Anybody run into problems with this yet? Can anyone help me find any info on the mastercard debit card current policies as well? http://www.usa.visa.com/personal/ca...ml?it=il_/personal/cards/where_to_useA.html#a "Q: I tried to use my Visa check card or credit card and the merchant refused to accept it even though they had the Visa logo displayed. Why? A: Merchants who display only the familiar blue, white and gold Visa logo: will continue to accept all Visa cards. However, some stores may choose not to accept either the Visa check card or Visa credit cards. If a store has chosen to accept only certain types of Visa cards, then signage should be displayed that clearly states which types of Visa cards are accepted."
Here, I think, is where the situation comes into play. I am a store owner and wish to allow as many customers as I can purchase my products. Visa charges me approximatly 3% of the total purchase price for the privelage of using their service. However, a local bank doesn't charge me anything if one of their customers uses their ATM card at my store. I then require that all Visa / Debit cards be used as ATM cards not as Visa cards preventing me from having to give up the 3% of the purchase that would be profit to Visa. When I go to Wal-Mart I no longer am given the option to use my Visa Check Card as a Visa, only as an ATM card. Since I am the rightful owner of this, and it requires me to enter my secret PIN code to make purchases at Wal-Mart this doesn't bother me, in fact it makes me feel my Visa Check Card is more secure in limiting fraudulent charges. I have not experienced any store that is set up to accept ATM cards refusing my Visa Check Card, and of the places I do business with that don't accept ATM cards I haven't had any issues with using my Check Card as a plain Visa.
If they have the new propper signage, then I can almost see the merchant's point of view (as long as they are set up to take PIN transactions) if I am using my check card. However I myself would probably choose to exercise my freedom of choice and not shop there again especially if I had Visa Prepaid card (which according to the website qualifies as a debit card even though it is not set up to authorize PIN based transactions). However on the flip side, if they had the proper new signage, I am at least warned and it's not sprung upon me. If they didn't have the proper signage and it was just sprug on me at the register then I would be less understanding. I work for a merchant and under the new rules at this time we would still have to take them as Visas if the customer chose because we don't have the new signage just the old ones. I can think of a couple of other situations that might not make some customers too happy. I have two accounts and on one of my accounts I have a debit mastercard that earns me mileage-but only if it's processed through the mastercard network. And at merchants that choose to charge a fee for PIN-based transactions (or if a person's bank charges for this) if a customer is FORCED (as opposed to choosing to) to use a PIN when they are set up to take Visa and Mastercard I can see this upsetting people. If the correct signage is in place that is one thing..........but if consumers are not allowed to request their cards be processed through one network or the other when a merchant is able to take either (not all are) then they can choose to shop there if it doesn't bother or affect them or not choose to shop there if it does...............it's all a matter of choice.
Cathy: This is because of a class-action lawsuit fronted by WalMart and many other heavy-hitters, because V/MC had additional fees which they would charge for debit card transactions processed as a V/MC, and many other violations of law. I am sure if you search for "Visa MasterCard MasterMoney Class Action Law Suit" on any of the major search engines you will find out more information than you wanted to know about the basis of the changes. This is the Google Link http://www.google.com/search?hl=en&...oney+Class+Action+Law+Suit&btnG=Google+Search
I can almost understand Walmart's side but still.....what about the prepaid visa gift cards which do not have PIN-based purchase capability? Those are also classified as debit by Visa........those would not be able to be used at places that have changed their policies.
The problem isn't the merchant... The problem was that V/MC chose to trick the merchants into paying higher rates than they had agreed to when they accepted debit cards. If you realized how little of your purchase you made on a V/MC actually trickled down to your merchant, most people would be shocked. Depending on the merchants merchant agreement, possibly a flat-fee of up to $0.50 or more; and up to 5% or more goes to V/MC. And this isn't counting any other fees, or surcharges, this is only the per transaction fee. Yes, your merchant has to PAY for your right to use plastic. When a merchant agrees to accept ANY type of plastic, they do so as a service to you, which they are paying for. Their merchant agreements also bar any type of 'cost reduction' ("V/MC only accepted for purchases over $10.") or passing the fee on to you, did you ever wonder why the 'discount for paying cash' at gas stations disappeared in a hurry? Yes, some merchants may do this, and if they refuse your card, or try to charge a surcharge for using V/MC, they can be reported to V/MC for breaking their merchant agreement. Your ability to use any type of plastic is a privelege, not a right.
Believe it or not, I can understand the merchant's side because I work for one, even though they can write off the fees for taxes as a cost of doing business, that doesn't help them in the short term. Yes using plastic is a privilege for me. And a given customer's patronage is a privilege for the business. I'm not saying businesses shouldn't have more leaway on some things if propper notififcation is given, but from a customer service point of view, that leaway may turn off some customers that are used to being able to use those cards if they are suddenly unable to, especially if they are not also set up to take PIN-based transactions. It's just something a business should look at from both sides before making the decision that they feel is best for their business.
A business gets my BUSINESS by taking VISA/MC/AMEX/DISCOVER...or they don't get my business!!! I don't use DEBIT or CASH or CHECKS
Exactly George. If a merchant finds themsevles unable to take a method I can pay with, then they won't be able to get MY business and any profit associated with it. We all have freedom of choice of where we shop. Far as Visa and MC go, there are some people who for whatever reason, do not have credit cards but they do have the Visa/MC check cards so any business that decides in the end to get the new decals and not take the Visa/MC debit but will take credit cards, will loose out on some business. I work in a tourist town for a business that has regular customers as well as passing or tourist customers, and if we did that there is a good chance we would loose some of our regulars as well as any occasional customers passing through my area. Even prepaid visas are classified as debit even though they do not have PIN-based purchase ability. Even though Visa and Mastercard have seen fit to allow the merchants to make this decision for themselves for the time being, they may loose more money in customer volume in the end then in transaction fees , which they can write off at the end of their business year as a cost of doing business. Loss of business on the other hand they can't. They should keep this in mind as they are making that decision.
why wouldn't someone just use their credit cards? And get bonus rewards? Makes more sense. If they don't take credit cards, then they lose alot of business, because fact is that alot of people require them to live off of. Even if they have a visa check card. I'd rather collect my MR points.
Some people don't have credit cards Sam. Or some people feel it would be best for their financial situation not to further use their credit cards so they use their check cards. Also, they are coming out with Visa and Mastercard reward debit cards, but you only get the rewards associated with them (ie points or cashback) if you use the card through Visa/MC.
They're only giving the rewards through Visa/MasterCard purchases to force the use of them that way and get fees. As far as using a debit card instead of a credit card because you want to pay cash, make your purchases with the credit card, and every day or so transfer the money to your credit card out of your checking account. It accomplishes the same thing. I made my husband quit using a debit card and use a credit card after the bank screwed up twice and charged him an overdraft fee, which then may have REALLY overdrawn the account. Now he uses the credit card, pays online from the account, can verify that deposits are properly posted before making the transfer. A lot easier to keep track of the checking account as well. His statement is one or two pages instead of six or seven.
That's a great idea for those that have credit cards. There are some people however that do not have that option because they don't have credit cards for whatever reason.
