As customers continue to turn away from using cash, businesses say credit card fees are hampering their margins. On Wednesday, a bill to allow businesses to charge customers paying with cards for those fees moved out of committee with a favorable recommendation from senators.
Senators on the Committee on Consumer Protection drafted the bill (S 2819) that would allow sellers to charge customers paying with a credit card a fee that is no greater than the seller’s cost to process the payment. If the bill passes, Massachusetts would join most states with laws allowing businesses to charge credit card surcharge fees. Five senators voted to advance the bill and Sen. Kelly Dooner didn’t vote “yes” or “no.”
The bill, which draws from three proposals (S 194/ S 204 / S 278), also requires sellers to notify customers of the credit card surcharge for in-person, online purchases, and transactions made over the phone…