Charging extra for credit cards

George Frowney

Hello all,
I am dealing with an Indian travel agent for my upcoming trip to India. At the last minute, the travel agent wants to tack on a 2% charge since I want to pay for my trip with a credit card. Should I complain? In the U.S. this would be considered a definite no-no, but I was wondering if it is standard practice in India for travel agents to impose such charges.
thanks,
George

crvlvr

Its quite normal on the low fares (compare the fares to what find on orbitz.com).. but the travel agent should have warned you earlier.. i have the sae situation with my ticket and am paying cash..

George Frowney

Thanks for the quick reply. No, this is an off-the-shelf package that is quite expense, though it is a good deal because my wife is an Indian national.

It may be contrary to VISA regulations to impose a surcharge. I may pay it and then dispute the charge. Not a lot of bucks, but it is the principle of the thing.

chappal

Agree with crvlvr. I found this to be the norm even with domestic agents for cheap tickets to India. Actually, some agents asked 4%.

freenote

in the U.K 1.5%

pkalra

the cheap fares offered does not have the margin for the agent to absorb the bank charges for C/C payment . the surcharge in OZ is anywhere between 1% - 5% depending on type of card and Agency

crvlvr

george thanks for clarifying.. if it is an expensivee package, then it seems supicious that you are being charged extra. I agree with your decision, charge first and then dispute the transaction.


Here are some of the options: you can probably use the "Overcharged" one..

I have been charged twice for the same transaction

I never authorized this charge

I am expecting a credit

I have been charged for a cancelled transaction(s)

I have not received service/merchandise

I have been overcharged

I received time/date sensitive service/merchandise too late

I am dissatisfied with the quality of the service or merchandise

I paid for the service/merchandise by other means

Other

SHIMLA

In India, there is a number of establishments which adds on a small percentage if you wish to pay through credit card; notably Indian Railways, jewellery shops and petrol pumps (better known to westerners as gas stations). This is irrespective of the value of your purchase.

__________________
Whoever said money can't buy happiness didn't know where to shop !

Nick-H

Every UK travel agent I've dealt with, including one personal friend, does this.

__________________
.


Just one member of the IndiaMike Mod Team

iyou

In the UK it's legal to charge extra for credit card transactions. Not so in the US. I got charged a surcharge in India once. When I asked about it back home the answer was ambiguous--kind of a shrug. Since it's outside the US, they said, it's outside of our jurisdiction.

__________________
.
.
.
--May a moody baby doom a yam.

edwardseco

In the US the way around it is to write "prices reflect cash discount". I still don't see the resentment against the charge as such. It may be different that the US but a lot of things will be that way in India! I do resent the hidden charge at the last moment. Would be interesting to see what luck there is in the dispute. I have heard that it doesn't work that way abroad but who knows. Not a matter of principle but saving a buck or two if its worth your time. Do it within 60 days..

Digital Drifter

He's not supposed to charge you that 2%. That's the CC commission which goes to the card company which he's trying to recover from you. This is actually an old habit which has refused to die. Back in those days of bad phones and no electronic card payment mechanisms, the agents were supposed to call the local card ph. number to check for blacklisting and/or 'kiting'. Not willing to do that for a transaction of say 200-300 Rs, they managed to pass it on to the customer. The card companies have repeatedly said, it should NOT be done.

You can still see a different form of it in restuarants and shops where a board says 'cards accepted for purchases over 500 only' though it can be any random amount.

In cities at least, this is pretty much (supposedly) gone.

Here's one thing I always try when I'm shopping for something. I pick up something and offer to pay by CC. Politely enquire if payment by cash will get an additional discount and it usually does. Step out of shop, go to the nearest ATM, pick up the cash and pay for the goods in cash. It'll save you anything from 50- 300Rs in addition to what you've bargained for an extra 20 minutes of going to the ATM.

Try it, it just might work.

LuAnnandJawahar

We charge 3% if someone wants to use a credit card. We tell people this in advance. It costs us more if someone uses a credit card. People demand cheap prices from Indian services. The margins are extremely narrow. We simply cannot and will not absorb a 3% loss.

__________________
Reject violence.

Texan1

My travel agent in Houston Texas wanted 6% for for credit card purchase for PIA flight to Pakistan. Same thing with Gulf Airways. There was no fee if I chose Emirates, Thai or British Airways. Since the later airlines costs more, I chose PIA and paid cash.
For some domestic air travel in India, Indian Airlines in ticketing office in US refused to take credit card all together. I was told only form of payment they can accept is cashier's check.

bobjohn93

We have found many stores in countries outside the States tack a service charge (what they pay the credit card company) onto the bill. This is not a hidden charge because most businesses I've seen post a sign saying it is 3% to 5% more if you charge it, especially AMEX. In your case (the original poster's message) it does appear to be a 'surprise' charge. Good luck.