So then pay by eCheck for the minimal/reasonable $2 fee. Why should you expect them to eat the ~3% fee that they incur should you choose to pay by credit card?

Exactly. Nont enought people understand that when you pay someone "$1000" with a credit card. You are actually only paying them $970. i.e. you're not paying them your full rent.

People shouldn't have to understand it; it should be baked into the cost of the product up front. Don't tell me rent is $1400 (plus some extra amount), tell me rent is $1445. Don't tell me the product is $5 (plus 6% sales tax), tell me it's $5.30.

If you want to charge me $1000, then put the price at $1030 or whatever your fees come out to. Anything else is disingenuous.

It's not though. This is a very American attitude because that's just how it's been in America. But now companies (and customers) are realizing that this is bullshit.

People want lower prices, so one way companies can lower the price is to pass the credit card fee on to the consumer, while also giving them the option of using a different payment method with a lower fee.

Personally I would always pay with cash/e-check if there was a financial incentive to do so. Offering the same price for both is just silly since the cash customers are basically subsidizing the credit card customers.

A better way to do this is by offering a "cash discount", so the stated price is never added to, only subtracted.

So why not have rent be the cost of the lowest price payment method, with an extra charge for paying with a card being the cost of the card fee minus the cost of the fee with the lowest cost option? Then there's a "free" option where you're paying the price that you were quoted, or the option to pay a convenience charge for using a card? Telling someone rent is $X when rent is actually $X + $Y is ridiculous.

And I'm not sure your point on "a very American attitude". I live in America, so... yes? When I tell someone my address, they don't look down their nose and say "that's a very American address". Of course it's American. That's where I live. Contrary to some opinions, American things aren't always automatically wrong just because they're American. I'm sure if I lived in Belgium I would pay tax and VAT and credit card processing fees and think nothing of it. But I don't live in Belgium. I'd have the same reaction if my landlord asked me to pay rent in Yen just because there was a favorable exchange rate for him.

My point is that, Americans expect paying with credit card to be the same as paying with cash. In a lot of other nations, that expectation does not exist.

And you're right- a better way to do it is to have the lowest fee added to the cost.

Companies have always realized that CC merchant fees are bullshit; but their agreements are also bullshit and some even prevented merchants from merely informing customers of the fees.

Great point.

But the fees differ depending on your payment method, so you'd be overcharging your checking account users, giving them incentive to move away.

Why should it be baked in if you do not have to pay with a credit card? Rent is not $1445 because you don't have to pay that much. You would have a point if you said that rent is $1402.

You don't want all these taxes and charges mixed into the price because them people are oblivious to the fact that they are being skimmed by the government and credit card company: that there is a portion of the income that isn't for the actual product or service. ("Hidden charges are bad" principle).

The issue in credit cards is that merchants are in fact required to hide the cost: they are not allowed to charge extra for credit card transactions. Likewise, they are not allowed to give a discount for cash transactions. ("Hidden charges are bad: so banks like them!")

The apartment building may in fact be breaking the merchant agreement by applying this charge. This is a good thing; vendors should fight against that hiding.

See, if rent is $1400 and you can pay exactly $1400 by any method: credit card, check or cash, then you're being ripped off if you don't use a credit card! They are pocketing the merchant fee that they would have had to pay on the credit transaction. Why would you care, it's $1400 to you either way, right? Wrong: if you use credit, you "earn" points. If you have a credit card that earns 2% of purchase prices in points, you get 28 points, and if these points can be be converted 1:1 for dollars in some way (like buying an airline ticket), that's 28 bucks! So it's like you're really paying $1372 for your rent, and getting a $28 kickback. The building coughs up a merchant fee, and some of that is kicked back to you in the form of points. Doesn't that person paying by check look like a complete sucker now, if the amount is the same for all methods of payment?

The card user is effectively getting a discounted rent, and supporting the leeching credit card company too, which gets a cut of the discount. Why should the building support that? If rent is $1400, it is not fair that someone pays only $1372, after getting a $28 kickback in points, which comes out of a $50 fee that the building has to pay. The building is robbed of operating income, which means that the rents are higher than what they should be.

Now vendors of goods like credit cards and pay the fees, and comply with the rules of hiding the fees, and not offering cash discounts. Why? Because credit cards encourage rampant consumerism. They bring in business.

The apartment building doesn't need this argument: you owe rent and that's it.

Interestingly, the IRS in the US evidently allows taxes to be paid by credit card. But there is a charge:

http://www.irs.gov/uac/Three-Ways-to-Pay-Your-Federal-Income...

The same arguments apply: without a charge, you'd be getting a tax break, analogous to the rent break. The government is not a store; it does not need to attract "customers" to pay taxes.

As I understand/recall it, discounts for paying in cash were always permitted by the merchant agreements.

As of early last year, credit card surcharges are also now permitted by Visa/Mastercard: http://www.cardfellow.com/blog/checkout-fees-charging-credit...

That sounds illegal. What country/state are you in?

In the state of CA, the payment terms must be in the lease:

If the agreement does not specify the form of payment, any form will be considered acceptable. If rent can be paid in person, the agreement must include the days and hours payment will be accepted. If rent can be paid only by mail, then it is presumed paid on the date it is mailed, if the tenant can show proof of mailing. If rent can be deposited at a financial institution, the owner must disclose the account number and name and address of the institution, which must be within five miles of the tenant's residence.

US, FL. Same thing.

It's absolutely absurd. If I paid by credit card, by the end of the year I would have essentially paid an entire month's rent in fees.

I'm curious if you could force them to take cash by paying during a grace period at the beginning of the month. If the month already started then your contract could be setup so that you already owe them all the money for the month. If you owe them money then paying cash is basically _always_ a legal payment option, as in, they cannot refuse your money because it's cash and then say you didn't pay. Make sure to ask for a receipt.

This assumes you're in the US though, and you would have do get a kick out of yanking their chain, willing to play the game, etc, but it could be fun/funny.

Those numbers may reflect the actual cost of the credit card transaction for them. But still, you should be able to do at least a bank transfer

What about bank transfer?

When I've asked, I was told the only options are what is listed on their website. The suggestion is eCheck, as it's cheapest.

Additional fees (including the common "plus tax" at the store) are a scam and should be abolished. If that were the case, the MTA issue in the article wouldn't matter.

The problem is your landlord wants your full rent amount and it depends on how you pay them. If you pay through a medium with fees, I'd argue you should pay those fees.

It should be made apparent how they accept money and what the associated fees are before you sign your lease. That's the only malice I see.

The landlord should build the fee into the price for the cheapest method of accepting payment.

Apartment rental companies in the US don't usually accept wire transfers (which is crazy itself), but they usually accept checks, and fortunately you can write an exact amount on a check.