NATIONAL NEWS

New York stores are now required to post the extra charges for paying with a credit card

Feb 12, 2024, 1:05 PM

ALBANY, N.Y. (AP) — Businesses in New York are now required to clearly post exactly how much their products will cost if customers pay with a credit card, under a new state law that took effect Sunday.

The consumer protection law means stores can no longer post a sign on a door and at the register stating that credit card purchases will be subject to surcharges.

Instead, they will either need to list the higher credit card price next to a lower cash price, or they can just change the cost of items to the credit card price for everyone.

“New Yorkers should never have to deal with hidden credit card costs, and this law will ensure individuals can trust that their purchases will not result in surprise surcharges,” Gov. Kathy Hochul, a Democrat who signed the law late last year, said in a statement.

The new measure, which doesn’t apply to debit cards, will also limit credit card surcharges to the amount businesses are charged by processing companies.

“Transparency in pricing is critical so people can make informed decisions when spending their hard-earned money,” state Sen. Jeremy Cooney said in a statement. “Requiring businesses to disclose credit card surcharges helps consumers better understand the total cost.”

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New York stores are now required to post the extra charges for paying with a credit card