Charges for Credit Card use

  • Thread starter Deleted member 26715
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Deleted member 26715

Guest
I thought is was now illegal to charge for the use of credit cards, my wife's aunt died last month & relatives opened an account at https://www.memorygiving.com/ I was making a donation when I noticed this in their terms.

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Surely they can no longer do that?
 

Cycleops

Legendary Member
Location
Accra, Ghana
But they are not charging for the use of a CC but for administering the donation service?
Like every other organisation they are trying to get as much out of you as they can.
 
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Deleted member 26715

Guest
But they are not charging for the use of a CC but for administering the donation service?
Like every other organisation they are trying to get as much out of you as they can.

That's not how I read it, I read they are taking 5% administration & then another fee up to 2.5% transaction fee?
 
That looks like a 3rd party service to collect donations then pass to the chosen charity whilst charging a fee. Nothing illegal about that but I would prefer to donate directly to the the deceased chosen beneficiary.
 

Lozz360

Veteran
Location
Oxfordshire
The way I understand it is any credit or debit card transaction costs money. In the past, the retailer sometimes passed that charge on to the consumer and that is what is now illegal. So if you or I now purchase something for an advertised value, we don’t pay any extra if we choose to pay by credit card. Those charges are now absorbed by the retailer. It’s a bit different for a charity donation as there is no consumer or retailer. A donor pledges an amount of money and the company can only charge for their costs out of each donation which they have to be clear about the percentage in the T&C’s.
 

Alex321

Veteran
Location
South Wales
Have you paid your vehicle excise duty by card, recently?

I have. There was no fee.
 

fossyant

Ride It Like You Stole It!
Location
South Manchester
Also, be aware if you are organising something like a works leaving collection by Ving or some such, there is a fairly hefty charge - I won't be organising it again as I ended up stumping up my donation plus the admin fee !
 

spen666

Legendary Member
You are expecting these businesses to operate for no income?

They are providing a service and are entitled to be paid. They will be charged a fee by the card companies etc
 

Alex321

Veteran
Location
South Wales
You are expecting these businesses to operate for no income?

They are providing a service and are entitled to be paid. They will be charged a fee by the card companies etc

Yes, but it became illegal some years ago for businesses to charge consumers different amounts for different payment types.

They do get charged varying merchant fees for different card types, but they have to absorb that into their overall margins.

These businesses have a perfect right to charge a fee for handling your transaction, but it should not vary according to card type.
 

Milkfloat

An Peanut
Location
Midlands
Yes, but it became illegal some years ago for businesses to charge consumers different amounts for different payment types.

They do get charged varying merchant fees for different card types, but they have to absorb that into their overall margins.

These businesses have a perfect right to charge a fee for handling your transaction, but it should not vary according to card type.

They are not charging the consumer a fee for any card - they are charging the beneficiary. This is just the same as the shop paying a fee to process each transaction. The law is not being broken here.
 
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