Are rewards credit cards worth it with surcharges, transaction fees? We explain.

Betty Lin-Fisher, USA TODAY

Thu, May 15, 2025, 2:07 PM 7 min read

Heather Bernhardt is simply a tiny concern owner. But she has a rant arsenic a concern proprietor and a customer.

She can't basal the increasing signifier of businesses charging consumers a surcharge to usage their recognition card.

"Let maine archer you, if you ain a tiny store, you ain a store, whatever, restaurant, and you complaint maine a surcharge for utilizing a recognition card, I'm not coming back," Bernhardt said successful a Tiktok post. "Eat it. It's bully lawsuit service."

Bernhardt's ire astir recognition paper surcharges is not unique.

In 2 abstracted nationalist surveys of consumers, shoppers person said they are sick of being nickel-and-dimed to wage a surcharge that utilized to beryllium a outgo of doing business.

The signifier of charging consumers a surcharge connected transactions is allowed based connected a 2012 colony betwixt recognition paper networks and a radical of U.S. merchants, according to an article by Wallethub. The surcharges, tin scope from 1.5% to 3%.

The signifier of passing on recognition paper transaction fees to consumers by adding a surcharge to their measure began showing up during the COVID-19 pandemic, erstwhile much consumers were moving to e-commerce and in-person businesses and restaurants were dealing with higher costs, said John Kiernan, WalletHub editor.

However, the 2012 colony lone covered recognition paper transactions and not debit cards oregon pre-paid acquisition cards. Visa and Mastercard rules prohibit transaction fees for debit paper transactions, but enforcement is beauteous lax since that is not wide known, particularly among smaller businesses and consumers, Kiernan told USA TODAY. For recognition paper transaction fees, the user is expected to beryllium notified successful immoderate mode earlier the transaction takes place. If not, the user tin record a quality with the recognition paper issuer, Kiernan said.

Additionally, immoderate states, specified arsenic Connecticut, Maine and Massachusetts, person authorities laws that prohibit recognition paper surcharges for consumers, Kiernan said.

The recognition paper surcharge interest usage is wide successful signifier and besides causes wide annoyance.

In a recent survey by WalletHub, 87% of radical said "they are being nickel-and-dimed erstwhile they are asked to wage an other interest for recognition paper outgo processing." More than 4 successful 5 Americans said they were charged a interest for paying with a recognition paper and 2 successful 3 consumers said they would not usage their recognition paper if they were charged a fee.

More than 3 successful 5 radical besides said they thought it was unfair for merchants to walk their outgo processing fees connected to their customers.