17 Dec 2023 7:09 pm
Some merchants do have a five dollar minimum, but that is violating their contract. I would not, of course, ever turn them in.RedheadedStranger » 17 Dec 2023, 8:06 pm » wrote: ↑ I always understood it to be a processing fee per transaction that was based on the amount of said transaction... charged back to the merchant.
At one time the lower transactions were a flat fee, which is why some merchants had a "minimum" transaction amount if you were using a card because the transaction fee would end up costing the merchant more than they were making off the sale of it was too small.
It's basically another tax on the businesses.
None of this, so far, is a tax. At least in the sense of government tax. Businesses voluntarily enter into a contract.
The rub is if a country becomes "cashless." Then, the merchant has no choice.