Tuesday, February 24, 2015

is it legal for a company to charge a credit card convenience fee?

Question

is it legal for a company to charge a credit card convenience fee?



Answer

In California, it is illegal for a retailer to impose a credit card surcharge on any "any sales, service, or lease transaction" with a consumer. Retailers are, however, allowed to offer cash discounts is the discounts are available to all customers. Any consumer charged with an illegal "convenience fee" can sue the retailer under California Civil Code Section 1748.1.



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