WHOA!!! That is outrageous! I’m glad I just started following you! – Justin Korn

I’ve heard of this happening from time to time lately, but this was standard in like 1983… Back to the future? – Jay Wiegmann

the WaWA stations around the Philly,NJ, DE region take 10c or more off for paying cash. – clarke thomas via twhirl

Debit card too? Anyone know? – zoblue

There’s a gas station down the road from me. I think it’s Giant. They list the price on the sign and then in dark letters on a dark background it says "cash." At night, you can’t read it till it’s too late. – Jason Shultz via twhirl

None of this is new folks. We went thru this in the late 70s/early 80s. – Steve Gillette via twhirl

LOL Marc. None. I made it up to express my emotions. Just fill in the blanks. ;-) – AJ Batac

I have yet to see a gas station in Southern California that does this but then again I only get my gas at Costco. – Michael Narciso

Yes, this was common in the 1980s. It was widely outlawed, no? – James Joyner

it does make some sense, the retailer will lose money on the credit card purchase b/c of having to pay the fee to the CC company for use of their product. – clarke thomas

@Michael: Almost every AM/PM I’ve seen in California and Arizona does it. They don’t charge per gallon, but they do charge a one time fee. Usually at least .35. and you have to know your cards pin #. – Jason Shultz via twhirl

Still happening here in New Jersey – the difference is typically 8-10 cents, and that’s why I use cash. – Scott Kitchen

Blogged about this here: http://www.outsidethebeltway.c…. Credited you. – James Joyner

This is an on-going issue on a lot of fronts not just gasoline. We have discussed offering rebates to clients that pay by check vs cc as the s/c’s that we get hit with by the cc companies are outrageous compared to our bank’s fee structure. The flip side is that a lot of folks use their cc for the points or other gimmes. As well as from a corporate accounting perspective, it is quite easy to track expenditures as they relate to profit and loss when cc is the method of payment. – Mathew A. Koeneker

Steve: I wasn’t buying gas in the 70/80′s, so I was shocked to here this, particularly now when prices are so high. – Justin Korn

Clarke: If you are a retailer and you accept Credit Card, you adjust your prices accordingly or set a minimum purchase so that the credit card fee is worth your while. – Justin Korn

Jason: AM/PM puts this charge up front and does not at any time sneak it in while you are at the gas tank. They have always done that and people (i think) are generally aware of it. – Justin Korn

Justin, l0ckergn0me (Chris Pirillo) is a great guy to follow, even before FriendFeed. His site is all about making technology understandable. Plus, he has a sweet PC setup in his office. – J. Phil

@Justin They make you aware of it when you pull up to the tank and then try to pay by card only to have to walk to the center of the island and then read the little sticker saying they are charging you a convenience fee. It’s not a convenience when I have to leave my car and walk over to an atm and do it all there and then have to go back later to get my receipt. – Jason Shultz via twhirl

J.Phil – Thanks for the tip…I’ll need to get acquainted with Chris and maybe someday check out this sweet PC setup – Justin Korn

@Jason – True, but my point is this video that was shared is a shock and totally absurd. For a gas company to slip the surcharge in at the tank with no warning, notice, nothing…that is wrong and possibly illegal. AM/PM has been charging a credit card fee for years, that’s their policy, always has been (and their gas is typically cheaper too). – Justin Korn

One last thing….AM/PM calls it a "convenience fee" to make it sound nice and sweet. really it’s a, "we are being charged, so we are passing that fee on to you" fee and being nice about it. – Justin Korn

Merchants are allowed to DISCOUNT for cash. However, Visa and MasterCard DO NOT allow merchants to charge a fee for using a credit card. If you see them doing this, report it to your credit card company. You can report to MasterCard here: http://www.mastercard.com/us/p… – Jeremy Brooks

@Justin: I agree with you on both points. The video was definitely a shock fest and what some of those companies are doing probably is illegal. Second, AM/PM does eventually disclose what it’s doing. A couple of years ago, that .35 meant something. they weren’t always cheaper. now, your right, it doesn’t really mean much at all. – Jason Shultz via twhirl

@Jason: AM/PM does not charge for credit card transactions (in fact, last time I checked, they don’t accept credit cards). They charge for DEBIT transactions, which is allowed by bank’s terms of service. – Jeremy Brooks

In my area Chevron, Shell, and Mobile have empty gas pumps throughout the day. Arco and 76 are filled to the brim with cars. I really do hope Chevron and Shell feel the pain. – Michael Narciso

@Jeremy: you can use your credit card at am/pm if you know the pin number for it. – Jason Shultz via twhirl

As much as I agree with the dislike of the practice, I am more burned by the rates merchant account companies charge for the ability to take credit cards. With gas especially, a percentage is just not feasible when rates climb. The percentage cuts into the already extremely narrow profit (pennies) the gas station makes. There should be a different rate structure for gas stations if Visa/MC want to keep this business. – Jeremy Hall

@Jason: Maybe they have changed; the last time I was at an AM/PM, they didn’t accept any type of credit card, PIN or not. They only accepted debit cards. – Jeremy Brooks

Jeremy, it is entirely possible/probable that it is I that was wrong. I was under the impression that you could. Your probably right. – Jason Shultz via twhirl

I’ve been using CC’s issued by the gas companies Union 76 & Chevron here in California for over 20 years and have never seen a fee or cash discount imposed for their use. – Jeff P. Henderson