ShallowsNole
Beach Fanatic
And both of the banks I use have replaced my old atm and debit cards with VISA debit cards, effective yesterday. 
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Life may take VISA, but Government Offices Cant
- Thread starter Chief Deputy TC
- Start date
Matt J
SWGB
And both of the banks I use have replaced my old atm and debit cards with VISA debit cards, effective yesterday.
That sucks, just used my MC check card at the county office the other day. Just $40 and I got a brand new license plate.
Sarah Moss
Beach Lover
Better Explanation from Orlando
Visa isn't forcing fees for every single transaction or every single customer, they just want the tax collector to pay the same fees as every other business. Of course this expense would become part of the Walton Co. Budget, so technically, yes, it is passing fees on to everyone. But I would have liked for Rhonda Skipper to be more upfront about the decision like this article from the Orlando Sentinel.
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Life may take Visa, but Orlando area tax offices might not
By Jeannette Rivera-Lyles
Sentinel Staff Writer
May 1, 2009
Central Florida tax collectors are dropping Visa over a dispute about a fee to cover credit-card transaction costs.
As of today, the Orange County tax collector will stop honoring Visa cards for any kind of transaction at any of the offices and on the Web site.
Tax collectors in Osceola, Polk, Lake and Volusia counties, for now, will accept Visa online but not at any of their offices. They say they have no other choice because Visa is prohibiting them from charging a user fee to cover what it costs to process payments made with the cards.
"I can't eat that cost," said Polk County Tax Collector Joe Tedder. "And I can't add a little bit more to your tax bill to cover the cost of processing the credit card you might or might not use."
Florida law does not allow government agencies to spread the cost of the transactions to all of their customers, especially those who pay with cash.
Merchants cover that expense by adding it to their prices.
The tax collectors' decisions apply to more than property-tax payments. The decisions extend to drivers-license renewals, car-tag fees, occupational licenses, and fishing and hunting permits. In an e-mail, a Visa spokesman said the situation was a misunderstanding but would not elaborate.
"Visa Inc. does allow U.S. merchants to charge convenience fees on Visa transactions if they meet certain criteria," Ted Carr said. "Acceptable convenience fees are always flat or fixed, not a percentage of the sale, and must be included in the total transaction amount."
But the tax collectors say Visa told them to stop charging the user fees or they could face legal repercussions.
Tedder calls Visa's stance a bullying tactic.
"Visa believes they are the big dog on campus," he said. "They dominate the market, so they think they can dictate policy in this area. Fine. We choose not to do business with them."
Visa isn't forcing fees for every single transaction or every single customer, they just want the tax collector to pay the same fees as every other business. Of course this expense would become part of the Walton Co. Budget, so technically, yes, it is passing fees on to everyone. But I would have liked for Rhonda Skipper to be more upfront about the decision like this article from the Orlando Sentinel.
-----------------------------------------------------------------------------------------------------
Life may take Visa, but Orlando area tax offices might not
By Jeannette Rivera-Lyles
Sentinel Staff Writer
May 1, 2009
Central Florida tax collectors are dropping Visa over a dispute about a fee to cover credit-card transaction costs.
As of today, the Orange County tax collector will stop honoring Visa cards for any kind of transaction at any of the offices and on the Web site.
Tax collectors in Osceola, Polk, Lake and Volusia counties, for now, will accept Visa online but not at any of their offices. They say they have no other choice because Visa is prohibiting them from charging a user fee to cover what it costs to process payments made with the cards.
"I can't eat that cost," said Polk County Tax Collector Joe Tedder. "And I can't add a little bit more to your tax bill to cover the cost of processing the credit card you might or might not use."
Florida law does not allow government agencies to spread the cost of the transactions to all of their customers, especially those who pay with cash.
Merchants cover that expense by adding it to their prices.
The tax collectors' decisions apply to more than property-tax payments. The decisions extend to drivers-license renewals, car-tag fees, occupational licenses, and fishing and hunting permits. In an e-mail, a Visa spokesman said the situation was a misunderstanding but would not elaborate.
"Visa Inc. does allow U.S. merchants to charge convenience fees on Visa transactions if they meet certain criteria," Ted Carr said. "Acceptable convenience fees are always flat or fixed, not a percentage of the sale, and must be included in the total transaction amount."
But the tax collectors say Visa told them to stop charging the user fees or they could face legal repercussions.
Tedder calls Visa's stance a bullying tactic.
"Visa believes they are the big dog on campus," he said. "They dominate the market, so they think they can dictate policy in this area. Fine. We choose not to do business with them."
ShallowsNole
Beach Fanatic
I don't know how Rhonda could have been any more upfront about it than she was - from Deputy Chief Cory's post above, she and Cory are saying exactly the same thing that Joe Tedder from Polk County is saying. At least, that's what I understood, when I read it.
I also can't speak for the Tax Collector's office, but the constitutional office I work for has to charge an upcharge on credit card payments. For example, let's look at a marriage license. A happy couple pays $93.50 if cash or check. That $93.50 is by law split into about 15 different funds. We cannot "short" those funds by absorbing credit card fees like a retail merchant can. So, the fee is tacked on top for happy couples wishing to use a credit card.
The job function I devote my work day to chose to offer payment by e-check instead of credit card, due to the size of our transactions. I will have to ask on Monday if we are still accepting Visa for the things we take credit cards for, or if we are being blindsided by this as well.
I also can't speak for the Tax Collector's office, but the constitutional office I work for has to charge an upcharge on credit card payments. For example, let's look at a marriage license. A happy couple pays $93.50 if cash or check. That $93.50 is by law split into about 15 different funds. We cannot "short" those funds by absorbing credit card fees like a retail merchant can. So, the fee is tacked on top for happy couples wishing to use a credit card.
The job function I devote my work day to chose to offer payment by e-check instead of credit card, due to the size of our transactions. I will have to ask on Monday if we are still accepting Visa for the things we take credit cards for, or if we are being blindsided by this as well.
GoodWitch58
Beach Fanatic
They both seem to be saying the same thing to me. What difference do you see in what Orange Co. and what Walton Co. did?
Matt J
SWGB
The first mistake here is referring to government as a business. It's not. Second, everyone acts as though Visa is losing something here. Their not either. Yes, they are loosing the revenue from the processing fee that is normally deducted from the total purchase, but they are still earning the interest that accumulates on the balance collected until it is transferred to the county's coffers. Most credit card companies are about a week. Depending on how much they take in they are still making a pretty tidy profit on moving money. Factor in that many of those payments won't be paid off immediately and then you can throw in the added bonus of interest charges.
This isn't an issue of Visa hurting, it's a matter of Visa being a money hungry machine that apparently doesn't understand the concept of bad publicity over a profit not always working.