WTF Costco? You pre-authorize $150 at your gas pumps????

[jlee]

Nope. Most places aren't allowed to have a different price for cash vs. credit. The CC Merchant's Agreement says that there can be no minimum purchase, no additional charge, etc because the more convenient it is for the customers to use credit then the more transaction fees they get. Some rule changes a few years ago but CA was already like that so they musr have some local regulation that overrides the CC Merchant Agreement.

Things have changed. More info here:

http://daviswiki.org/Credit_Card_minimum_purchase

 

[CZroe]

I acknowledged that when I said that the rules changed in the last few years but CA's CCMA-violating pricing difference predates that.

Edit:

... Some rule changes[changed] a few years ago but CA was already like that so they musr[must] have some local regulation that overrides the CC Merchant Agreement.

 

[NoCreativity]

Nope. Most places aren't allowed to have a different price for cash vs. credit. The CC Merchant's Agreement says that there can be no minimum purchase, no additional charge, etc because the more convenient it is for the customers to use credit then the more transaction fees they get. Some rule changes a few years ago but CA was already like that so they musr have some local regulation that overrides the CC Merchant Agreement.

In metro detroit area the cash/credit scam started to happen back in 2008 when gas hit $4/gallon for the first time. That predates the changes you are talking about. Not sure how they got away with it. I guess I stand corrected that the cash/credit scam is wide spread.

 

[jlee]

I acknowledged that when I said that the rules changed in the last few years but CA's CCMA-violating pricing difference predates that.

Edit:

LOL @ edit. Got it now.

 

[MrSquished]

most jersey gas stations have two prices cash/credit as of the last couple years.

 

[brianmanahan]

this thread has topped off my expectations

9.299/10

 

[brianmanahan]

also, to everyone who pays cash & checks for everything:

you and my grandma have something in common :awe:

 

[DrPizza]

I'm pretty sure they advertise it everywhere.

Maybe my post was confusing? Let me clarify. About half the stations in our area have one price regardless of payment method. That price is usually the same as the cash price of the stations that use the cash/credit scam.

I didn't notice that in the South Jersey area last time I was down there. And, I'm glad people are calling the cash/credit thing a scam. In my travels, I remember getting to an intersection with 4 stations. I headed over to the station that was 1 cent cheaper per gallon. When I pulled up to the pump, the sign there was different from the big main sign (which didn't mention cash). I thought, "f you" and went to the station across the street. I could have paid cash, but because there was no information until you arrived at the pump, I felt that they were taking advantage of people, figuring that once they got to the pump, they had already chosen their station and wouldn't switch.

 

[pcgeek11]

I have....

Fact: It's safer.
No it is not safer, it just has different risks.

Fact: You can earn points and cash back for using it.
I personally don't bother or care.

Fact: It's more convenient.
No, it is not more convenient for me, I always have cash on me.

Fact: You can track your purchases easily.
I know what I purchase anyway. I don't purchase enough crap where I need to keep a tally. Major purchases go on credit card or check book and are tracked there. I don't need to track small shit like gas and candy bars.

Fact: You get extra benefits like purchase protection, extended warranties, and travel benefits.
So you get purchase protection and extended warranties on your gasoline? Wow, that is cool! I did enough traveling for a lifetime already.

The only logical reason to use cash is to reduce overspending. I understand this is a problem for some people. But the reality is, if this is your situation, it means you do not trust yourself. That's not a great situation to be in.

So now we come with the insults. Really? This doesn't apply to me so wrong again. I'm older and have plenty of liquid assets and investments. And I'm well on the way to my second retirement.

My comments in bold. Why are you trying to convince me I am doing something wrong. I'm doing what works for me.

I understand that you want to track everything you buy and that is fine. Some people that don't have much to spend really need to track every little penny. If this is your situation, I'm sure credit cards and tracking your debit card helps a lot! ( see I can do the back handed insult too )

 

[pcgeek11]

I don't carry much cash at all on a day to day basis, usually $100 or less is in my wallet. If I am going out to a bar/restaurant I am unsure about, I may bring enough cash to cover things and not risk getting skimmed even though I am covered from loss.

The expenses I encounter fluctuate a lot day to day. I may have to come out of pocket several hundred dollars for a client and then expense it.

I am not sure why you don't use your credit card and just pay it off daily/weekly/monthly and avoid interest.

Do you have issues with credit?

No issues at all with credit. My credit score is over 800 as a matter of fact the last time I checked this year. I never carry a balance on my credit card(s). When I do use them it gets paid in full at the end of the billing cycle. As I stated above I don't need to track all of the piddly little shit I buy such as gas etc... I don't use a great deal of gas anyway, I fill up about once a week ( 7 Days ).

I'm nearly 60 and have retired once already and I'm well on the way to my second retirement. I have plenty of liquid assets, investments and I've done more than my share of travelling.

Cash and checks do most of what I need to do and I'm comfortable with it. What they don't work for I use a credit card.

 

[pcgeek11]

What's funny is all these ballers saying they just use cash can't afford to float $150 overnight.

I didn't see where anyone said that.

 

[pontifex]

I know of at least 1 truck stop/gas station in pa that has a cash price and a credit price. Credit price is more expensive.

 

[Oldgamer]

Just use cash.. easy, that way your not tying up your money at your bank.

 

[Tweak155]

In metro detroit area the cash/credit scam started to happen back in 2008 when gas hit $4/gallon for the first time. That predates the changes you are talking about. Not sure how they got away with it. I guess I stand corrected that the cash/credit scam is wide spread.

I don't see how it is a scam when they advertise both prices and it is up to you which option to pick. It's not like they don't give you what you agreed to pay for using plastic.

You guys know what a scam is right?

 

[CZroe]

I don't see how it is a scam when they advertise both prices and it is up to you which option to pick. It's not like they don't give you what you agreed to pay for using plastic.

You guys know what a scam is right?

It's a scam because the only one you can see from the road to make your choice is the credit[cash] price. That scam is not only a scam, it has a particular name: Bait 'n' Switch.

 

[CZroe]

Just use cash.. easy, that way your not tying up your money at your bank.

How is that easier than paying at the pump?

 

[alkemyst]

It's a scam because the only one you can see from the road to make your choice is the credit price. That scam is not only a scam, it has a particular name: Bait 'n' Switch.

Dafuq? you not only don't know what a scam is, but neither bait and switch.

Yet, you and your bro run every post here through spell check.

 

[CZroe]

Dafuq? you not only don't know what a scam is, but neither bait and switch.

Yet, you and your bro run every post here through spell check.

I actually have auto-correction turned off on Swiftkey and don't "run" anything on the PC either. Text fields in PC browsers have rudimentary automatic spell checking that I don't turn off, if that's what you mean, but I rarely post from there now.

Anyway, there are many types of Bait 'n' Switch scams, but advertising one thing and then only offering another is Bait 'n' Switch. They sucker you in from their competitors with what looks like a lower price even though you find that it isn't when you actually stop there (wasn't comparing apples to apples). Few people carry cash these days. Even if they aren't making more from the credit sale because it all goes to the CC companies, they are counting on the lower price to attract ("Bait") you. The "Switch" is in what station you are stopped at and not what product is available.

Edit: I see that I accidentally said "credit price" when I meant "cash price." My "spell checker" failed me.

 

[Tweak155]

I actually have auto-correction turned off on Swiftkey and don't "run" anything on the PC either. Text fields in PC browsers have rudimentary automatic spell checking that I don't turn off, if that's what you mean, but I rarely post from there now.

Anyway, there are many types of Bait 'n' Switch scams, but advertising one thing and then only offering another is Bait 'n' Switch. They sucker you in from their competitors with what looks like a lower price even though you find that it isn't when you actually stop there (wasn't comparing apples to apples). Few people carry cash these days. Even if they aren't making more from the credit sale because it all goes to the CC companies, they are counting on the lower price to attract ("Bait") you. The "Switch" is in what station you are stopped at and not what product is available.

I see that I accidentally said "credit price" when I meant "cash price." My "spell checker" failed me.

They aren't advertising anything you aren't able to get.

 

[CZroe]

They aren't advertising anything you aren't able to get.

You can't get the cash price without cash, so they are if they don't distinguish particularly to sucker you in and you don't carry $50 for gas everywhere you go (very few do).

 

[Staples]

Pulled up behind a Suburban yesterday at Costco. Thought it took forever for him to fill up so I was interested in how much gas was actually filled into the tank. 35 gallons. Hundred and $35 worth.

 

[Tweak155]

You can't get the cash price without cash, so they are if they don't distinguish particularly to sucker you in and you don't carry $50 for gas everywhere you go (very few do).

It's not their fault you don't have the cash. If you had the cash, you get exactly what they advertised you'd get when they specify if you pay with cash.

 

[Scarpozzi]

I recently went to a gas station that capped all transactions to $50. They kind of shorted themselves because I was going to fill up since I was on the Interstate, but knew I'd be stopping within 2 hours...so I hit the road again.

 

[Ns1]

Pulled up behind a Suburban yesterday at Costco. Thought it took forever for him to fill up so I was interested in how much gas was actually filled into the tank. 35 gallons. Hundred and $35 worth.

:awe:

 

[CZroe]

It's not their fault you don't have the cash. If you had the cash, you get exactly what they advertised you'd get when they specify if you pay with cash.

Except that it *is* "their fault" I stopped there without cash when they deliberately advertise the cash-only price against a competitor's cash or credit price without saying so. The street signage is deliberately different from what you find after pulling in which is dishonest and deceptive which is exactly why the other poster declared it a "scam."

It's one thing to offer a discount for cash or charge more for credit, but it's somethingnelse entirely to deliberately start using the difference to sucker people in.