End of legal loophole that lets retailers charge more for card use
he commerce ministry is to draw up legislation to close a loophole in the law that allows vendors to charge extra to consumers using credit cards.
The legislation will allow consumers to file a complaint with the consumer protection service and close a contradiction in the law,
Businesses argue that their profit margin on smaller items is low and eaten up by the charges they incur by accepting cards as opposed to cash.
The law that mandates all retailers to accept cards was passed last February. However, since then some businesses have been taking advantage of loopholes to impose the extra charges, Phileleftheros reported.
They argue that the interpretation of the law did not in fact prohibit them from adding on a surcharge when accepting cards.
The law states that in the event a card is used the buyer must be informed about extra charges before the seller initiates the transaction. At the same time, in another section, the law states that “the beneficiary is not allowed to request charges for the use of a specific means of payment”.
FULL STORY HERE:-
https://cyprus-mail.com/2023/02/20/end-of-legal-loophole-that-lets-retailers-charge-more-for-card-use/