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Paypal Fee Contribution


webwitch2003

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I was just wondering if it is legal to charge a service fee on the paypal. I know you can't charge a customer extra for using a credit card is this a way of getting around that?

 

How do you explain this to a customer?

 

Thanks :D

Angi

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I was just wondering if it is legal to charge a service fee on the paypal.  I know you can't charge a customer extra for using a credit card is this a way of getting around that?

 

Read the paypal agreement here:

 

http://www.paypal.com/cgi-bin/webscr?cmd=p...ayments-outside

 

Specifically

 

Under Visa, MasterCard, Discover and American Express regulations and the laws of several states, including California, merchants may not charge a fee to the buyer for accepting credit card payments (often called a "surcharge"). You agree that you will not impose a surcharge or any other fee for accepting PayPal as payment.

 

Full details are in the link above :)

Mark Evans

osCommerce Monkey & Lead Guitarist for "Sparky + the Monkeys" (Album on sale in all good record shops)

 

---------------------------------------

Software is like sex: It's better when it's free. (Linus Torvalds)

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Can you offer a 5% cash/check/bank transfer/etc. discount? I've seen lots of places in the past that offer the cash discount (even online) but I'm not sure if legally that would be considered the same as a surcharge.

 

Dave.

 

I have talked to paypal before, and there is nothing they could do about that...

 

Christina

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You can surcharge for taking payment by Card. But only if your local Laws allow.

 

For example; Anyone in the UK is able to pass on a surcharge to other UK buyers as UK Law allows this. Here is what Mastercard ahve to say about it:

 

Thank you for your inquiry to MasterCard International.

 

A surcharge cannot be added to the price of goods or services that you

purchase on your MasterCard card. 

 

The situation in the United Kingdom is different however, in that English

law allows merchants to surcharge.  Because we can not supersede local

laws, merchants surcharging in the United Kingdom are not in violation of our guidelines.

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cash discount means either you ship via COD or the customer sends in payment prior to shipping.

dont know if it is worth it to saave some change . . .

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  • 1 month later...
I was just wondering if it is legal to charge a service fee on the paypal.  I know you can't charge a customer extra for using a credit card is this a way of getting around that?

 

How do you explain this to a customer?

 

Thanks :D

Angi

 

You can do it easily and legally. here's how:

 

First, it is a customer discount, not a credit card surcharge.

 

Easy fix! I ended up using http://www.oscommerce.com/community/contributions,248/page,2

 

The Discount for Payment Type. Just make sure to use moneyorder as the class in the module settings.

 

See it at work at my dummy shopping cart at http://www.geekmom.net/catalog - no orders will be placed using this system. It's all a test. The real cart is a duplicate store. Note this site is my test site so it will not always have this change.

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