Please be aware that merchant agreements with CHS Payment Solutions prohibit surcharging for the use of a credit card. While adding a surcharge for customers using a credit card is becoming increasingly common in many industries, there are several reasons why we do not allow the practice.
- Surcharging is illegal in some states.
- Card brands have conflicting rules regarding surcharging. Allowing surcharging would require us to discontinue offering acceptance of American Express cards.
- State legislation and card brand rules can differ regarding surcharging. Both would need to be monitored and compared to identify conflicts, which would then need to be resolved.
- Surcharging cannot be done on debit card purchases, PIN or signature.
- Surcharging must be called out as a line item on receipts. At this time, the POS systems that CHS supports do not have the capability to report the surcharges or have the charge appear on the receipt.
- Petroleum Point-of-Sale companies have not yet added fields that the POS must send to card brands.
- Card brands must be notified if surcharging is implemented.
- Signage to inform customers of the surcharge must be present at the business.
- Surcharging incorrectly can result in fines.
- Surcharging rules may differ for government entities or universities.
- Surcharging creates a negative experience for customers, which reflects poorly on the brand(s) associated with the business.
Due to the complexity and inconsistency of regulations surrounding surcharging, CHS Payment Solutions will continue to prohibit the practice at any location processing with us. That being said, merchants are permitted to implement the following.
- Imposing a minimum purchase amount of up to $10 for credit cards. Minimums are not allowed on debit card purchases.
- Offering a discount to customers who pay cash.
If you have any questions, please contact CHS Payment Solutions at 1-800-852-5301.
