I always thought they were paid by the consumer.
I'm really sad to see the number of people who are rebelling against the thought of paying your own damned fees. Sounds like you think you're entitled to have someone else pick up your tab.
When credit cards first hit the market, the banks passed them out like candy. You didn't need to apply - you'd just come home and find a credit card in your mailbox. The retailers were the last people to get on board, and they tried to discourage the cards by passing on the extra fees to the people using the cards. The banks retaliated by getting FedGov to pass a law that prohibited retailers for charging extra for using credit cards.
Eventually, FedGov passed new laws. They said that if a bank sent you a card that you didn't apply for, you didn't have to pay for anything that was charged on it, and they repealed the law that prohibited retailers from passing on the charges. The Banksters tried to get the law through again, then failed, so they pursued it on the state level. They also added a clause that made it a breach of the contract for the retailers to pass the fees along.
Since that meant, in essence, that retailers couldn't simply jack up the cost of only the items being charged, they had to raise prices across the board to compensate. Hurrah - the economy is expanding!!!!!
BY this time, consumers demanded cards. I hate them, but I know darned well that a business that doesn't take CCs won't do as much business as one who does. But if you think that retailers have up till now absorbed the fees as a simple matter of good will, then you're badly mistaken.
If you travel all week for work , I could see trying to play the reward thing for hotels and air fare, been there before .
When I was younger I had some friends that worked at the car wash.
It was in a better part of town. One of the things they said the rich people would do was try and negotiate a reduction in the price of things like they were bartering in Mexico. They said they would ask for a discount if they used cash. They would tell the place if they didn't get the discount they would put it on their credit card and they would be getting less money anyway.
And anyway, if I got it right, that was one on the games they would play to pinch a penny. It hardly seemed worth it to me. They told me about a bunch of other ways. I can't remember any but I suppose it could be why some of them had money. They hung on tight.
Most everyone in the auction industry has been charging people for purchases on cards for years now. Heck, the buyers premium started out as a credit card transaction fee.
"Governor, if I had foreseen the use those people
designed to make of their victory,
there would have been no surrender at
Appomattox Courthouse; no sir, not by me.
Had I foreseen these results of subjugation,
I would have preferred to die at Appomattox
with my brave men, my sword in my right hand." - Robert E. Lee to Governor Fletcher S. Stockdale (D-Texas), 1870
they will be passed on in the average cost of the product. although in CA there are already gas stations with different prices for 'cash'
"Integrity means having to say things that people don't want to hear & especially to say things that the regime doesn't want to hear.” -Ron Paul
“To avoid criticism say nothing, do nothing, be nothing.” ― Aristotle