Credit and Debit Card Surcharges

What is Maine’s “No surcharge for credit or debit card payments” (Title 9-A M.R.S. § 8-509) law?

Maine's “No surcharge for credit or debit card payments” law prohibits sellers from adding extra charges (surcharges) to credit card or debit card transactions. The law ensures that customers know the cost or price of a service or item upfront and prior to any discount on their purchases.

How does this law protect customers?

  • Transparency: Sellers must tell you the price before any discounts.
  • No Hidden Fees: You won’t suddenly face extra fees after seeing a lower advertised price.

Can sellers add a surcharge to credit card or debit card payments?

Sellers are not allowed to add surcharges to credit card or debit card payments.

Can sellers advertise a lower price and then add a fee later?

Sellers cannot advertise a lower price and then surprise you with extra fees for credit card or debit card payments. The regular price must be clear from the beginning. A retailer cannot simply display a sign or notice that they charge a fee for credit card transactions to satisfy the requirements of the law.

Are discounts or reductions from the listed price considered a surcharge?

Discounts or reductions from the listed price are not the same as surcharges. Sellers can offer discounts from the listed price for payment methods other than credit or debit cards, but they must clearly show the original non discounted price upfront.

Can a retailer show both listed and discounted prices?

Retailers can show both the listed price (for credit or debit cards) and the discounted cash price, but the listed price must be just as noticeable or more noticeable than the discounted cash price. They should label the discounted price as “Cash” or “Cash Discount” and are permitted to show the cash discount as a percentage, either on the label or on a display at the point of sale or other prominent location.

Can retailers negotiate prices with customers without violating the rules?

If the initial price is clear during negotiations, retailers and customers can freely agree on a final price. Reverting from a previously agreed-upon discounted cash price isn’t seen as a surcharge for card use.

Can a retailer offer discounts to encourage customers to use alternative forms of payment instead of credit or debit cards?

Retailers can offer discounts to incentivize customers to use payment methods other than credit or debit cards. For instance, they can provide a cash discount or encourage check payments. The key is to ensure transparency by clearly disclosing the original price upfront.

Can governmental entities add surcharges to card payments?

Governmental entities (like state agencies or municipalities) are allowed to add surcharges to credit card or debit card payments.

How can I avoid surcharges when paying a governmental entity?

Use cash, checks, or other payment methods that don’t involve credit cards or debit cards.

What if I see a violation?

If you believe a seller has violated this law, you can report it to the Maine Bureau of Consumer Credit Protection (BCCP). To file a complaint, you have the following options:

  1. File an Online Complaint Form:
    • You can submit an online complaint directly on the BCCP website.
    • Visit the BCCP File Consumer Complaint webpage.
    • Click on “File your complaint online”.
    • Fill out the necessary details.
  2. Mail or Fax a Complaint Form: