What are card acceptance best practices?

Last updated 1 year ago

Please review the rules linked to ensure compliance with each card network’s set of rules. Failure to comply with any of the card organization rules may result in fines or penalties.

• American Express Merchant Operating Guide
• Mastercard Rules
• Visa Core Rules

The following are general suggestions based upon rules established by the card networks:

• You must prominently disclose the following to the cardholder at all points of interaction:
  • Your business name.
  • The physical address of your business must be disclosed before the cardholder is prompted to provide card information.
• The minimum credit card acceptance amount cannot exceed $10.00 and must be applied equally to all cards regardless of issuer or card brand.
• Minimum acceptance amount for debit cards are prohibited.
• Maximum credit card acceptance amounts cannot be implemented with few exceptions such as federal government entities or institutions of higher learning.
• Surcharging is not allowed for transactions processed on a debit card.
• You cannot make the acceptance of cards conditional in a way that violates card network rules, including by setting minimum or maximum transaction amounts (except for credit cards) or by requiring a cardholder to waive the right to dispute a transaction.
• Tax must be included in the transaction amount and cannot be collected in cash.
• You cannot require the cardholder to supply any personal information (e.g., home or business phone number; home or business address including zip code; or driver’s license number). The exception to this is for mail/telephone/Internet orders or delivery-required transactions, or as otherwise permitted by applicable law.
• You cannot submit a new transaction for a previous transaction that was subsequently charged back.
• You must create receipts for all card transactions (both sales and refunds) and deliver a copy to the cardholder.
• You cannot submit a card transaction to cover a bounced check or rejected ACH payment.
• You cannot submit any transaction representing the refinance or transfer of an existing cardholder obligation deemed uncollectible.
• You cannot accept consumer credit or commercial card products for collection or refinance of existing debt. Consumer debit or prepaid products are allowed for collection or refinance of existing debt.
• You can provide a discount, rebate, or incentive for a consumer to pay with different payment methods (cash, check, etc.); however, the discount must be clearly disclosed and must offer the same discount to all consumers and cannot discriminate based upon card brand or issuer.
• You may offer a free or discounted product, service, or enhanced service.
• You may offer an incentive, encouragement, or benefit.
• You may express a preferred payment method; however, you must honor all valid cards without discrimination when properly presented for payment.
• You may promote a preferred payment method through marketing materials and/or communications to a customer.
• You may discuss costs incurred by your business when accepting different types of payments.