As of January 27, 2013 using your credit card will become even more expensive. You already pay interest on your purchases, as well as late fees, ATM fees, balance transfer fees and annual fees. Now, due to a large settlement between retailers and credit card companies, you may have to pay a checkout fee as well.
What is a Checkout Fee?
A checkout fee is a new type of fee that retailers will have the right to charge, starting at the end of January 2013. It is similar to the fee ATMs charge when you want cash from a non-network ATM You may have noticed such a charge on your debit card before. It may be $1.50, $2 or $3 and it shows on your receipt. It is also deducted from your checking account.
A similar type fee may also apply whenever you want to use your credit card, regardless if the purchase is at the store or online.
How will you know if the Fee Applies?
While merchants are allowed to charge this new fee, they are not required to do so. It is up to each individual retailer to decide if they wish to charge this fee. However, it is expected that many of the large retailers will opt in to this additional fee as a way to increase their total revenue.
Retailers involved in the suit, such as Kroger, Safeway, Rite Aid and QVC will be more likely to charge this fee than retailers not involved in the litigation. For them, it makes perfect sense Pass the cost of accepting credit cards onto the people who use them.
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