5% extra, for using a credit card

[Dork Lard]

If it meets / exceeds your expectations, does it matter?

If you buy a branded coat for example, what is its important function for you?

If you want to stay warm and dry, a fake might be worth the discount.

If you want the warm and shallow glow of being a brand snob above all other things, a fake just won't cut it.

There may be a few occasions where the fake out performs the real deal . . . .

For many years I have been wearing the type of Levi's denim shirt that Jay Leno & Billy Connolly favour. Except mine cost approx £15 where theirs cost £60+.

 

[Harry Bloomfield]

It seems to be a legimate company, registered for over a decade with Company House, but they want either the 5% for a card, or a bank transfer.

Sorted. I emailed back, pointing out that it was illegal to charge a none business customer, for the use of a credit card, his reply was that he had no choice, his margins were so very tight and suggested I should go elsewhere. I emailed back and asked if debit cards were acceptable, and he agreed there was no extra charge for using those and I placed my order. I stuck with him/them, simply because they responded promptly and were some £50 cheaper than other suppliers quotes. This is a supplier 100 miles away, versus much more expensive quotes from companies on facebook, which claim to be quite local to me and not being very communicative.

I'm buying the materials, to reroof the summerhouse, with box section, galv., plastic coated steel sheet - at last. When I originally built it, I apex roofed it with roofing felt, since then it has been an almost annual task to repair the felt roof, due to weather and squirrel damage, from them clambering over it.

 

[Ivor Windybottom]

Not saying this to take the p1ss, I'm genuinely asking the question. Are you confident the product is genuine and isn't a fake, some of which can be VERY good.

100% absolutely certain it's genuine. Firmware updated from Canon's website, it connects via wifi and uploads photos automatically to the PC as they're taken using their software.

Quite often these big companies just charge more in the UK than they do elsewhere. It's why the car companies used to call the UK "Treasure Island", we're happy to pay more for stuff than others are, mainly as people are brand snobs and think that if the price is lower there must be a downside. The truth is that quite often we're just being shafted.

There was a huge case lots of years ago when Asda were importing genuine Levi jeans and flogging them cheap. Levis didn't like it, they had a big fight in the courts.

 

[opps]

I used to sell dog supplements online. We used to pay about 5% on credit card transactions, debit card transactions, at the time were a flat fee of £0.19

The average transaction was only about £35

That is £1.75 verses £0.19 in commission...

I can see why a site would charge more. Equally, I understand why some shops have a minimum spend on cards.

Annoying for the customer though.

 

[diy_fun_uk]

If it meets / exceeds your expectations, does it matter?

If you buy a branded coat for example, what is its important function for you?

If you want to stay warm and dry, a fake might be worth the discount.

If you want the warm and shallow glow of being a brand snob above all other things, a fake just won't cut it.

Eh?!?

If you THINK you're buying a legitimate branded product, of course it matters.

 

[Harry Bloomfield]

I can see why a site would charge more. Equally, I understand why some shops have a minimum spend on cards.

Annoying for the customer though.

I fully understand where he was coming from, but he could have simply suggested using a debit card instead, rather than insisting on my risking a bank transfer to a complete stranger.

 

[opps]

that was a good find and hong kong a free port , no duty - although maybe VAT should have been paid - not an importer so not sure , but even if the carrier charged vat still a good price

i looked at camera from US many years ago - good price , would not keep the warranty , but the VAT and the Duty made it note as viable - I think it was 14% duty and 20% vat on top

I am pretty certain that products from Hong Kong are subject to import duties. I would also expect that the 14% duty would apply. The 14+20% applies to the whole transaction, including the postage. The postage is value added and subject to VAT.

 

[foxhole]

Would it be normal, for a company to want to charge 5% extra on a £500 order, for paying by credit card?

On the 13th January 2018, surcharging became illegal in the UK for most card payments accepted in person (via card machines), online or remotely. The surcharge ban applies to: All consumer/personal debit and credit cards.

 

[Harry Bloomfield]

I am pretty certain that products from Hong Kong are subject to import duties. I would also expect that the 14% duty would apply. The 14+20% applies to the whole transaction, including the postage. The postage is value added and subject to VAT.

The exporter is supposed to add it on, charge it, and pay the UK. Many bypass it via various dodges.

 

[Harry Bloomfield]

On the 13th January 2018, surcharging became illegal in the UK for most card payments accepted in person (via card machines), online or remotely. The surcharge ban applies to: All consumer/personal debit and credit cards.

We've established that, but how are companies supposed to cope with the cc company taking 5% of the top?

 

[Dork Lard]

Sorted. I emailed back, pointing out that it was illegal to charge a none business customer, for the use of a credit card, his reply was that he had no choice, his margins were so very tight and suggested I should go elsewhere. I emailed back and asked if debit cards were acceptable, and he agreed there was no extra charge for using those and I placed my order. I stuck with him/them, simply because they responded promptly and were some £50 cheaper than other suppliers quotes. This is a supplier 100 miles away, versus much more expensive quotes from companies on facebook, which claim to be quite local to me and not being very communicative.

I'm buying the materials, to reroof the summerhouse, with box section, galv., plastic coated steel sheet - at last. When I originally built it, I apex roofed it with roofing felt, since then it has been an almost annual task to repair the felt roof, due to weather and squirrel damage, from them clambering over it.

And your guarantee is written in stone that was then cast in iron.

 

[Mottie]

And your guarantee is written in stone that was then cast in iron.

Posting at 4.30am? You’re up early Dork - out walking your woods again?

 

[Ivor Windybottom]

On the 13th January 2018, surcharging became illegal in the UK for most card payments accepted in person (via card machines), online or remotely. The surcharge ban applies to: All consumer/personal debit and credit cards.

It was all dressed up as being pro-consumer fairness.

In reality it was all about covering up the fact that the banks make an absolute killing from transaction fees. As ever, the government wants to help them steal everyone's money. All prices from companies that allow payment by credit card are inflated to cover these fees.

I don't know whether it's even legal to offer a discount or free gift for paying by debit card. It probably would be considered a disguised surcharge, therefore illegal. The only thing companies can do is to completely block credit cards, I know of several that do. But then they're turning away lots of customers, most of whom won't understand why. Many may wonder if it's because they're a bit dodgy.

The banks run the country.

 

[opps]

All prices from companies that allow payment by credit card are inflated to cover these fees.

That is probably a fair assessment but perhaps overlooks other costs.

We were small fry, about £100k turnover (not profit- but the margins were good).

We had a few older customers that were uncomfortable with making online payments. They could phone us, place an order and then post us a cheque. We would have to find the time to take the cheque to the bank. That is a cost.

We used to have a stand at Crufts each year, we accepted cash and cards. Although some of the cash could have become invisible, it was more hassle than it was worth.

It used to irk me that I needed a merchant account to accept online payments. The payments from the merchant account would filter down to my business account and I would pay another (much lower) commision just for my money to hit my business account.

 

[Ivor Windybottom]

I don't know why anyone would want to run a business with a turnover of £100k. Wouldn't you make more money if you reduced it to £85k and deregistered for VAT? You'll be currently handing 17% of your profits straight to the government.

All unless you have some complicated VAT arrangements of course, which is possible with some animal foods but not normally pet food.

Every means of selling costs something. But credit card fees seem very hefty, and the government seem to be going out of their way to make it as hidden as possible.