acceptable -- they are simply silent on the subject, which means that it is not proscribed. The logic: The card purchaser must be allowed to buy at the 'advertised' price. Prohibiting discounts gets into a 'restraint of trade' issue. Gas stations that offer a 'discount for cash' do not give that discount even for 'house brand' cards -- which do not have any fees that are payable to the issuer.