Replying to Avatar Sacred Peak

they don't pay the fees.

this is the same as corporate tax. retailers bake the credit card % fees in to their prices. it's always the consumer who pays tax, never corporations or retailers.

The Gap, etc. all the prices contain that fee in them, it's just not broken down nor do they want it broken down otherwise consumers would see it.

it's all mirrors
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Crusty 👨‍💻 1y ago

Then what would be the difference from a consumer perspective between:

1️⃣ All payment methods has no fees

2️⃣ Each payment method has an associated different fee

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Sacred Peak 1y ago

if there is actually no fee there is no fee

if there's a hidden fee it's a few we don't see

if it's a fee that is displayed it's a fee we are aware of

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Crusty 👨‍💻 1y ago

I believe in transparency.

If you want to accept credit / debit card payments, you have to pay 3 different type of fees. Plus you get your money late, and also the chargebacks. Kind of pain.

If you want to accept cash. It is free to accept.

Then if you want to accept credit cards, you have to increase your prices to include credit card accepting cost.

I think, it would be much more transparent and logical, that whoever uses a payment method it shall bear the cost of it.

This means, you can pay by cash paying no extra cost, or by card paying for comfort.

Then it is transparent, how much these cost. Plus too expensive payment methods would be driven out of markets by consumers.

Maybe I am wrong.

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Sacred Peak 1y ago

there isn't a right or a wrong.

we just have effed up broken systems . it doesn't cost Visa any more to process a $500 purchase than a $5 purchase. I expect it's under a dollar to process if there even is a real cost yet Visa charges a %.

some say it's because they are guaranteeing the money but meh.

we pay a fee when buying BTC and the fee is less or more based on the speed. that seems more reasonable.

i think the players in the way things are now have a vested interest in keeping it the same.

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Crusty 👨‍💻 1y ago

Visa, etc definitely, but payment processors at the end don't care. They can add a new method without a hassle.

This is only existential for credit card companies. So they definitely would do anything to survive. But the monopoly they have, and the high fees they charge are ridiculous. This should be challenged at least for fun.

But I see the need for an alternative from merchant side.

Lightning seems good alternative for them: instant, low fee, no chargebacks.

Vs credit cards: at least 3 days, high fees, costly chargebacks.

Also from payer sides, you don't know how much data credit card companies have on you, which is...