cash/credit pricing for gas

J

jeepbeast

New member
I don't know if anyone else has noticed this, but yesterday i pulled into my local gas station and started to pump my gas. I pulled out my credit card and then glanced at the price on the pump and then the price on the sign. This station has now started to charge more for using credit. Not only did this piss me off with gas companies/stations making more profits, but i'm wondering if it is legal?
 
I don't think it is. It goes against their agreement with Visa/Mastercard.

But it's hard to blame them as the banks are making more money on the gas then they are.
 
Local gas stations used to do that all the time, I haven't seen it for a while though.
 
The one I frequent here in Ann Arbor does it. Doesn't bother me any, get a decent price on fuel (paid $3.63/gallon for premium last night).
 
The Speedway on Dixie across from Southern Motors in Clarkston does it. They would charge $.05 more a gallon. My manager would give me $50, have me fill up, then charge me $50 on my CC to my work.
 
They get around this by:

Not charging more for credit Cards, but giving cash paying customers a discount. The amount advertised on the sign is the cash paying customer price.

They have been doing this ever since I've been driving, mostly out of state.


I haven't used any of my credit cards in almost 2 years. AND I don't use a debit card.
If I don't have cash in hand, I don't need it.
 
Well, as i was on my way down to florida a week ago i noticed this a lot. But, i only noticed it on deisel fuel. It usually averaged about .03 cents more to the gallon or so. Cash was about $3.96 a gallon, and with credit it was usually $4. I guess the credit card companies charge the gas stations or something when you use credit so the gas companies are trying to make back the money they get charged by adding more to the price of fuel when you use credit. I guess its kinda like when people add the 'paypal' charge to you when you pay thru paypal. ALthough, i could be wrong, thats just the info i herd from a trucker in kentucky.....hahahaha


.Chris.
 
I don't know about Michigan, but in other states you can charge more for credit gas purchases.

I have a Meijer CC for gas which saves me $.05 on every gallon. I just signed up for a National City Visa that pays me 5% for my gas purchases. Just in case Meijer isn't the cheapest :D
 
I imagine an added (paying cash) benefit for the station owner is added store foot traffic. I think the stations make more profit on pop, gum, cigarettes and lotto than on gas.
 
I know at my shop the CC companies charge around 3% per transaction American Express is closer to 10% i dont blame them for increasing the price because it sure takes out of the profit
 
sardeanie said:
I imagine an added (paying cash) benefit for the station owner is added store foot traffic. I think the stations make more profit on pop, gum, cigarettes and lotto than on gas.
Click to expand...
Bingo, that and the fees CC companies charge

fastredgmc said:
I know at my shop the CC companies charge around 3% per transaction American Express is closer to 10% i dont blame them for increasing the price because it sure takes out of the profit
Click to expand...

I never knew it was up to 10% - damn.
 
If anyone here believes that you are getting a discount because you paid with cash, I have some swamp land for you. I refuse to buy gas at a station that charges a premuin for a cc transaction (usually BP/Amaco).
 
Its illegal in Michigan to charge more for anything when using a credit card but giving a cash discount is legal
 
I use a Sunoco card and they charge me the same and I get a percentage back (like 4% I think). Shit adds up fast! You can get them for most major gas companies too, but I found Sunoco has the biggest discount. BP has 5% but it is only for a few months.

-Geoff
 
Joe said:
I never knew it was up to 10% - damn.
Click to expand...
That's BS. It's something like 2.8% instead of 1.7%.

That being said, I use my AMEX everywhere and get points for doing so. At Meijer I don't even have to swipe my card. Just hold it in front of the pump for two seconds and start pumping.
 
Swifster, it's not a discount, but they call it a discount. It's semantics so they don't get in trouble with the merchant provider.
 
You must log in or register to reply here.
Back
Top