AMEX not accepted or surcharge

[NM]

Whilst I'd like that too, I can see that those other people aren't going to be happy subsidising my accumulation of points. My points need to paid for by someone, and I'm pretty sure that those other people aren't going to be happy that it should be them, rather than me.

Those "other people" are most welcome to apply for their own Amex card and earn their own point from paying their Telstra bills. Its their decision on what payment method they use.

I suspect the reduction on the Amex surcharge at Telstra was a result of Amex negotiations with Telstra and the noted sudden decrease in payments with Amex cards. I would not assume its Telstra doing all the absorbing, and expect they have been given a more attractive merchant agreement with Amex as a result of Amex noting the reduced business via Telstra.

 

[Sheriff]

I doubt that it is illegal. American Express even provide guidelines on how a service station can do it.

According to her..., due to the shear volume of credit card transactions processed at service stations, the merchant fees Amex charge petrol stations for accepting the card are extremely competitive and on par with those of MasterCard and Visa. Therefore, she can’t see any valid reason why some petrol stations choose to charge Amex Card members, but not MasterCard or Visa , a surcharge, if the merchant fees incurred for all three cards are the same.


Sheriff

 

[aasz1978]

Good to see it reduced but a company the size of Telstra should be able to absorb credit card fees. I suppose the same goes for Amex as the fees they charge merchants is too high.

Absorbing CC surchages is just code-word for slugging everyone else. I.e. everyone else that pays via a cheaper method are subsidising the more expensive credit card users.

Whilst I'd like that too, I can see that those other people aren't going to be happy subsidising my accumulation of points. My points need to paid for by someone, and I'm pretty sure that those other people aren't going to be happy that it should be them, rather than me.

All right. Let's get this straight.

With Credit Card, we pay Annual Fees (from $0 to $250). Some of us even pay for the Membership Rewards. We also then have to pay for Surcharges and all of this for points that we probably have to spend $120 to get 1 point, which probably already been subsidized by AMEX itself (It's a bad assumption that points HAS GOT to be subsidized by other purchasers, what about AMEX as a company itself) and by the way, don't forget the interest payments too.

So I really can't see where the "Oh-Other-Payer-Pays-For-Your-Credit-Card-Purchases" thing.

The funny thing about this, is that the non-credit card payers are the whingers whereas the real victim (aka Credit Card payers) doesn't even squiek.

 

[NM]

According to her..., due to the shear volume of credit card transactions processed at service stations, the merchant fees Amex charge petrol stations for accepting the card are extremely competitive and on par with those of MasterCard and Visa. Therefore, she can’t see any valid reason why some petrol stations choose to charge Amex Card members, but not MasterCard or Visa , a surcharge, if the merchant fees incurred for all three cards are the same.

That may be the case with those service stations that are owned by the major oil companies. However, there are still some that are privately owned and will have their own merchant agreement with each of the CC providers. I somehow doubt the private/independent service station operators will be in a position to negotiate the same competitive fees as the major oil companies can for their outlets.

 

[NM]

Media report: Credit card fees on the rise

Credit card fees on the rise

AUSTRALIANS may soon be paying more for electronic transactions with the number of businesses planning to introduce credit card surcharges on the rise, a survey has found.

Research firm East and Partners' six monthly report into credit cards revealed the number of companies planning to apply a surcharge within the next six months has increased dramatically.

The report – which interviewed more than 2200 businesses – found 16.6 per cent of middle market companies – with turnover of $20 million to $340 million – planned to add a surcharge, compared with 12.2 per cent six months ago.

 

[Sheriff]

That may be the case with those service stations that are owned by the major oil companies

.

Even service stations owned by major oil companies like Caltex are charging Amex card members a 2.1% surcharge. Caltex/Woolworths Riverdale recently charged JohnK a 2.1% surcharged.

I bought some petrol in Perth this morning from Caltex/Woolworths, before taking the rental car back to the airport, and was charged a surcharge of 2.10% for using AMEX.

Sheriff

 

[NM]

Even service stations owned by major oil companies like Caltex are charging Amex card members a 2.1% surcharge. Caltex/Woolworths Riverdale recently charged JohnK a 2.1% surcharged.

Are you certain that particular outlet is owned by Caltex? Many outlets that show signage of the major oil companies are franchises and still privately or independently owned and hence at liberty to set their own credit card surcharge policy.

My experience with purchasing fuel from my local Caltex/Woolworths branded outlet indicates JohnK's experience is not a nationally consistent policy undertaken by Caltex.

 

[oz_mark]

All right. Let's get this straight.

With Credit Card, we pay Annual Fees (from $0 to $250). Some of us even pay for the Membership Rewards. We also then have to pay for Surcharges and all of this for points that we probably have to spend $120 to get 1 point, which probably already been subsidized by AMEX itself (It's a bad assumption that points HAS GOT to be subsidized by other purchasers, what about AMEX as a company itself) and by the way, don't forget the interest payments too.

You need to decide whether the costs associated with using your Amex card are worth it in terms of the points you receive.

My main objection to the whol;e thing is the assumption that cash transactions are free. They are not.

 

[Nobby]

I got Flight Centre to waive the credit card surcharge for me today

They gave me a quote for an Emirates flight I'm taking next month, and I supplied them with a quote from a competitor for the same price, but that competitor doesn't have a credit card surcharge. With their "price beat guarantee", they beat the price by $5 and let me pay by Amex with no surcharge.

So at least we can get around surcharges at one merchant

 

[JohnK]

Even service stations owned by major oil companies like Caltex are charging Amex card members a 2.1% surcharge. Caltex/Woolworths Riverdale recently charged JohnK a 2.1% surcharged.

Are you certain that particular outlet is owned by Caltex? Many outlets that show signage of the major oil companies are franchises and still privately or independently owned and hence at liberty to set their own credit card surcharge policy.

My experience with purchasing fuel from my local Caltex/Woolworths branded outlet indicates JohnK's experience is not a nationally consistent policy undertaken by Caltex.

It was Caltex/Woolworths Rivervale in Perth not Riverdale. Just thought I would mention this worthless piece of information.

Interesting twist to this saga. I bought petrol at Caltex/Woolworths in Roselands, Sydney yesterday and paid by Amex. I looked at the receipt and no surcharge. Hmmm. I tell the attendant that I bought petrol in Perth last week and was charged 2.1% surcharge. Immediately he said that this must be an original Caltex site co-operating with, but not owned and operated by, Woolworths. Any Caltex site owned and operated by Woolworths does not charge a surcharge for purchases.

So it seems that there are 2 types of Caltex/Woolworths operations. So I asked the attendant where I can find the nearest original Caltex site and he pointed up the road to Punchbowl. I have a full tank of petrol right now but next fill will be at Caltex in Punchbowl and I will watch closely for any surcharges.

One other thing I forgot to mention is that I did not see anything in Caltex/Woolworths Rivervale that mentioned anything about surcharges nor did the attendant say to me there is a surcharge involved when I handed him the Amex card. Aren't they supposed to mention this little fact? Businesses that charge a surcharge have always warned me allowing me to decide before continuing with payment.

 

[NM]

One other thing I forgot to mention is that I did not see anything in Caltex/Woolworths Rivervale that mentioned anything about surcharges nor did the attendant say to me there is a surcharge involved when I handed him the Amex card. Aren't they supposed to mention this little fact? Businesses that charge a surcharge have always warned me allowing me to decide before continuing with payment.

If they plan to charge you a surcharge, it should be clearly posted at the pump so you can make an informed decision as to whether or not you want to do business with them before you start receiving their product. I would expect failure to clearly identify this intent to change a surcharge would be in breach of either the Amex merchant agreement or the reserve bank ruling permitting the addition of surcharges. Note the effort to which Telstra goes to ensure you know about the fee they are about to charge you when using a credit card for payment.

 

[JohnK]

If they plan to charge you a surcharge, it should be clearly posted at the pump so you can make an informed decision as to whether or not you want to do business with them before you start receiving their product. I would expect failure to clearly identify this intent to change a surcharge would be in breach of either the Amex merchant agreement or the reserve bank ruling permitting the addition of surcharges. Note the effort to which Telstra goes to ensure you know about the fee they are about to charge you when using a credit card for payment.

I thought that they had to clearly display it! I don't remember seeing anything displayed.

I will make sure I check, and report back, when I use the original Caltex site in Punchbowl next fuel stop.

 

[oz_mark]

Even service stations owned by major oil companies like Caltex are charging Amex card members a 2.1% surcharge. Caltex/Woolworths Riverdale recently charged JohnK a 2.1% surcharged.

Are you certain that particular outlet is owned by Caltex? Many outlets that show signage of the major oil companies are franchises and still privately or independently owned and hence at liberty to set their own credit card surcharge policy.

My experience with purchasing fuel from my local Caltex/Woolworths branded outlet indicates JohnK's experience is not a nationally consistent policy undertaken by Caltex.

I'm pretty sure I know which service station this is, and before it was a Caltex Woolworths it was a Caltex and before that it was an Ampol. At that point in time, it was independantly owned and I know it changed names around the time it changed hands, but I suspect that it is still independanty owned.

 

[wleong]

Caltex/Woolworths Kogarah and Ashfield charges a merchant fee for payments by credit cards.

On one hand you get a discount with the 4 cent shopper docket and on the other hand they take it back with their merchant fees. :twisted:

 

[oz_mark]

Looking at the Caltex website, and in particular, the retail network http://www.caltex.com.au/franchising/network/retail.html, franchise sites are much more common than company owned sites. The company sites seem to total to 68 out of the 580 sites total. So chances are, any Caltex site you go to is actually a franchise.

 

[one9]

Caltex/Woolworths Kogarah and Ashfield charges a merchant fee for payments by credit cards.

On one hand you get a discount with the 4 cent shopper docket and on the other hand they take it back with their merchant fees. :twisted:

why dont u just use a different card. i really cant understand why somone would pay 2% or higher as a surcharge. QFF points are definately not worht 2 cents each, nor is any other credit card reward I have seen.

 

[StevePER]

It was Caltex/Woolworths Rivervale in Perth not Riverdale. Just thought I would mention this worthless piece of information.

Interesting twist to this saga. I bought petrol at Caltex/Woolworths in Roselands, Sydney yesterday and paid by Amex. I looked at the receipt and no surcharge. Hmmm. I tell the attendant that I bought petrol in Perth last week and was charged 2.1% surcharge. Immediately he said that this must be an original Caltex site co-operating with, but not owned and operated by, Woolworths. Any Caltex site owned and operated by Woolworths does not charge a surcharge for purchases.

So it seems that there are 2 types of Caltex/Woolworths operations. So I asked the attendant where I can find the nearest original Caltex site and he pointed up the road to Punchbowl. I have a full tank of petrol right now but next fill will be at Caltex in Punchbowl and I will watch closely for any surcharges.

One other thing I forgot to mention is that I did not see anything in Caltex/Woolworths Rivervale that mentioned anything about surcharges nor did the attendant say to me there is a surcharge involved when I handed him the Amex card. Aren't they supposed to mention this little fact? Businesses that charge a surcharge have always warned me allowing me to decide before continuing with payment.

I am familiar with Caltex/Woolworths Rivervale - I used to buy petrol there before they introduced the surcharge. When I asked about the surcharge the operator said it was Caltex that was responsible. There are also instances of both Caltex and Caltex/Woolworths around Perth that both impose and do not impose the surcharge. The ones that do charge the surcharge have "plus credit card fees" at the bottom of their price signs out the front. From memory I think Caltex/Woolworths Rivervale also had stickers on the pump and on the counter advising of the surcharge, but it's now a while since I've been there.

If people just stopped shopping at establishments with a surcharge (at least in this case where there are plenty of alternatives) then perhaps the business would get the message. I've started paying my Telstra bill at the Coles Service ATMs now out of spite - hopefully Coles is charging Telstra a healthy percentage for this service.

Steve

 

[JohnK]

why dont u just use a different card. i really cant understand why somone would pay 2% or higher as a surcharge. QFF points are definately not worht 2 cents each, nor is any other credit card reward I have seen.

The whole point of this discussion was how I go charged 2.10% surcharge without prior warning! I wouldn't pay Caltex/Woolworths the surcharge when I can get petrol at Coles Express without surcharge. The whole point is try to avoid these merchants that charge surcharges.

Don't know about others but I only want to use Amex for purchases and pay no annual fee for card but pay for Ascent membership rewards. Most of my expenses can go on this card, about 80%-90%, and what can't then cash can cover. I am lucky if I spend $20,000 on purchases/services a year. There is no point in having another credit card for use on these small amounts. The points earned would not cover the annual fee and membership rewards fee of extra credit card(s).

 

[JohnK]

I am familiar with Caltex/Woolworths Rivervale - I used to buy petrol there before they introduced the surcharge. When I asked about the surcharge the operator said it was Caltex that was responsible. There are also instances of both Caltex and Caltex/Woolworths around Perth that both impose and do not impose the surcharge. The ones that do charge the surcharge have "plus credit card fees" at the bottom of their price signs out the front. From memory I think Caltex/Woolworths Rivervale also had stickers on the pump and on the counter advising of the surcharge, but it's now a while since I've been there.

If people just stopped shopping at establishments with a surcharge (at least in this case where there are plenty of alternatives) then perhaps the business would get the message. I've started paying my Telstra bill at the Coles Service ATMs now out of spite - hopefully Coles is charging Telstra a healthy percentage for this service.

Steve

I do not remember seeing any signs about fees but I can imagine that if there are any they would be in fine print. But it was 5:00am so I may have missed seeing any. I was trying to get rental car back to airport and board 6:20am flight.

Now that the attendant at Caltex/Woolowrths explained it to me I will be very careful in future.

No to surcharges and boycott anyone that does charge a surcharge. Their bottom line is healthy enough without the 2.10%.

 

[oz_mark]

I am familiar with Caltex/Woolworths Rivervale - I used to buy petrol there before they introduced the surcharge. When I asked about the surcharge the operator said it was Caltex that was responsible. There are also instances of both Caltex and Caltex/Woolworths around Perth that both impose and do not impose the surcharge. The ones that do charge the surcharge have "plus credit card fees" at the bottom of their price signs out the front. From memory I think Caltex/Woolworths Rivervale also had stickers on the pump and on the counter advising of the surcharge, but it's now a while since I've been there.

Fortunately, it is not a disease that has afflicted my local Caltex stations, but sounds like I will have to keep an eye open for it.

Anyway, from the archives!!, we find that in 2003 Caltex said that it would allow franchisees to charge surcharges, but company owned stations would not apply a surcharge

http://www.smh.com.au/articles/2003/02/09/1044725674717.html