Comments on: Sorry, we have a minimum purchase amount

By: bluntmoney

bluntmoney — Fri, 20 Feb 2009 22:33:12 +0000

Aaron, no problem. I don’t know if an extra charge is allowable or not. One solution might be to charge everyone higher prices, but then give discounts (equal to the credit card transaction fees) for cash. I’ve been to places that do that.

By: Aaron

Aaron — Fri, 20 Feb 2009 20:04:25 +0000

After re-reading my post it may have come off a bit more aggressive than I originally intended. So my apologies for that. I wasn’t taking issue with your post as much as the comments(not your own) saying u could/should report said business to the credit card companies. I also agree a sign of this nature should be in plain sight so you know what you are getting into before your purchase. I do have one question, what if instead the business tacked on a small(whatever it cost them) charge to credit card transactions under $10? Would anyone support that rather than a must spend 10 policy? Is it against the terms of Service? Once again sorry if I came off as attacking I just see this country as unfortunately catering more and more to corporate America and the companies like Mastercard and Visa not caring about the little guys.

By: Bluntmoney

Bluntmoney — Fri, 20 Feb 2009 19:28:03 +0000

(Just a note that I edited my previous comment to fix a typo and to also hopefully make it less judgmental and hypocritical.)

By: bluntmoney

bluntmoney — Fri, 20 Feb 2009 19:03:02 +0000

Aaron, I am not reporting them, and I did leave a bigger tip. A $4 one on $6, not that that’s a huge amount in and of itself. Unfortunately, I found out later that the restaurant did not apply my tip, which also makes me wonder. (And makes me feel bad for the waitress.) Ordering dessert would have been a trick, since my table was already cleared.

As a small business owner who used to have a merchant account myself, I know that credit cards eat into profits. I couldn’t have it both ways though — accepting credit cards from people to increase my potential sales, but requiring a minimum charge to protect my profits.

I certainly wouldn’t have the sign buried under a pile of papers near the cash register if I did want to have a minimum charge.

I’d have it right next to the “We accept Visa, Mastercard, etc.” sign on the front door.” But of course I couldn’t do that, because it would be advertising that I was violating the terms of the contract I’d signed.

P.S. I don’t go to Applebees, Walmart, or McDonalds for a variety of reasons.

By: Aaron

Aaron — Fri, 20 Feb 2009 18:40:30 +0000

When a restaurant is only making 8% profit on a $6.00 transacation or .48 cents and the minimum credit card transaction costs them .50 to run, what can they do other than put up a minimum sign? Sure these numbers are just theoretical, but it is essentially the real life scenario. These places could refuse to take credit cards all together but a lot of people no longer carry cash. So it really becomes a catch 22 type situation for a small business lose customers by not taking cards or lose customers by setting a minimum. By boycotting these businesses you are only promoting the large businesses like Walmart and McDonalds to take over and run the little guys out of business. After all you have to ask yourself would that $6.00 meal cost you $10.00 at Applebees and you went to the mom and pop place and got it for $6.00 instead? Who would you rather have the money? Like one reader said, buy dessert or leave a bigger tip or maybe buy some random strangers meal also. The solution isn’t a boycott, perhaps asking the place of business to make the sign more visible so you can anticipate it in the future and bring cash is a better solution. Mastercard and Visa don’t care about the small guys and by reporting them you are only hurting the people that help keep money within our communities. Just my 2 cents…..

By: Bluntmoney

Bluntmoney — Fri, 20 Feb 2009 15:20:52 +0000

Paul, I’m pretty sure they would have run the $6 charge. After all, I’d already eaten.

Everyone, I could report them but don’t really feel like it. Generally I just refuse to shop at all at places with a minimum charge. I don’t mind if they don’t take credit cards at all, but I do mind when they have a sign in the door saying they accept credit cards and then they pull a minimum charge thing. That feels like bait and switch and so they don’t get my business again. Or sometimes at all.

By: Scott

Scott — Thu, 19 Feb 2009 23:19:38 +0000

losing customers also eats into your profit.