Prohibits a seller from imposing a surcharge fee on a customer who uses a credit card for a transaction occurring in the state.

Rhode Island Bill: Credit Card Surcharge Ban

This bill would make it illegal for businesses in Rhode Island to charge customers an extra fee — called a "surcharge" — simply because they choose to pay with a credit card. When you swipe a credit card, businesses currently pay a small processing fee to the credit card company, and some businesses pass that cost along to customers as an added charge on top of the regular price. This bill would prohibit that practice for any transaction taking place in Rhode Island.

The bill would affect both businesses (sellers) and everyday consumers (shoppers). For consumers, it means the price you see would be the price you pay, regardless of whether you use a credit card or another form of payment. For businesses, it would mean they could no longer recover credit card processing costs by adding a visible surcharge to customer transactions. It's worth noting that businesses could still offer discounts to customers who pay with cash — that practice is treated differently under the law.

The bill falls under Rhode Island's Deceptive Trade Practices laws, meaning that charging a credit card surcharge would be considered an unfair or deceptive business practice. Currently, the bill has been referred to the House Corporations Committee and has been recommended to be held for further study, meaning it has not yet moved forward toward a full vote.