[Closed] Credit card and eBay charges banned

where did the info come from?

Not to be horrible but your post is somewhat lacking in the detail side of things

where did the info come from?

You would have to be a hermit with zero interest in current affairs not to be aware of this already. It's been splashed across all news sources all day. [url= http://lmgtfy.com/?q=card+charges+banned ]Link[/url]

Don't worry. Its EU legislation. The charges will be back before you know it. Along with Mobile Roaming charges and all sorts of other joyous things

Taking back control is great, isn't it?

Sounds like a good idea, in practice what does this mean for the fee's incurred through merchant services for the retailer?

re: ebay/paypal - they'll just reframe it as a service change...

Give it a rest binners. It's just boring now hearing that stupid comment every time.

Stupid comment? I'd put my ****ing house on it!

Good. It was completely taking the piss.
Virgin wanted to charge us when we bought our virgin holiday with a virgin credit card.
Double piss taking.

Just need to blame Trump & the Torys & we will have a full house of whingers bingo.

I'd put my ****ing house on it!

It would be very interesting to see if the UK government would have got around to doing this without the EU directive. They had years to get around to it independently and didn't bother until the the directive made it happen. I guess we don't have long to see!

I was quite happy to pay the extra as the credit card company takes responsibility if something goes wrong - eg, holiday company goes bust.

It's like an insurance premium.

And I agree with Binners.

Excellent. I paid for a holiday last week and avoid the credit card charge paid on my credit card through pay pal.

You would have to be a hermit with zero interest in current affairs not to be aware of this already. It's been splashed across all news sources all day. Link

First I've heard of it.

If they do scrap it you can't blame the tories as "the hard working British tax payer" will have voted for it along with all the other shit about to be landed upon us.

Give it a rest with the Brexit broken record please. I might agree with you but in this case I'm trying to figure out how it will affect PayPal transactions.

[i]how it will affect PayPal transactions[/i]

But Brexit will affect it, either now or in 18 months time.

But Brexit will affect it, either now or in 18 months time.

But brexit was just about getting rid of the dirty foreigners silly. It's not going to have any other effects.

I give up. You can't have a conversation on here about anything without the whole thread being polluted with Brexit talk. There has been a ruling which will come into force in the Uk and I'm trying to figure out how it will work in practice. Please can we discuss that. Yes I know when laws change around brexit it might change. Or it might not. I'm not stupid.

[i]I'm not stupid. [/i]

and yet here you are on the day the EU announces a ruling, askign on a cycle forum about EU legislation changes that will make hundreds of millions of Euro's difference to thousands of businesses and financial institutions bottom lines and for which very few have made any firm plans let alone announced what they are 😉

Did someone not get any sleep last night?

I was quite happy to pay the extra as the credit card company takes responsibility if something goes wrong - eg, holiday company goes bust.

Well yes, but that's about using credit cards, you don't lose protection because you're not paying!

The way I read it you'll no longer be able to have "50p on card transactions under £5" in your local corner shop, card dealers won't be able to say 3% extra for buying on a credit card, and retailers won't be able to inflate prices if you pay with PayPal (which admittedly is less common).

Can't see this effecting eBay/PayPal private transactions though.

I give up. You can't have a conversation on here about anything without the whole thread being polluted with Brexit talk. There has been a ruling which will come into force in the Uk and I'm trying to figure out how it will work in practice. Please can we discuss that. Yes I know when laws change around brexit it might change. Or it might not. I'm not stupid.

Businesses / Government departments will have to have a single price.
They then decide which payment methods they will accept.
The price you pay is the price you see.

On a practical note, I wouldn't be surprised to see the removal of the ability to pay your car tax by credit card etc.

Ranting at people for being humourous on STW! That's a new one 😆

So Paypal - I can't think of any transaction I've made online where there was a surcharge for using Paypal. Can anyone? This isn't Paypal fees, this is a surcharge by the vendor.

njee20 - that's what I thought too to be honest. I suppose PayPal will say that PayPal Goods service charges will be under the same banner as the retailer paying the card handler the 0.5% fee (much higher for smaller shops). But I was thinking that it also might apply to private sales where you are forced to lose the goods fee when accepting payment although it isn't a business transaction (and not subject to the same control and other charges).

I paid for a holiday last week and avoid the credit card charge paid on my credit card through pay pal.

Are there any other subjects that you'd like to ask about, to which we can only answer with stuff you'd like to hear? Or is it limited to banking charges?

I am glad to see the fee go for larger companies anyway as the surcharges they levy are always way higher than the actual cost of processing the transaction - just profiteering.

geoffj - Member
The price you pay is the price you see.
POSTED 1 MINUTE AGO # REPORT-POST

It's very much this. I think you are over thinking the issue.

And it was brought in by the EU, quite rightly, they've been clamping down on charges (hidden or otherwise) on products or services that the consumer either never recognises or sees or gets charged post sale.

Brexit or not, that isn't the real point.

It's a simple disclosure point for the consumer, and I support it.

And the benefit is? If no one is charging any fees then in theory prices should drop but they won't as the percentage is, in most, cases not a lot.
Some how it always seemed fair to me. If you want the convenience and protection of a CC over , say, cash, then pay for it if it causes the seller any loss or hassle. you are paying a small insurance fee really. You don't have to buy in a certain place, go to somewhere that absorbs the costs.

Newrobdog is right you know. It's a simple issue that doesn't need confusing by random guess work tainted with political view points. No one does know, they are guessing. It would be nice if the Op's of posts were considered not ignored.

mattsccm - given *everyone* on the thread is guessing then sticking to the OP's direction is pretty meaningless anyway, isn't it?

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We've just had a 3.85p per transaction anti fraud charge foist upon us for contactless under £15.
Then there is a percentage fee on top of that.
It still doesn't guarantee that the credit card people will pay us that money.
Apparently that charge was forced upon World Pay by EU. Does anyone know if that is true as the other company we are talking to don't know anything about it. One of them is lying.

So Paypal - I can't think of any transaction I've made online where there was a surcharge for using Paypal. Can anyone? This isn't Paypal fees, this is a surcharge by the vendor.

Yes, I've seen it. Typically small retailers who either want you to phone through card details or charge you x% extra for PayPal - basically a convenience tax. The online is a moot point in that though, this is for any retailer.

Freeborn used to have a number of prices on all their bikes too - cash, debit/credit card or finance. Struck me as pretty dodgy at the time anyway, but that won't be allowed as I understand it.

Of course whether every corner shop actually complies is something else entirely!

be aware that you lose the Section 75 protection from your CC if you do this (not really a problem with holidays though, as long as they're covered by ABTA)

Not necessarily.

Does anyone know if that is true as the other company we are talking to don't know anything about it. One of them is lying.

In general I suspect that a lot of small businesses will just have to suck up the extra charge or stop accepting card payments. Big business, particularly the airlines that this legislation was brought in to combat, will most likely add a small amount to prices somewhere else to cover the difference.
With regards to the EU issue, the UK legislation goes further than the EU legislation so I wouldn't expect it to be disappearing any time soon.

INRAT but there seems confusion as to what these charges are.

CC providers charge a fee for each transaction to the vendor for the service they provide. Vendor instead of absorbing the charge into their costs gives customers the option of a lower costs by paying using a different method. In future it will be outlawed to charge for this meaning companies will simply increase their cost by that amount.

Simples. Its not the CC companies doing anything wrong they have to charge for the service they provide.

I'm not sure anyone ever though the CC companies were doing anything wrong. It's nothing to do with the CC companies. It's just about adding transparency to the retail cost to the consumer- the cost displayed is the cost you pay.

I can't recall if this still happens but do some retailers still have that minimum spend to use a card thing? If so I guess it won't be effected by this. Also, to correct an inaccuracy by the OP in a subsequent post, according to the bloke from Which on radio 4 this morning a change in the law a few years ago already banned the passing on to customers more than the cost of the service from the CC company. So in theory(provided they are acting legally) all CC supplements currently charged reflect the actual cost of using them to the retailer. That was also due to an EU directive bless 'em 😉

We have a minimum spend of £5.
3.85 p plus either .3 % or .65% on top of that. Business credit cards can be 1.7% .I think there's one that 2.3% then some foreign cards have an extra charge on top of that.
If the machine we rent off them breaks and we have to go back to the clonk clonk machine that costs an extra £1 per transaction.
We threw ours away when we discovered that.

wwaswas - Member

But Brexit will affect it, either now or in 18 months time.

Citation please. 🙂

newrobdob - Member
njee20 - that's what I thought too to be honest. I suppose PayPal will say that PayPal Goods service charges will be under the same banner as the retailer paying the card handler the 0.5% fee (much higher for smaller shops). But I was thinking that it also might apply to private sales where you are forced to lose the goods fee when accepting payment although it isn't a business transaction (and not subject to the same control and other charges).

You mean your worried if you want to accept paypal as payment for second hand bike bits you wont now be able to ask the buyer to cover the fees? I think it would be pretty hard to drag a personal agreement through the courts as subject to this new ruling so id not really worry.

Just need to blame Trump & the Torys & we will have a full house of whingers bingo.

I just need 'snowflake' to win apologist bingo, if that helps you.

I was quite happy to pay the extra as the credit card company takes responsibility if something goes wrong - eg, holiday company goes bust.

It's like an insurance premium.

If that's what you're after just pay a fiver on the credit card and the rest by whatever means suits you. Remarkably, Section 75 protection still applies to the entire amount.

I just need 'snowflake' to win apologist bingo, if that helps you.

You must be using an old card, I'm waiting for 'bed-wetter' and 'hand-wringer' as well.

[i]you wont now be able to ask the buyer to cover the fees?[/i]

How is this anything to do with PayPal fees?

You must be using an old card, I'm waiting for 'bed-wetter' and 'hand-wringer' as well.

😆

I think I just got lucky! Haven't even got 'libtard' on mine.

DezB - Member
you wont now be able to ask the buyer to cover the fees?

How is this anything to do with PayPal fees?

Here's a link to the full EU Directive.
http://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:32015L2366&from=EN

It's pretty heavy going. I've managed to find out that there's more to the directive than just stopping CC Surcharges - including new regs on "payment initiation services" (my assumption is Paypal is one of these), but unable to find any reference to their transaction fees.

Can't quite see how this legislation helps anyone? All that will happen is prices go up.... everyone loses. I thought we were supposed to be worried about inflation!

The aim will be to have transparent pricing ie the price you see is the price you pay.

DezB - Member
you wont now be able to ask the buyer to cover the fees?

I must admit to finding it a bit odd that some businesses seem to think that they shouldn't have to pay the credit card companies for processing their transactions for them. Do they expect the post office to deliver their parcels foc too?

I must admit to finding it a bit odd that some businesses seem to think that they shouldn't have to pay the credit card companies for processing their transactions for them. Do they expect the post office to deliver their parcels foc too?

I think it was more that the businesses did not feel like they should have to pay the arrangement fee for the consumer to effectively get a loan to buy their product.

mikewsmith - Member

you wont now be able to ask the buyer to cover the fees?

See how you like it 😛

apologies, you were quoted in there somehow

I think it was more that the businesses did not feel like they should have to pay the arrangement fee for the consumer to effectively get a loan to buy their product.

Most card transactions in the UK are debit.

When we tried to buy a car with cash pound notes they wanted to charge us a supplement.