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Credit Card Surcharging

GoTab has developed a new surcharging feature to help you offset the cost of credit card processing fees that allows operators to automatically pass costs to your customers while being in full compliance with current rules. As required by card brand rules, our surcharging feature does not apply surcharges to debit, prepaid, or gift card transactions (any method other than credit cards). Additionally, the maximum percentage allowable to be passed along to customers is 3.0%. If you choose to implement GoTab’s surcharging feature, you must comply with all card network requirements for surcharging. Some of the key requirements are outlined below, but please seek additional details directly from Visa and Mastercard for full compliance.

  • Merchants located in states where surcharging is prohibited are not eligible, including Connecticut, Maine, Massachusetts, and Oklahoma.
  • Merchants outside of the US, including US territories are not eligible
  • Merchants in Colorado can charge a maximum Credit Card Surcharge of 2.0%.

Additionally, GoTab recommends that you inform and train your staff on how Credit Card Surcharging works to effectively inform and answer guest questions. This includes disclosures on menus, in seating areas, etc. The most important detail to communicate is that surcharging applies to credit card transactions only.

We recommend that your staff be prepared for this inevitable question. The best answer in our opinion is something to this effect.

Printed itemized receipt reflecting the 3% credit surcharge with credit card signature slip. Credit Card Slip with Credit Surchage Itemized Receipt GoTab Customer Facing Display (CFD) reflecting the regular total, as well a credit total. CFD Total With Credit Total and Fee Credit surcharge fee reflected in the POS. POS Credit Surcharge Credit Card Surcharging Laws In addition to the card network surcharging rules laid out above, operators are required to adhere to federal and state credit card surcharging laws prohibiting deceptive or misrepresented disclosures. Currently, these states prohibit credit card surcharging: Connecticut, Maine, Massachusetts, and Oklahoma. Colorado currently may also limit the maximum credit card surcharge allowed. Laws are subject to change at any time. Aside from any states prohibiting credit card surcharging, it is your responsibility to adhere to any other laws that may apply to your location. These laws can change at any given time so please be sure to verify if your establishment is subject to any additional requirements, disclosures or signage regarding credit card surcharging. GoTab’s Credit Card Surcharging program allows you to properly assess credit card surcharges to a guest in compliance with credit card company rules and regulations. GoTab may disable any fees or service charges on our platform that are intended to circumvent proper credit card surcharging. Such attempts pose a high risk of non-compliance with credit card network rules. Non-compliance can lead to card network fines starting at $1000 for the first violation, increasing quickly from there. As it stands, Visa is currently strictly enforcing non-compliance rules and other major card companies may soon follow in Visa’s crackdown.