Cash or credit, many gas stations may be asking
Posted by: Curtis Stevens on January 15th, 2010

pump-300x240The NJ ledger reported the other day that a few local gas stations are starting to offer two tierd pricing for gas at the pumps.  Almost like how the credit card processing industry does its pricing.  One price for cash paying customers and another for credit card payments.  The gasoline industry has seen a steady incline in credit card payments usage.  Especially back when gas was topping $4 a gallon and this places a tight squeeze on the station’s profit margin.   The report stated that the pricing system is completely legal, but not an option for most gas station owners because they are not able to purchase the necessary equipment required to track everything.  The systems can cost up to $15K.  On a side note, it may be legal in terms of the law, but they may be in violation of V/MC rules.  Their rules state that a merchant can not surcharge a customer who is paying by credit cards.  The way the market has been getting around that for years is to have a cash discount from the regular advertised price.  But doing this is a very fine, tricky line that I recommend taking extreme caution with.

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