Massachusetts Senate Bill S178

Massachusetts 2023-2024 Regular Session

• Introduced: 2/16/23
• Refer: 2/16/23

Caption

Relative to transparency in credit card fees

Impact

The proposed changes to Chapter 14D of the General Laws will particularly affect retail and service establishments that accept credit cards. By requiring clear communication of any surcharges, SB S178 intends to protect consumers from unexpected charges and enhance overall fairness in pricing. This bill aligns with broader consumer protection efforts, aiming to provide citizens with greater visibility into the costs associated with credit card transactions.

Summary

Senate Bill S178 aims to enhance transparency regarding credit card surcharge fees imposed by sellers during sales transactions. The bill mandates that any seller applying a surcharge for credit card payments must notify customers of this fee through conspicuous signage at their place of business. This legislative measure seeks to ensure that consumers are aware of any additional costs they may incur when opting for credit card payments instead of cash or checks.

Contention

While the bill is generally seen as a beneficial step towards consumer transparency, there may be concerns from sellers about the potential impact on their sales techniques and customer perceptions. Business advocates may express apprehensions that strict disclosure requirements could deter customers from using credit cards. Additionally, some may argue about the administrative burden and costs associated with modifying their point-of-sale systems to comply with the new signage requirements.