End of Card Payment Surcharges
UK Businesses have less than 2 weeks to comply with new EU Law in regard to charging a fee for ANY credit or debit card payments. From 13th January 2018 it will be against the law for any business to charge for a credit or debit card payment either online or in-store.
The new rules, will mean ALL surcharges are banned. So there will be no charges for paying by debit or credit card, including American Express and linked ways of paying such as PayPal or Apple Pay.
The rules will apply to any UK company selling products or services to UK consumers but as this law is following an EU directive, companies across the EU will also be banned from charging these extra fees.
The scrapping of card surcharges is good news, as cardholders are often charged fees of around 2%, but they can also be charged a flat fee regardless of how much they are spending. Here are a few examples of some surcharges found:
- Driver and Vehicle Licensing Agency (DVLA) – £2.50 credit card fee on all transactions
- Flights – Flybe charges 3% on credit card and PayPal transactions
- Packaged holidays – Thomas Cook has a 2% credit card fee
- Paid-for TV – Sky charges a 30p/mth fee on recurring credit card payments
- Car Dealerships – charges of 2-5 % on car sales
The new rules stem from the EU Payment Services Directive, which lays out the changes EU governments must make by 13 January 2018.
If you have can questions or queries regarding this announcement please telephone our team on 01276 605690 or email firstname.lastname@example.org