Dealers charging a fee for using a credit card


I’m wondering if this is the new trend of dealers charging customers anywhere between 3 and 4% fee on the total sale if paying by credit card?   I was going to buy a brand new item online for 5K, but stopped dead in my tracks when I found I was going to have to pay a 3.9% fee for using my Mastercard!  The fee would have been almost $200.00!   Since this dealer has mostly online sales, it sounds like a big money grab to me. Between the 5K price, add $275.00 for shipping and 200 for paying by CC plus sales tax of $300.00, it would have cost me $5775.00.  I cancelled before I clicked send.  I called the dealer and was told that is the cost of doing business on the internet, so I basically told them to pound sand. 
 

Two weeks ago, I had all new brakes and rotors replaced on my 2020 Tucson with only 22K miles on it.  The bill was $1375 and I paid with my card.  When I got the statement, there was a CC fee of $37.00 added to the bill.  I went back to the Hyundai dealer and was told all businesses do this and he pointed to the sign.  I told them I saw the sign but paid with my DEBIT CARD, not a CC.  I was told it didn’t matter.  When I asked how many transactions were in cash, the service writer told me one out of fifteen pay in cash.  This makes me sick to my stomach.  
 

I would like to hear from others who have dealt with this. 

stereo5

If they’re charging MSRP or near it (e.g. some piddly discount < 10%), then they have ample margin to cover payment processing fees. But if you’re getting actually good discounts from a long-time dealer, then yes I could see that being an issue. I always paid cash/check to my longtime dealer before he retired. I also know a young dealer in Maryland (very young by this industry’s standards) who gives nice deals and also eats CC fees. He’s a great dealer too. 

I don’t understand all the big online audio retailers that charge MSRP to ship your gear. They all suck. Terrible salespeople. They’ve all dropped the ball on me at one point or the other even when my entire interaction was basically: here is my money, take it. 

Last time I was running business- when we signed the CC agreement- back then you had to agree NOT to up charge the fee to consumer. 

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The business does pay a fee for cc but should not for debit.  Hence debit being same as cash at many gas stations.  I'm responsible for my company's web sales.  We don't get charged a fee for debit.  I think this is where the money grab is.  It IS a cost of doing business but used to be for the business, not the customer.