The EU ban on credit card processing fees comes into play on 13 January 2018, making it illegal to charge more for payments made via credit card. The change in legislation has prompted many questions, including one very important question for anyone booking a holiday; will prices go up to compensate for the ban on credit card fees?
Here are your questions about the credit card surcharge ban answered…
Will travel agents be affected by the credit card charge ban?
Yes. The new directive, officially known as the Payment Services Directive (PSD2), will make it illegal for any business to charge extra for using a debit or credit card. This includes travel agents.
Does the ban on credit card charges apply to all card types?
Yes. The ban on processing fees will apply to payments made using credit and debit cards from Visa, Mastercard, PayPal and American Express. A decision is yet to be made on whether the ban will extend to charge cards, such as Amex and Diners.
Will prices go up as a result of the credit card charge ban?
So, to the question everyone really wants to ask; will the price of my holiday go up as a result of the ban on credit card charges? The answer is no, not when you book with Bolsover Cruise Club. Unlike some other travel agents, who will be applying additional fees and charges to payments made by card, we won’t be increasing our prices to cover the cost of processing card transactions.
How much will the ban on credit card charges save me?
At the moment, some companies may charge cardholders fees of up to 3%, while others charge a flat fee regardless of the amount spent. Once the credit card surcharge ban comes into play on 13 January 2018, Bolsover Cruise Club will remove its 1.5% credit card processing fee entirely.
So, the credit card surcharge ban could save you a substantial amount if you are booking a holiday with a cruise operator who previously charged credit card fees prior to the ban.
Still stumped when it comes to credit card fees on your holiday? Give our experts a call on 01246 819819 and let them take care of all your questions.