PaymentsJournal
SUBSCRIBE
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
No Result
View All Result

Credit Card Surcharging Ends in UK: The Force Awakens

Brian Riley by Brian Riley
May 4, 2018
in Analysts Coverage
0
Use Personal Credit Cards:

Top 5 Reasons Small Business Owners Use Personal Credit Cards:

1
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

Holiday spending on credit cards is set to increase by 80% according to TravelWeekly, a UK trade rag.  As the Payment   Service Directives now prohibits cardholder surcharging, Brits will no longer be subject to the standard 2% add-on fee.

  • Chris Lee, director and head of travel and professional sports at Barclays Corporate Banking, said prior to PSD2, 70% of holidays were paid for by debit card.

  • However, since January that proportion has changed to beyond 50:50 in favour of credit cards as consumers take advantage of the benefits of paying on credit.

  • Speaking ahead of next week’s Barclays Travel Forum, Lee said: “No one knows for sure, but we think that will flip around from what it previously was [and] might go to as much as 80:20.”

It is a plus for consumers; though you have to wonder why one of the lowest interchange markets in the world ever permitted surcharging in the first place.

  • “Many have built it in to their overall pricing for all customers to maintain margins because they can’t discriminate between people who use credit cards and people who pay with debit cards,” he said.

  • “Some have decided not to adjust their pricing for the time being and have just taken the hit.”

  • Abta said travel agents are hit particularly hard by the surcharge ban because they do not have the option of raising prices to pass on the costs of processing payments.

Now, those hoping to visit a galaxy far away will realize instant savings.

May the force be with you.

Overview by Brian Riley, Director and Jedi Master, Credit Advisory Service at Mercator Advisory Group

Tags: Credit CardsSurchargeUnited Kingdom
1
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

    Analyst Coverage, Payments Data, and News Delivered Daily

    Sign up for the PaymentsJournal Newsletter to get exclusive insight and data from Mercator Advisory Group analysts and industry professionals.

    Must Reads

    On-Demand Webinar: Solving the Digital Onboarding Challenge​ – Increasing Conversions without Increasing Risk

    On-Demand Webinar: Solving the Digital Onboarding Challenge​ – Increasing Conversions without Increasing Risk

    February 8, 2023
    legacy infrastructure

    How Modernizing IT Can Help Banks Compete With Fintechs

    February 7, 2023
    Buy Now Pay Later BNPL, B2B BNPL

    B2B BNPL Offers a High-Potential New Chapter in Payments

    February 6, 2023
    eCommerce On Social Media, social commerce

    The Rise of Social Commerce and Social Payments

    February 3, 2023
    Electroneum AnyTask; ETN Crypto, sales enablement

    Ethical Financial Selling: The Role of Compliance Technology and Sales Enablement

    February 2, 2023
    direct deposit

    Nacha Launches Campaign to Reach Millennials on the Benefits of Direct Deposit

    February 1, 2023
    Equinix Helps UK-Based Payments Provider Enable Faster, More Reliable Payments Processing

    Equinix Helps UK-Based Payments Provider Enable Faster, More Reliable Payments Processing

    January 31, 2023
    credit card tumbling

    How to Detect, and Prevent, Credit Card Tumbling

    January 30, 2023

    • Advertise With Us
    • About Us
    • Terms of Use
    • Privacy Policy
    • Subscribe
    ADVERTISEMENT
    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Videos
    • Industry Opinions
    • News
    • Resources

    © 2022 PaymentsJournal.com

    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Industry Opinions
    • Faster Payments
    • News
    • Jobs
    • Events
    No Result
    View All Result

      Register to download the Equinix report - Dojo Delivers Fast, Reliable and Secure Card Payments to Businesses on Platform Equinix