Cash or charge?

Check

Can I use my debit card?

Charge, unless it's a small store, when I prefer to pay cash so the store-owner doesn't lose profits to Mastercard/Visa. I don't like carrying cash, so I normally use a debit card.

I debit everything.

That's addressed in the explanation text.

Cash, whenever possible. Charge is too tempting!

debit cards rule!

I probably charge more often than I pay cash

about equal

Cash all the way. I hate any other way. Plus it takes too long and holds people up in this already too busy world.

I know but it is not really suposed to be considered a credit card as it takes the money directly from your account exactly like a check does, but on the same day.

Over $10, charge; below, cash

It depends on what I'm buying, and how much it costs.

Credit cards are evil and vile.

They never ask me and I always pay cash. Yes those are absolutes.

Cash, cash, cash! That way I don't over spend.

I never get asked. Probably because I already have my card out before they get to that point.

However, the debit card is accepted as a credit card, and many of them don't have any markings on them to let you know they are debit cards. The financial institution I used to work at had debit cards like that.

VISA also charges a fee for the use of debit cards (or MasterCard as the case may be).

yes but there is still a big diffrence.

I know there's a big difference. I didn't say there wasn't a difference. However, as far as processing goes, (except for the money being taken out of a checking account or some other debit account) they are processed exactly the same way.

We merchants appreciate you! I don't think most people realize that the merchant pays a percentage of each sale that goes on a card, which ultimately raises prices for all of us.

What is the percentage? I heard that some cards charge more than others and I'd like to know which ones.

We only accept Visa & Mastercard where I work. I'm not sure if other cards cost any more or less. We're a fairly small store and we pay a fee of between 2-4% of each debit or credit card sale. It varies depending on the amount of our total monthly charges. Smaller merchants pay more -- I believe up to 6% for very low volume usage. I imagine large chain stores pay a smaller percentage since their volume is much larger.

That's so unfair that smaller merchants have to pay more. I guess Wal-Mart pays almost nothing! It must be tough for small business owners. I don't think most of us understand the issues that you have to face.

AMEX usually costs the most, Visa the least. I've seen percentages ranging from 1.25% to 6%. As SueBee states, you get a volume discount (or surcharge). You can also get discounts (or surcharges) based on how well you block fraudulent use. Using AVS (address verification) or CID (the non-embossed numbers on some cards) will usually give a better discount but they have costs involved too.
I guess I don't really understand your "unfair" comment: it costs the credit card company more to do business with a smaller or less conscientious business; why shouldn't they pass those costs along?

The big chain stores do make it hard for small businesses in many ways. Our saving grace is being able to offer much better customer service, and at our store customers can park near the door and seldom have to fight crowds or wait in long lines.

Sometimes I worry that in the future there won't be any small stores. Everywhere we shop will be huge impersonal stores, with everything run by computers. I saw a TV commercial recently where a guy walked out of a store and didn't have to wait in line. His purchases were automatically calculated and charged to his account as he walked through a sensor near the exit. That would be a handy Express Lane, but I hope it doesn't become our only option!

You make a good point. I don't know that it costs the credit card companies more to deal with smaller merchants, but their profit margin would be smaller having to handle paperwork, etc. on a lower volume of sales. It does make sense that they would make up for that by charging a higher percentage.

It's true that we pay a larger fee on charges when the account number is entered by hand (such as a phone order, or when the card won't scan properly). The advantage is that we are guaranteed the funds from the purchase since it is authorized during the sale. There's no risk of NSF checks when customers use a Check Card. (However, my store had very little problem with that anyway.)

It's not fair because I don't like it.

Seriously you have a good point, but it just seems that everything is stacked up against small businesses. I like small businesses. I'd hate it if the world was only Starbucks, Barnes and Noble and Wal-Mart. Or worse, only Wal-Mart. That's why I don't think it's fair.

Only Wal-mart? *shudder*