Wednesday, May 14, 2008

Blame Credit Cards For High Gas

...well a little at least.

According to this article on CNN.com:

Buying gasoline with a credit card could be hurting your local independent gas station owner - and you may have to pay for it.

That's because credit cards charge merchant fees in the form of a percentage of sales - and those fees eat into the fixed per-gallon sum that gas retailers tack onto pump prices.

Some stations raise prices in order to keep profit steady.

It makes sense. All I know is that I'm glad that I now have shredded all my credit cards and have taking public transportation to work for a full year now. The timing seems to have worked out in my favor.

2 comments:

JW said...

Yet another reason to cut up our cards.

Anonymous said...

This is true of all purchases with CC, not just gas. Stop using them and all merchants would make more money or be able to reduce prices.