New credit card surcharges in effect - News, Weather, Sports, Toledo, OH

New credit card surcharges in effect

Danial Ballut, owner of "Hot Kixx," a retailer store at 4550 Monroe Street in Toledo Danial Ballut, owner of "Hot Kixx," a retailer store at 4550 Monroe Street in Toledo

TOLEDO, OH (WTOL) - Shoppers may see an extra fee on their receipts at some area retailers. Effective Sunday, swiping your credit card at stores could come with a new charge.

It's all a part of a settlement between Visa, MasterCard, and nine banks. Merchants can now pass on the fees credit card companies charge them and instead charge customers who use credit cards up to three percent more on their purchase.

Big chain stores, such as WalMart,Target, and Sears have already announced they are not going to charge their customers a surcharge.

In a statement, a WalMart spokesperson said, ""We are not interested in surcharging customers in order to allow credit card companies to continue charging unfair fees. The proposed modification to the no-surcharging rule for Visa and MasterCard provides no benefit to customers or merchants such as WalMart."

Analysts expect small retailers, such as mom and pop shops, to take advantage of the added surcharge.

However, Danial Ballut, the owner of "Hot Kixx" on Monroe Street in Toledo, says he believes it is unreasonable to pass credit card fees along to his customers.

"It's already tough on our customers, and the economy is pretty bad, so we want to be fair," said Ballut. "Our company charges us about three percent, but to pass it onto our customers...I don't think that would be fair for them."

If a business does decide to charge customers an added surcharge, Visa and MasterCard require the retailer to post a notice at the store's entrance and print the exact percentage of the surcharge on the receipt.

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