There's a lot of action in the press about how banks screw people with credit cards, and how people get fee-ed to death. Well it isn't one-sided at all, as merchants are getting screwed as well. If you're a low-volume, online merchant like me, it's even worse.
Take for example a single CoasterBuzz Club membership, at $25. Here's what it looks like:
So before I even print a membership card or put a stamp on an envelope, it's down to $22. When I started the club in 2001, the total fees averaged about 70 cents per membership at the old $20 annual rate.
The latest is a monthly $12 fee to ensure that merchants comply to security standards. You know what that involves? The merchant going to a Web site to say that it's compliant. Twelve bucks. Every month. That's total bullshit, as statistically speaking, the physical in-person use of your credit card is far riskier than online.
When does it end? I can't believe some enterprising law firm hasn't figured out how to sue these assholes, particularly since it amounts to price fixing, since all of the card companies (Visa, MC, Discover, AmEx) are in on it. It's staggering. What's particularly ridiculous about it is that it should be cheaper than ever to move money around, since it's so electronic.