Oh, The Unintended Consequences

From @AmerBanker: 

A provision within the hotly contested settlement between merchants and credit card networks could potentially slow PayPal’s bid to become more widely accepted at grocery stores, restaurants and other retailers.

That’s because under terms of the proposed settlement, retailers may assess a surcharge on consumers who pay with plastic to help offset the cost of processing noncash transactions.

Retailers that choose to do so must assess the surcharge on all types of electronic payments — including PayPal, which currently prohibits merchants from surcharging its clients. And unless terms of the settlement are changed — or PayPal adjusts its no-surcharge policy — retailers would have little choice but to shut PayPal out, attorneys for retailers say.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s