HUNG SQ. I am replying to one of my own replys RE: Credit Cards VS Debit Cards.
To the seller of a product that accepts credit card purchases are charged a fee (20 yrs ago it was 3%) Example: You see a $100 handgun (humor me) that you just gotta have. If you buy the gun, $100 plus tax, appears on your statement right? The original dealer only receives $97 out of the 100 sale. He has to pay 3% to say, VISA, for handling the transaction.
Now if you had paid in cash the dealer gets the full $100 (plus tax) right. This is the beginning of my "haggle Room". I will ask the seller if her takes VISA, to which he answers, Yes. I ask if he prefer cash? Watch his face. If it shows a little extra joy there, it's because he thinks you are gonna pay $100 plus tax in CASH right? You see if you use a pure credit card the dealer will trim his margin by 3% (loss) he still has to hand VISA 3%.
If you paid him $100 plus tax in cash, he just gained 3% additional profit, right? I may say, "tell ya what, sell it to me for $98 and I'll pay cash. Now you and he are sharing in the 3% (and ur paying less tax). Win-Win especially for the honest dealer who doesn't figure an extra 3% on every sale- if nothing else, not all of his sales would be on credit, would they?
I certainly don't begrudge a seller a fair profit, but maybe he shouldn't be the only deciding what is fair.
If I am a seller(this is me) if a potential buyer shows real interest in a piece, I state cash/credit right. I'm gonna tell him, "that VISA is gonna result in you payin too much", then I (the seller) negotiate honestly with the guy, and most of the time it is a split= Win/Win.
TO YOU A DEBIT CARD SEEMS THE SAME AS CASH, REMEMBER TO THE SELLER, HE STILL HAS TO PAY A FEE!
Last edited on Mon Oct 6th, 2008 10:03 pm by Alec411
|
