No more 'excessive' card surcharges (We hope!)

[PAXboy]

Here is the big change due to start now. It's a long article and the Airline section is down the page but well worth reading the whole thing.

BBC News - Ticket charges: No more 'excessive' card surcharges (http://www.bbc.co.uk/news/business-22042309)

Under the new rules, payment surcharges will have to reflect the actual cost to the retailer of processing the card transaction.

[ExXB]

Here in Switzerland Squeezy offers two prices - the higher, for using a credit card, the lower for a debit card.

But if/when you select debit you are offered choices of debit cards that are not available here. All the common cards; Postfinance, Maestro are not available only debit cards tied to UK bank accounts. .

Seeing as Squeezy, or part of it, are a Swiss company it is inconceivable that they don't accept Swiss debit cards. We recently chose LX's LCY flights over squeezy's LGW service because of this.

So, no, I don't think we will see all airlines doing the right thing.

[deltahotel]

This is the UK government bringing this in. Not sure how HMG can force a non uk company to comply. Maybe if the flight is booked and paid for in GBP? When the EU brings in the directive later this year(?) that will be different.

[radeng]

BA's flat £4.50 is more than likely to be less than the amount the credit card company charges them........let's hope that the BA charge doesn't go up!

[PAXboy]

From the BBC article - about Credit cards not Debit;

How much should your credit card surcharge be?

transaction of £50: £1.16
transaction of £100: £2.10
transaction of £250: £4.94

source: OFT, 2011

[Capot]

I'm sure that Ryanair will not be the only company to set up another charge, in FR's case an "administration charge", I believe, and carry on as before.

There will be no reduction whatsoever in the total cost of a ticket on any airline as a result of this new rule, so let's not get too excited.

Ryanair insists of course, that this charge is not related to the use of the card. In between fits of laughter, I imagine. Mind you, the old charge had nothing to do with the cost of processing a card payment; it was just another revenue increase device.

[radeng]

Capot,

You definitely meet the definition of what the optimist calls a realist - a cynic.

And I would make a small bet that you are absolutely bloody well right!