As a warm-up to what might be more intensive posting during my Korea trip (yes, I'm going!), I decided to document my observations locally. I don't have a gas card, and I don't have much brand loyalty. Consequently, I've got a fair amount of anecdotal evidence that there's some standardization across stations of a specific brand, and that not all brands treat the card fees equally.]
Note: most of my direct experience is with debit card purchases. However, debit cards are generally treated the same as credit cards, even though debit transactions typically have lower merchant fees associated with them. I'll note places where debit is treated differently than credit.
Arco:
As the article above mentioned, Arco didn't take cards until quite recently. They currently apply a $0.35 charge for debit-card customers, but that appears to be a flat fee. I don't know precisely what the merchant fees are (I'll update the post later), but a good estimate is 3%. If that's true, then Arco is not passing on the full cost of a card transaction to the customer.
Arco:
As the article above mentioned, Arco didn't take cards until quite recently. They currently apply a $0.35 charge for debit-card customers, but that appears to be a flat fee. I don't know precisely what the merchant fees are (I'll update the post later), but a good estimate is 3%. If that's true, then Arco is not passing on the full cost of a card transaction to the customer.
Mobil:
Mobil is often one of the pricier brands of gas in this area. Perhaps as a consequence, they don't charge a different rate for cash and credit/debit. This appears consistent over the handful of Mobil stations I explored in the San Gabriel Valley.
Chevron:
Chevron tends to add about 10 cents a gallon for credit and debit transactions, which translates into about 2.5% at current gas prices in Southern California. This means they're passing on the full price.
76:
76 stations seem to exhibit a bit more variability than the others. I don't know why -- maybe the franchisees generally have more freedom to set rates. I've seen some that list the same price for cash as credit/debit, but I think a majority charge about 10 cents more per gallon.
Shell:
Ugh. The Shell closest to my house charges 20 cents a gallon more for card transactions. This is about 5%, or well above what they should reasonably expect to have to pay in merchant fees. Another one a bit farther away is a bit more reasonable, and charges *only* 10 cents a gallon more for card purchases.
Mobil is often one of the pricier brands of gas in this area. Perhaps as a consequence, they don't charge a different rate for cash and credit/debit. This appears consistent over the handful of Mobil stations I explored in the San Gabriel Valley.
Chevron:
Chevron tends to add about 10 cents a gallon for credit and debit transactions, which translates into about 2.5% at current gas prices in Southern California. This means they're passing on the full price.
76:
76 stations seem to exhibit a bit more variability than the others. I don't know why -- maybe the franchisees generally have more freedom to set rates. I've seen some that list the same price for cash as credit/debit, but I think a majority charge about 10 cents more per gallon.
Shell:
Ugh. The Shell closest to my house charges 20 cents a gallon more for card transactions. This is about 5%, or well above what they should reasonably expect to have to pay in merchant fees. Another one a bit farther away is a bit more reasonable, and charges *only* 10 cents a gallon more for card purchases.
Valero:
These stations tend to be less common, and, honestly, they have the feel of an independent station. The one closest to my house charges 4 cents more per gallon for credit purchases, but charges the same as cash for debit purchases. This might have to do with the difference in fees between credit/debit, as mentioned above.
Other notes:
Of all the stations I've tried, I haven't noticed a major hold placed on my card by any of them. The policies may have changed at some point -- previously, a hold, often of more than the amount of gas purchased ($75 in some ridiculous cases) was placed on the card. This could be Very Bad Indeed, and lead to overdrafts or cards being declined if one flirted too closely with a zero balance.It's a welcome development, but I'd need to investigate further as to when this changed and why, if it is, in fact, a real change.
These stations tend to be less common, and, honestly, they have the feel of an independent station. The one closest to my house charges 4 cents more per gallon for credit purchases, but charges the same as cash for debit purchases. This might have to do with the difference in fees between credit/debit, as mentioned above.
Other notes:
Of all the stations I've tried, I haven't noticed a major hold placed on my card by any of them. The policies may have changed at some point -- previously, a hold, often of more than the amount of gas purchased ($75 in some ridiculous cases) was placed on the card. This could be Very Bad Indeed, and lead to overdrafts or cards being declined if one flirted too closely with a zero balance.
Update: it appears debit card PIN transactions aren't subject to holds. Not sure why that would be true, but that credit cards would be subject to holds. Fraud? That doesn't seem to make much sense to me. Maybe there's a different clearing mechanism for credit and debit purchases with a PIN.
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