Is it legal for liquor stores to charge different prices for cash versus credit card purchases?

Being a business owner, I can tell you that most people do not understand a surcharge or minimum charge for using a credit/debit card. Let me try and explain a few things. It is perfectly legal to charge a minimum amount for credit/debit purchases. All the companies I have had merchant accounts with have all told me (speaking currently, not historically) it is ok to charge a minimum and there is nothing wrong with it. Charging a different PRICE for products? Thats something I have never encountered and am not sure what the legalities of that would be. In the past, a merchant could charge a different price for something cash and something credit. Later you had to charge the same amount for cash or credit.

Now, to explain why we do this. We are charged a fee per transaction, a percentage per transaction, a fee for each batch completed, and a monthly service fee. All of this is for YOUR convenience in using your credit/debit card. You see the Visa comercials on TV talking about life being easier when using a card in comparison to cash or check. They tell you this because they want you to use it, that's how they make thier money. Customers have requested businesses to use credit/debit cards to the point that almost all businesses accept them now.

A breakdown of what a business has to pay. You go into a store and buy something that totals $100, this would be what the retailer charges to your card. The average amount the retailer would pay for your transaction would be $2.50. That doesnt sound like alot. However, if that retailer did $10,000.00 in sales that day with credit cards they would have lost $250.00. Again, that doesnt sound like a lot when you think of the sales. However, again, you have to take into consideration what the retailers profit margin for that item is after purchase price of the item, their overhead, state/local/federal taxes, etc.... In a years time, the retailer has paid $91,250.00 for your convenience in using a credit/debit card.

So, when you see a retailer that has a minimum order requirement, think about his cost in that process and if he might be losing anything. Most retailers will do a $10 - $20 minimum, which is relatively low.

If you make a purchase and then decide to do a chargeback, please dont do that. If you don't agree with the minumum, just don't make the purchase. Every charge back just causes the cost for the retailer to increase. A chargeback was meant to be used when your card had a fraudulent charge on it. Not because you didn't agree with a retailer or was mad at them.

Also, checks are becoming the same way for retailers. Historically these have always costs the US retailer enormous revenues due to NSF and other charges. Many retailers now use services that help protect them from this, and they also charge percentages and fees for their use. This has made it cheaper for retailers to handle checks, but there is still a cost involved.

All retailers would rather deal in cash only, but the consumer wants more, so the retailer adapts to the changing market.

Yes, at one time it was retailers that were using credit cards to get your business from places that werent accepting them, but that time has almost vanished. And visa, mastercard, amex, discover (the main cards) are all making huge amounts of money on the fees they charge retailers AND the interest they charge you for that sale.