Curious About Cash Vs. Credit Gas Prices
The only thing worse than shelling out $30, $40 or $50 to fill up your tank, is finding out it would have been cheaper if you had enough cash on you. It's an issue that has touched a nerve lately on wbztv.com with several people posting on our curiosity page.
Matthew from Boston wrote: Why doesn't the state do more to prevent gas stations from charging people extra fees for using a credit card?
The difference at the pump can be just a few pennies or as much as 15 cents a gallon. "It bothers me when I don't have any cash on me," one woman told us.
"It's outrageous," another customer declared.
Outrageous to some, maybe, but illegal it is not. It all comes down to semantics. Under Massachusetts law, stations can't make you pay extra for using a credit card, but they can give you a discount for cash.
That explanation doesn't satisfy Paul Yovino of Milton, who was one of the many people to declare his curiosity. "My question is why do I have to pay more per gallon for gasoline, when I'm using my debit card, which my bank tells me is the same as cash?"
Consumer advocate Edgar Dworsky told us even though we use a debit card like cash, to retailers and to the law, debit and credit cards are the same thing. "Basically it's plastic," he said. "The merchant has to pay a fee to the bank to accept the card, so it's perfectly reasonable that the discount is not going to apply in that case."
Paul also has an issue with the size of the lettering on the pumps at some stations that do charge different prices. "There's usually a very tiny lettered sign that says cash," he complained. "Sometimes you don't see it until you pull in."
That's where the law is clearly on the side of the consumer, according to Mary Maquire of AAA Southern New England. "There should be a very clear disclosure in signage that there is a difference between the cash price and the credit price," she said.
Legal or not, Paul says the difference in pricing is unfair, particularly when so many people use debit cards for all of their purchases. "Gas, as expensive as it is, you would have to carry a lot of cash to fill your tank."
Maquire says the best way to save money on gas is to shop around; prices can vary as much as 50 cents a gallon. With a little effort, you should be able to find a station with a good price that applies to either cash or credit.
Check out WBZ's gas price patrol to help find the best prices in your neighborhood.
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