Surcharging, Cash Discounting, Dual Pricing, Convenience Fees, and Service Fees are prominent terms the payments industry has grappled with handling over much of the past decade and exploded in the last few years. The concept of shifting the cost obligation of card acceptance to cardholders has unlocked a new avenue of increased profitability for acquirers and merchants much to the chagrin of card networks and consumers. This report focuses on:
Definitions: What are the concepts of Surcharging, Cash Discounting, and Dual Pricing? How do they work functionally, and how do they differ from one another?
Regulation: How much has the legality of non-cash adjustments really changed? Where does the legality of surcharging currently sit nationally and internationally?
Enforcement: Are surcharging regulations enforced at the state and card brand level? What does recent enforcement of non-compliant surcharge programs look like?
Consumer Sentiment: How do consumers and cardholders feel about the increasing prevalence of surcharging practices?
