Surcharge Disclosure

Last Updated: January 18, 2026

This disclosure provides transparent information about credit card surcharge programs offered by Business Profit Strategies. We are committed to full compliance with all card brand rules and state regulations.

What is a Credit Card Surcharge?

A credit card surcharge is a fee added to a transaction when a customer chooses to pay with a credit card. This fee covers the merchant's cost of processing the credit card payment. When implemented correctly, this allows businesses to offer lower "cash prices" while maintaining transparent pricing for credit card users.

Maximum Surcharge Percentage

In compliance with card brand rules:

  • Maximum surcharge: Cannot exceed the actual cost of processing or 3%, whichever is lower
  • Typical surcharge range: 2.5% - 3.0%
  • Surcharges are calculated on the transaction total before tax
  • The surcharge amount is displayed as a separate line item on receipts

State Restrictions

Credit card surcharging is prohibited in the following states:

  • California (CA)
  • Colorado (CO) - certain restrictions
  • Connecticut (CT)
  • Maine (ME)
  • Massachusetts (MA)

If your business operates in these states, alternative programs such as cash discounting may be available. Contact us for state-specific guidance.

Idaho permits credit card surcharges when properly disclosed and implemented in compliance with card brand rules.

Debit Card Policy

Important: Surcharges may NOT be applied to:

  • Debit card transactions (even when processed as "credit")
  • Prepaid card transactions
  • Gift card transactions

Our systems are configured to automatically detect card types and apply surcharges only to eligible credit card transactions.

Customer Disclosure Requirements

All surcharge programs include proper customer notifications:

  • Point of Sale Signage: Clear signage at the entrance and checkout indicating surcharge policy
  • Receipt Line Item: Surcharge shown as a separate line item on all receipts
  • Pre-Authorization Disclosure: Customers informed of surcharge before completing transaction
  • Online Disclosure: Surcharge disclosed in shopping cart before payment

Card Brand Notification Requirements

Before implementing a surcharge program:

  • Mastercard: Requires 30-day written notice before surcharging
  • Visa: Merchant registration required through acquirer
  • Discover: Must follow Discover Network guidelines
  • American Express: Subject to merchant agreement terms

Business Profit Strategies handles all card brand notifications and registrations on behalf of our merchants.

Receipt Requirements

All transaction receipts must clearly display:

  • Subtotal (before surcharge)
  • Surcharge amount as a separate line item
  • Surcharge percentage applied
  • Total amount charged to card

Questions About Surcharges

For questions about our surcharge programs or to verify compliance in your state:

Business Profit Strategies

Phone: 208-280-1995

Email: info@bpszerofess.com