Can you charge a fee for using a credit card in New York State?

New York businesses MAY impose a credit card surcharge, but they cannot require you to do the math: the actual price in dollars and cents when using a credit card must be posted. This scenario, under current New York State law, is legal.

Is it legal for a business to charge for using a credit card?

Credit card surcharges are optional fees added by a merchant when customers use a credit card to pay at checkout. Surcharges are legal unless restricted by state law. The consumer’s receipt must also indicate a surcharge was added to the bill. Surcharges cannot be imposed on debit cards or prepaid debit transactions.

What states can charge the credit card surcharge 2021?

As of March 2021, most U.S. states allow merchants to surcharge on credit card transactions, with only Colorado, Connecticut, and Massachusetts having laws against surcharging.

Is it legal to charge a credit card fee in New York?

New York law prohibits merchants from charging consumers a fee to cover the credit card transaction fee surcharge. Yet that statute (Section 518) has been challenged and is under an injunction as it makes its way through the courts.

Do you have to disclose credit card surcharges in New York?

The merchant plaintiffs and the state of New York filed motions on Jan. 8 to dismiss a challenge to such charges, seemingly capping a battle stretching back years. Now, merchants must disclose those surcharges as part of “total” prices in dollars and cents.

Is it illegal to add a surcharge to a credit card bill?

Until recently, credit card surcharges had been illegal in 10 states and Puerto Rico. However, a recent court case in New York struck down its ban on credit card surcharges, permitting merchants to add these to your bill. Similarly, the ban was lifted in states such as California, Texas, Florida, Oklahoma and Maine.

Can a credit card company charge a convenience fee?

Convenience fees are a subset of credit card surcharges, and are permitted in all states. However, laws govern when a business can and cannot charge their customers a fee. Convenience fees, like surcharges, must be clearly displayed at the point of sale.