?ANDERSON, Ind. ? Most customers think retailers pay one fee for each transaction processed with a credit card, but that can be far from reality, the Indianapolis Star reports. For convenience retailer Jay Ricker of Ricker?s, swipe fees have so many variables, it?s impossible for retailers to keep them straight.
?There are 150 to 200 fees I could be charged ? different if it's a rewards card, different if it's a platinum card,? said the owner of Ricker?s. ?We don't, quite frankly, know.?
While the fees usually come to around 2% of the purchase price, the cost can vary widely. Ricker, and other retailers, pointed to the unpredictable nature of the fees as cause for concern with the credit card settlement proposed by MasterCard and Visa. The failure of the settlement to make the fee system simpler and to eliminate how fees are now set is why numerous retailers are opposing it.
?Right now, it's a legal monopoly. They can set prices however they want,? said Ricker. ?And with this settlement, the fees don't go down. There are no structural changes in the fees long term.
Among those groups opposing the settlement are NACS, the National Grocers Association (NGA), the National Cooperative Grocers Association (NCGA), the National Community Pharmacists Association (NCPA) and the Retail Leaders Industry Association.
So far nearly 60 retail companies and the following retail trade associations have also stated their opposition to the proposed settlement:
- Colorado Wyoming Petroleum Marketers Association
- Georgia Association of Convenience Stores
- Independent Oil Marketers Association of New England (IOMA)
- Minnesota Service Station & Convenience Store Association
- Montana Petroleum Marketers and Convenience Store Association
- Society of Independent Gasoline Marketers of America (SIGMA)
- Tennessee Fuel and Convenience Store Association
- Texas Food and Fuel Association
- Utah Petroleum Marketers and Retailers Association
- Vermont Grocers Association
- Vermont Retail Association
- West Virginia Oil Marketers and Grocers Association (OMEGA)
To voice your opposition to the proposed settlement and add you company or association name to the list, please contact NACS Senior Vice President of Government Relations Lyle Beckwith.?