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0 pointschrisseaton3y ago0 comments

> it’s just a way of raising the price

All fees are a way of raising a price.

0 comments

Some fees recoup costs. Some are explicitly for the purpose of getting more money from the buyer without putting it in the list price, and aren't a cost to the dealer at all.

NoSorryCannot3y ago

No, I don't think they are. For example, a credit card processing fee doesn't raise the price of a gallon of gasoline.

There is supposed to be a difference between markup and a fee. We don't have to hash out what exactly the difference is, just observe that there is a difference.

It's a common grift to hide part of the price in unadvertised "fees" so that consumers will have a harder time comparing options but it is just that, a grift. It's deception.

greedo3y ago

Uh, despite the best attempts of credit card companies to hide the fact, their card processing fees do raise the price of gasoline. Before they held as much power over gas retailers, gas stations used to list a cash price and a credit price. The cash price was usually around a nickel cheaper. But now the merchant card agreements prevent having dual pricing (though some businesses try to get away with dual pricing).

NoSorryCannot3y ago

I think we only care about the presentation of fees to consumers assessed separately from the advertised price. Countless costs of doing business (and markup) are built into the advertised price. At least it is very simple for the consumer to compare prices.

A per-transaction credit card fee doesn't raise the unit price. Getting hung up on the evolving details of gas stations and credit card processing isn't the point.

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olyjohn3y ago

Some fees recoup costs. Some are explicitly for the purpose of getting more money from the buyer without putting it in the list price, and aren't a cost to the dealer at all.

NoSorryCannot3y ago

No, I don't think they are. For example, a credit card processing fee doesn't raise the price of a gallon of gasoline.

There is supposed to be a difference between markup and a fee. We don't have to hash out what exactly the difference is, just observe that there is a difference.

It's a common grift to hide part of the price in unadvertised "fees" so that consumers will have a harder time comparing options but it is just that, a grift. It's deception.

greedo3y ago

NoSorryCannot3y ago

A per-transaction credit card fee doesn't raise the unit price. Getting hung up on the evolving details of gas stations and credit card processing isn't the point.

j / k navigate · click thread line to collapse