Starting February 11, New York State businesses have new guidance to follow when charging an additional fee to customers paying with a credit card.
This new guidance comes after Governor Kathy Hochul signed into law a bill which imposes disclosure requirements with respect to credit card surcharges for transactions with New York customers.
Vendors will be required to post the highest price that consumers might pay when using a credit card, along with the price that is offered when the customer uses another payment method such as cash, check, or debit card.
Any surcharge must be no more than the amount charged to the business by its credit card provider.
Failure to do so can lead to a $500 penalty after every violation.
The law does not apply to debit cards.
The Division of Consumer Protection said that after February 11, 2024, the law will permit local governments to join in the enforcement of this law, providing consumers with additional resources for compliance and providing local governments with broader opportunities to promote consumer protections for their citizens.
If there are any issues related to credit card pricing at the register, DCP encourages consumers to:
– File a complaint with DCP to receive a refund of any excess fees paid to a merchant in New York State by visiting https://dos.ny.gov/consumer-protection, or
– File a complaint with the Attorney General or participating local governments for enforcement of a merchant you believe violated the law by visiting https://ag.ny.gov/file-complaint/consumer
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