XPost: nf.general 
 From: mattdawe@warp.nfld.net 
  
 From what I understand, retailers are charged per transaction. I believe the 
 charge varies from bank to bank. I have heard Royal Bank is 35 cents...how 
 accurate that is, I don't know. I guess the retailers are simply covering 
 their bottom line since a $5 sale to them is only $4.65 in revenue after 
 they are charged the fee.....the markup on the $5 item was likely minimal to 
 begin with so you can't really blame them. 
  
 Credit cards work similarly except they charge a percentage of the total 
 sale. If they charge 4% for a Visa, on a $100 purchase, the retailer loses 
 $4...something along those lines. 
  
 "Terry"  wrote in message 
 news:OWBue.74695$Kk4.944213@news20.bellglobal.com... 
 > Buying yesterday at the local store outlet of a national chain store I was 
 > advised that there would be a 25 cent charge if I used my debit or credit 
 > card for a purchase of less than $5! 
 > 
 > This was the first time I have experienced this. 
 > Is it common practice throughout Canada? 
 > It was also mentioned that another store charges 50 cents for the same. 
 > 
 > Twenty five cents on $5 is a 5% premium. 
 > If the purchase was less, say $3.00 for a carton of milk, or similar, the 
 > twenty five cent charge is 8.3%! 
 > Fifty cents on $5 or less could be a 10% or higher premium. 
 > 
 > Am wondering if this is a reflection of or is caused by how much the banks 
 > charge businesses for bank debit card transactions. My bank tells me that 
 > such extra charges by retailers are the exception and very unusual. 
 > 
 > I guess I won't be shopping at that store again. Also after being 
 accustomed 
 > to never having to carry money (except maybe  afew coins in the vehicle 
 for 
 > the odd parking meter) hope that will be able to continue use of 
 'plastic'. 
 > 
 > Debit cards are best because, requiring use of PIN they are more secure 
 than 
 > a credit card. Also the transaction amount comes out of one's account 
 almost 
 > immediately, and does not incur interest charges. It's easy to get at any 
 > time an on-line or toll free telephone update of the state of ones bank 
 > account. 
 > 
 > Comments? Personally I'd like to see banks make it mandatory that sellers 
 > who accept their debit cards NOT charge any additional fees. 
 > 
 > 
  
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