If you can read this, either the style sheet didn't load or you have an older browser that doesn't support style sheets. Try clearing your browser cache and refreshing the page.

(SFGate)   Wal-Mart sues VISA over swipe fees. Say what? Wal-Mart swipes VISA cards? Do they sell them on the black market too?   (sfgate.com) divider line 42
    More: Interesting, Walmart, visas  
•       •       •

4527 clicks; posted to Main » on 29 Mar 2014 at 11:59 PM (17 weeks ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



42 Comments   (+0 »)
   
View Voting Results: Smartest and Funniest
 
2014-03-29 09:07:39 PM
4.bp.blogspot.com
 
2014-03-29 09:44:57 PM
Maybe if we're REALLY lucky they'll sue and counter-sue each other into oblivion.
 
2014-03-29 10:30:06 PM
walmart can easily tell Visa to go screw...as long as they keep taking EBT cards...from their own employees.
 
2014-03-29 11:36:43 PM
So if they win the lawsuit, does that mean they can afford to actually have more than three registers open at any given time?

Why the hell do they even have 48 registers if they only ever open a single-digit amount?
 
2014-03-29 11:41:43 PM
I've always found it a bit 'odd' that the major credit card companies, after flooding everyone with credit card offers in the 70's, managing to get the age old Federal cap on interest rates overturned, jerking folks around on interest and finding all sorts of ways to charge card holders more, actually had a fee that shops had to pay to accept the use of their cards.

That's like charging someone to pay in cash.

Not too long back, a bunch of small convenience stores around here started charging more if you used a credit card, because of how much money they were loosing in fees.

I recall when you could get approved credit cards in the mail without asking. Just sign and use. Naturally, shortly after, the whole credit card mail theft thing started up. (Thanks credit card companies.) I also recall when they started mass advertising to get everyone to use their credit cards and came real close to turning us into an electronic monetary society.

Then came the 'adjusted interest rate', meaning cash advances were higher and about the last thing actually paid off on your card. Toss in late payment fees, missed payment fees, over the limit penalties and abrupt limit decreases, then sending your credit card checks for free -- which if you actually used them, you got hit with a user fee.

It actually boggles the mind when you consider all of the ways credit card companies have invented to suck as much money as possible from you and to get you dependent on using them.

So, I find it surprising that they charge businesses to accept the cards they've manipulated everyone into getting and initially nearly begged for businesses to go from store use only cards to universal credit cards.

I hope Wal-mart wins.

I never liked the idea that 'borrowing' $2500 on credit could require you paying back $5000. Nor that you can be enticed with a low interest rate to get a card, then after your first bill, have it pop up to the default for no good reason. Though, usually they wait until your balance is several hundred bucks before doing that; more money in interest charges.

Before any of you Financial Majors defend the card companies actions, allow me to remind you that they brought on their own financial crisis all by themselves by basically shoving their cards down people's throats and portraying card users as cool and happy folks.
 
2014-03-30 12:04:46 AM

GreenAdder: So if they win the lawsuit, does that mean they can afford to actually have more than three registers open at any given time?

Why the hell do they even have 48 registers if they only ever open a single-digit amount?


This always irritated me too
 
2014-03-30 12:13:02 AM

GreenAdder: So if they win the lawsuit, does that mean they can afford to actually have more than three registers open at any given time?

Why the hell do they even have 48 registers if they only ever open a single-digit amount?


Have you been in there on Black Friday to know for sure they only have single digits at the busiest times? (I haven't, and you'd have to pay me a lot to do so, but I do know holiday foot traffic in most places dwarf the rest of year and many places hire seasonal employees specifically for the holidays.)  Also breakdowns.  But there's also tons of understaffed stores out there.
 
2014-03-30 12:15:31 AM

Rik01: I've always found it a bit 'odd' that the major credit card companies, after flooding everyone with credit card offers in the 70's, managing to get the age old Federal cap on interest rates overturned, jerking folks around on interest and finding all sorts of ways to charge card holders more, actually had a fee that shops had to pay to accept the use of their cards.

That's like charging someone to pay in cash.


Yeah, it sux.  "We want people to use cards, it makes it quicker and easier for people to spend money.  While were at it, let's charge per transaction; easy money."


Some companies are following suit in their own way.  I had some work done and, when I went to pay, found that there was a convenience fee of $8 or $9 to pay online or with a credit card and the same amount for a processing fee if you sent a check; you had to pay them to accept your payment.

The nice lady did say that I could bring cash to their billing office and there would be no fee.  To be honest I was surprised that they didn't put a processing fee on the cash since they had to take it to the bank.
 
2014-03-30 12:19:51 AM

Rik01: I've always found it a bit 'odd' that the major credit card companies, after flooding everyone with credit card offers in the 70's, managing to get the age old Federal cap on interest rates overturned, jerking folks around on interest and finding all sorts of ways to charge card holders more, actually had a fee that shops had to pay to accept the use of their cards.



You can certainly argue that the fee is too large, or that it unfairly impacts businesses with a lot of small transactions, or lots of other thing.  But to not understand that there is a benefit to a business to not have to deal with cash, and that benefit is reflected in the cost accepting a credit card, it pretty naive.


Employees stealing, counterfeit bills, robbery, having to take a nightly deposit at the bank, and so on.  Not having to deal with that stuff is well worth a few percentage points of a sale to many businesses.  That doesn't mean that the system is perfect or that the credit card companies aren't using their size to milk as much money as they possibly can.  But there is a reason the system exists in the first place.
 
2014-03-30 12:25:38 AM
WalMart could always refuse to accept VISA cards...
 
2014-03-30 12:30:50 AM
I hope Walmart wins. Credit card fees are obscene, no matter which way you approach them.
 
2014-03-30 12:43:27 AM

GreenAdder: So if they win the lawsuit, does that mean they can afford to actually have more than three registers open at any given time?

Why the hell do they even have 48 registers if they only ever open a single-digit amount?


The register manufacturers have a seat on the board of Walmart?
 
2014-03-30 12:44:46 AM
Wal-Mart should win, and subsequently have the award or settlement forfeited by the US government for the purpose of paying on welfare costs for underpaid Wal-Mart employees.

Two birds, one stone.
 
2014-03-30 12:50:51 AM

Target Builder: WalMart could always refuse to accept VISA cards...


Came here to say this.

No one forces a retailer to accept Visa, MC, Amex, Discover, etc.

If a retailer disagrees with the interchange fees/discount rate, they're free to say no as numerous companies do with American Express and/or Discover.
 
2014-03-30 01:02:58 AM
On the rare occasion that I have to buy something from Wal-Mart, I always pay with American Express. It's probably the most expensive way for them to accept payment and I like to think it confuses their computers a bit.

/Given that there is a joint Wal-Mart/AMEX card called Bluebird, it's probably a much cozier relationship than I'm imagining.
 
2014-03-30 01:08:42 AM

EngineerAU: On the rare occasion that I have to buy something from Wal-Mart, I always pay with American Express. It's probably the most expensive way for them to accept payment and I like to think it confuses their computers a bit.

/Given that there is a joint Wal-Mart/AMEX card called Bluebird, it's probably a much cozier relationship than I'm imagining.


and since Sam's accepts Mastercard and Discover, I'd go with VISA as the least favorable (to Wal-Mart) card to use.
 
2014-03-30 01:54:04 AM
So if Walmart wins, will this just exempt THEM from paying the fees? Or will it be for everyone? I can see this being Walmart crying because everyone else gives them special treatment, Visa should too!
 
2014-03-30 02:12:25 AM
UI think it's strange, that whenever I go there, which isn't very often, they have something like 30 registers, but only a few are open, regardless of the traffic.  know scheduling is dictated by corporate, but there seems to be no variance, like "smaller" businesses.
 
2014-03-30 02:25:27 AM
FTA:  "...the fees cost U.S. retailers and shoppers more than $350 billion between 2004 and November 2012."

All retailers hide the CC fees into their prices, so their complaint is bullshiat.  If anyone has a valid complaint, it would be the shoppers.

Fark Walmart.
 
2014-03-30 02:34:07 AM
If Wal-Mart wins, they'll pass the savings onto us!
 
2014-03-30 02:53:12 AM
We oughta sue them for keeping our credit card info and ID info on file so's it can be stolen by those with just a tad less scruples. I have to worry about the Target breech? I don't even shop there.
 
2014-03-30 03:06:26 AM

Thoguh: Rik01: I've always found it a bit 'odd' that the major credit card companies, after flooding everyone with credit card offers in the 70's, managing to get the age old Federal cap on interest rates overturned, jerking folks around on interest and finding all sorts of ways to charge card holders more, actually had a fee that shops had to pay to accept the use of their cards.


You can certainly argue that the fee is too large, or that it unfairly impacts businesses with a lot of small transactions, or lots of other thing.  But to not understand that there is a benefit to a business to not have to deal with cash, and that benefit is reflected in the cost accepting a credit card, it pretty naive.


Employees stealing, counterfeit bills, robbery, having to take a nightly deposit at the bank, and so on.  Not having to deal with that stuff is well worth a few percentage points of a sale to many businesses.  That doesn't mean that the system is perfect or that the credit card companies aren't using their size to milk as much money as they possibly can.  But there is a reason the system exists in the first place.


It's one percent for credit. Or it used to be. Even if it has gone up to two percent, it's higher for debit (used to be at least double)--which is why I've known retailers to refuse debit card purchases are force customers to use it as credit.

Many retailers do not add the cost into the purchase price, but will charge the consumer a flat fee for using a card instead of cash (usually only seen in small shops that do more cash-based transactions, but don't want to lose out on card-based sales). In other words, yes, they eat that percentage.

On one hand, it seems like it shouldn't be a big deal for Wal-Mart to eat that small percentage. Cost of doing business, right?

Until you realize that Walmart's retail sales were nearly 500 trillion dollars last year. Assuming most of that was on cards? 2% is ten trillion dollars.

That's more than enough to pay decent wages and healthcare for their employees. Not that Wal-Mart will, mind you, just that they actually could with that kind of money. shiat, that could pay off more than half the US debt in one go.

It's not a small amount of money by any stretch of the imagination. 10 followed by twelve more zeroes. Jesus.

Credit card companies are robbing people blind. People want these things... why, exactly? (And no, I do not have a single credit card. On purpose. If my bank's cash card didn't have a Visa logo on it, no credit card company logo would be in my wallet. If I don't have the cash, I don't need it that bad.)
 
2014-03-30 03:09:40 AM

indy_kid: FTA:  "...the fees cost U.S. retailers and shoppers more than $350 billion between 2004 and November 2012."

All retailers hide the CC fees into their prices, so their complaint is bullshiat.  If anyone has a valid complaint, it would be the shoppers.

Fark Walmart.


See above, no they don't (or not all of them).

If they did, they'd be subject to the same kind of lawsuit from customers who only and always pay cash (and there are people who do) and who have the receipts to prove it.
 
2014-03-30 03:22:52 AM

Aigoo: Until you realize that Walmart's retail sales were nearly 500 trillion dollars last year. Assuming most of that was on cards? 2% is ten trillion dollars.


Citation needed.
 
2014-03-30 04:31:44 AM

pedrop357: Aigoo: Until you realize that Walmart's retail sales were nearly 500 trillion dollars last year. Assuming most of that was on cards? 2% is ten trillion dollars.

Citation needed.


Not even close. That's 30 times the US GDP for 2012. WalMart's gross income in 2013 was ~$117 billion.

http://www.marketwatch.com/investing/ stock/wmt/financials
 
2014-03-30 04:33:39 AM

GreenAdder: So if they win the lawsuit, does that mean they can afford to actually have more than three registers open at any given time?

Why the hell do they even have 48 registers if they only ever open a single-digit amount?


The short answer is that all those registers are only there for the holiday rush: they make enough money in the holiday season that it makes sense to buy all those registers and let them take up floor space for the rest of the year, but it doesn't make economic sense to employ people to work them except at th holiday peak.

My local Acme supermarket is th same way: 12 register stations and there are usually only three or four open, which is all that's needed most of the year.  The only time they open them all is between Thanksgiving and New Years.

Now, the more interesting question is: why doesn't WalMart realize when they're having a rush and should open more registers?  If you're in Target and the lines get too long, they pull people who are stocking and have them open more lanes.  WalMart NEVER does this as far as I've seen.
 
2014-03-30 04:34:03 AM

pedrop357: Aigoo: Until you realize that Walmart's retail sales were nearly 500 trillion dollars last year. Assuming most of that was on cards? 2% is ten trillion dollars.

Citation needed.


It's 500 billion. Not trillion. Sheesh. If it was 500 trillion they will just buy the country.
 
2014-03-30 06:25:40 AM

gund: pedrop357: Aigoo: Until you realize that Walmart's retail sales were nearly 500 trillion dollars last year. Assuming most of that was on cards? 2% is ten trillion dollars.

Citation needed.

It's 500 billion. Not trillion. Sheesh. If it was 500 trillion

they will just buy the country.


That's a terrifying thought. Never speak of it again.
 
2014-03-30 07:47:29 AM
One group of Business Socialists suing another group of Business Socialists...bring popcorn...
 
2014-03-30 08:54:56 AM
They open them ALL on black Friday.
All the cashiers stand there doing nothing all day, but the registers do work.
My pet peeve is how some manager sends all the cashiers home at 5 PM, just before folks get off work and stop by the store. 5 minutes shopping, 45 minutes waiting at the register.
 
2014-03-30 09:02:22 AM

Target Builder: WalMart could always refuse to accept VISA cards...


They dont accept visa at sam's club. Not enough margin to absorb the fee. Every other credit company gives sams a discount
 
2014-03-30 09:12:24 AM

azwethnkweiz: Target Builder: WalMart could always refuse to accept VISA cards...

They dont accept visa at sam's club. Not enough margin to absorb the fee. Every other credit company gives sams a discount


So Sam's Club doesn't accept Visa because Visa won't treat them better than all their other customers?

However, they do accept Visa for Sam's Club online purchases. I guess not providing health insurance to the Internet covers the extra interchange fees.
 
2014-03-30 10:38:44 AM
In other news, the credit business is expensive
 
2014-03-30 11:35:09 AM
img3.wikia.nocookie.net
 
2014-03-30 11:55:00 AM
The irony of this one is pretty sick since Walmart prefers to pay its employees with prepaid cards that charge ridiculous fees to use.  http://www.nytimes.com/2013/07/01/business/as-pay-cards-replace-paych e cks-bank-fees-hurt-workers.html?_r=0
 
2014-03-30 01:26:55 PM

Rik01: I've always found it a bit 'odd' that the major credit card companies, after flooding everyone with credit card offers in the 70's, managing to get the age old Federal cap on interest rates overturned, jerking folks around on interest


Actually it wasn't a *federal* cap, those caps were imposed by the various states under state usury laws.  Then SCOTUS, in Marquette National Bank of Minneapolis v. First of Omaha Service Corp., declared that state anti-usury laws could not be enforced against federally-chartered banks located in other states.   The National Banking Act, passed in 1863, allowed banks to charge whatever interest rates were allowed in the state where the bank was located, rather than the state where the customer was located, and took precedence over state usury laws.  After that, banks scrambled to set up shop in states like South Dakota and Delaware that had relatively weak usury laws, and we ended up with the current credit-card business.
 
2014-03-30 01:27:00 PM
Never screw with the Wal-Mart never.
 
2014-03-30 01:31:34 PM

Target Builder: WalMart could always refuse to accept VISA cards...


Or do what Target (and others do), and operate their own credit & debit cards and give 5% back when using their cards.
 
2014-03-30 02:06:34 PM
In other news. Wal-mart wants more of that 4 dollars you spent on 400 to 600  off-brand excedrin clone pain medicine pills.  Some of which you probably won't polish off before the expiration date.
 
2014-03-30 04:49:58 PM

Dwight_Yeast: Now, the more interesting question is: why doesn't WalMart realize when they're having a rush and should open more registers? If you're in Target and the lines get too long, they pull people who are stocking and have them open more lanes. WalMart NEVER does this as far as I've seen.


When I had only a few items I have been pulled out of line at Wal-Mart and taken to a newly opening check stand.
 
2014-03-30 10:55:33 PM
Whoever wins, I probably lose.

Too many senators in too many pockets.
 
2014-03-30 11:11:36 PM
Ok, I just want to make a few points here.

Company like visa and master card don't charge you the major interest and fees you think they do.

Thats' the banks.
Chase, citi, whatever bank your card if from they are the one loaning the money to you and they are the one charging you the interest rates and majority of the fees.

Visa / MasterCard  charge a transaction fee to use the network and and makes sure the money flows smoothly from point a to point b.

The transaction fee I is about 2 % of the transaction. That is where Visa and MasterCard really make their money. Its a convenience fee retailers are willing to pay to avoid the hassle of checks or cash.
Once the money is moved Visa / Mastercard are out of it.  You buy stuff you can afford? That is between you and the bank.
 
Displayed 42 of 42 comments

View Voting Results: Smartest and Funniest


This thread is closed to new comments.

Continue Farking
Submit a Link »






Report