Visa® & MasterCard® Rules and Regulations
As a merchant accepting MasterCard® and Visa®, there are basic card acceptance rules that you must follow. By adhering to these rules, you can increase customer satisfaction and ensure that you do not run into compliance issues, which may put your continued ability to accept credit cards at risk. The following are some of the rules outlined in the Visa and MasterCard manuals:
Card Logos & Acceptance: You must display the appropriate card logos for any card types that you accept and advise your customers of their payment options. You must honor all categories of cards (credit, debit, rewards etc.) within each card type that you accept.
Dollar Minimums and Maximums: You may not impose a minimum or maximum amount for any transactions. If you do not accept a customer charge, which is below a certain amount that you specify, the customer can notify Visa and/or MasterCard, who will take the appropriate steps to see that you understand and adhere to the card acceptance rules and regulations.
Surcharges: All credit card transactions must be treated like any other transactions. You may not impose any surcharge on a transaction because your customer is using a credit card. However, you may offer a discount to your customers for paying in cash provided the offer is clearly disclosed to your customers and the cash price is a discount from the standard price charged for any other type of payment.
Laundering: You may only process transactions for your own business. Processing transactions for a business that does not have a valid merchant agreement is called laundering and is considered a form of fraud.
To learn more about the rules and regulations of accepting Visa and MasterCard cards, please contact us or see the Visa and MasterCard guides available through the Visa and MasterCard websites.
Comments
8 Responses to “ Visa® & MasterCard® Rules and Regulations ”
Got something to say?
Can you advise me if it is true and correct that Mastercard and Visa tells you what you can bill for and accept as payment, such as in my trade I have to pay taxes, license fees and so forth for companies, they in turn are billed on my invoice. I submitted a clients card for payment, it was approved thru the issuing bank. My processor required proof of invoices in which I faxed to them. They denied payment. Can I say for a small business, I had already incurred $6000 in payout fees that I was being reimbursed for from my client. Can this company truly do this and be within their financial obligations and guidelines?
WE OWN A SMALL GROCERY STORE AND GAS STATION IN A RURAL AREA. I DON’T UNDERSTAND HOW VISA/MASTERCARD CAN CHARGE US TO ACCEPT CREDIT AND DEBIT CARDS BUT NOT ALLOW US TO CHARGE OUR CUSTOMERS A FEE. WITH THE GASOLINE BUSINESS OF TODAY, THE PROFITS AVERAGE FROM .02 TO .06 PER GALLON. IF A CUSTOMER PAYS WITH A CREDIT OR DEBIT CARD, WE LOSE MONEY ON THAT SALE. THE PROCESSING COMPANIES SOLUTION TO THIS IS TO JUST RAISE THE PRICE OF GAS. OF COURSE, WE CAN’T DO THAT. WITH COMPETING STORES IN THE AREA, WE WOULD LOSE OUR BUSINESS.
VISA/MASTERCARD CHARGE PEOPLE TO USE A CREDIT CARD AND CHARGE MERCHANTS TO ACCEPT THEM. WE WANTED TO CHARGE A 3% CHARGE ON ALL SALES PAID WITH A CREDIT OR DEBIT CARD. THIS WOULD ALMOST COVER OUR EXPENSES JUST TO ACCEPT THE CARDS. BUT THAT’S AGAINST THEIR REGULATIONS. CAN SOMEONE PLEASE EXPLAIN THIS TO ME.
Can a merchant advise you of a sub total only and debited your mastercard first and then advise you of the total that you have just authorised?
I was wondering what they law states regarding a store refusing to accept debit/credit for the purchase of cigarettes but will accept debit/credit on alcohol purchases? Can anyone advise me on this?? Thanks
In my opinion, the sorry ass truth is that Visa and master card are the biggest criminal gang, since Al Capone. They don’t give a crap about you or anyone else. It’s ONLY about the money and screwing merchants is a nice revenue stream that they can easily control. Since they have the power to just violate any law they want to, they will continue to do what they want to until they are completely regulated, which they need to be before they collapse the entire world economy just like the deregulated banks did. Remember.. Visa and Master card are made up of those same banks that have destroyed countless peoples lives. They do jot want you letting the customer know why your prices have to be up to 4% plus higher. They want to hide in the dark were molester and criminals hide and just reach into your pocket whoever they feel like it. File complaints with your local officials and keep asking for regulation. There is no reason that all fees cannot be less than 1%. Closer to .7%. The rest is just greedy manipulation.
can a large retail store ask me for my id and do i have to supply it in order to go through with the transaction?
Hi John. Retailers certainly have the right to confirm your ID when you are using a charge card. It is a great way to limit their fraud risk from stolen cards. Customers should be thankful when a merchant asks as, ultimately, they are helping to protect everyone from fraud and identity theft.
Brian
Also, to BETH: no one is forcing you to accept Visa/Mastercard. If your profits are extremely low and you are losing money on transactions, simply cancel your contract with the credit card services and stop accepting payment by credit card. Otherwise, stop complaining. I would NEVER pay a surcharge to a gas station or ANY business for using my credit card, nor would I be coerced into making a minumum purchase… I’d simply drive to the next gas station and know to never stop by your place of business again. I have a feeling most people feel the same as me. Other than FRANK, who clearly thinks that the government is somehow less corrupt than banks and feels they would do a better job of running them (like they did with social security, right Frank?)