> and now, the latest thing is that shops, businesses etc may pass on
> the % fee they are charged by the card company, onto the customer, so
> your goods may cost an extra 3%.

Some of our shops used to do it; sometimes for all purchases, sometimes
only for small-amount purchases. But I haven't seen it done in years;
people were refusing to use the credit card in their stores, but they
had to pay a fee to the issuer anyway.


I can't remember which company it is (either John Lewis or Debenhams) add at
the bottom of their credit card receipts that a portion of the credit card
bill  includes a 3?% credit card charge.  (It is not in addition to but is
part of the original bill). I discovered that this was itemised because VAT
is not charged on credit card fees.  Therefore if you buy something for say
� 10.00 with your credit card, there is an in built credit card charge of 30
pence.  You still only pay � 10.00 but they can claw back the VAT element
hidden in the 30 pence credit charge.  Crafty!   Not a lot you might think.
But take that figure and then multiply it by the millions of pounds turnover
they do per year and it adds up to quite a significant sum.  I have noticed
other companies doing it, H Samual (the jewellers), PC World, for example;
probably for the same reasons.   Although I think they may be owned by the
same ultimate company.  I think customs are having a bit of a winge about it
and they are actually challenging it so it may alter in the future.


Incidently at the moment, in this country at any rate, shops are not allowed
to pass on the credit card charges to customers its part of the terms and
conditions of running a credit card facility in your company.




Jane Bawn
Portchester UK

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