To play devil’s advocate though, if a 6% payment fee allows a merchant to make a sale they wouldn’t have otherwise made, then that might be a net win from their perspective. I.E. eating some decrease in profit is better than making nothing at all.
It’s basically the app version of offering interest free payments on a purchase.
Totally agree - I was just poiting out that just like 2.9% credit card fees that get ammortized over the total sales by the means of higher prices (meaning even if you use cash, you don't get a discount[1]), the 6% has to come from somewhere.
[1] Some gas stations have a different cash rate to pass the savings on to the customer
It’s basically the app version of offering interest free payments on a purchase.