I am sure most of you know that merchants are charged a fee by credit card companies every time you pay with a credit card. This fee is passed on to the consumer and in turn everyone, including those who pay with cash, pays a higher price for goods and services.
A new bill, that should be signed into law next week, changes all that. You will now be able to pay a lower price if you pay with cash. (Or so they claim). Merchants can offer a discount for one form of payment over another (cash vs. check vs. credit vs. debit). Merchants will also be able to legally set a $10 minimum for credit card purchases. Hopefully the merchants will pass these savings on to the consumer.
This sounds like a pretty good law. I have always been a fan of paying with cash and it looks like I might save even more money by not using a credit card. What do you think?
This post is linking to Frugal Friday.