Paper cheques have made a comeback, as retailers try to avoid high transaction fees on credit cards, according to the Bank of Canada. The Department of Finance has for years threatened to regulate card fees, though no legislation has been introduced to date..“Merchants mentioned accepting a wider range of payment methods because they need to make sales and accommodate an equally wide range of consumer preferences for payments,” said a Bank report 2021-2022 Merchant Acceptance Survey Pilot Study. Researchers said small businesses nationwide were more likely to take payment by cheque than mobile app..The survey said 54% of small retailers accepted payment by cheque last year compared to 34% in 2018. By region the use of cheques was highest in Atlantic Canada at 70% of businesses surveyed followed by the Prairies (67%), Ontario and Québec (54%) and British Columbia (37%)..Business owners told the Bank that cash remains “the fastest and most reliable payment method and has the lowest fees.” Credit cards were least popular due to so-called “swipe fees” that average 1.5 to 3%. “We find most small and medium-sized merchants surveyed still accept cash in their stores and plan on accepting it in the future,” wrote researchers..The Department of Finance in 2021 held online consultations on federal regulation of transaction fees on credit cards. No legislation resulted..The department since 2010 has promoted a voluntary Code Of Conduct on credit card issuers and repeatedly rejected private bills introduced in the Commons and Senate to regulate swipe fees. Visa and MasterCard that process 94 % of all credit card transactions in Canada collect an estimated $5 billion a year in fees on retailers..Australia has regulated credit card fees since 2003. The European Union in 2015 adopted Interchange Fees Regulations that capped charges at 0.3%..Bill C-243 An Act To Amend The Payment Card Networks Act to mandate federal regulation of swipe fees lapsed in the last Parliament. “Who do we work for?” Bloc Québécois MP Alexis Brunelle-Duceppe (Lac-Saint-Jean, Que.), sponsor of the bill, earlier told the Commons. “The answer is simple. We work for the people including those who run a business.”.The Canadian Federation of Independent Grocers in 2020 testimony at the Commons finance committee said tight profit margins, about 1.5%, were squeezed by swipe fees. “The gap that exists between what the main street small business in this country pays and what companies such as Walmart pay is indefensible,” testified Gary Sands, senior vice-president. “It’s inexcusable.”.Walmart in 2016 threatened to suspend all Visa transactions at its Canadian stores over “unacceptably high fees.” The retailer estimated it paid $100 million annually in transaction fees on all credit cards..“If Walmart can get 0.89% why can’t other small and medium-sized businesses in this country get the same?” said the Independent Grocers’ Sands. “The amount of money we’re talking about is billions of dollars.”.This is what the Western Standard is up againstThe Trudeau government is funding lies and propaganda by directly subsidizing the mainstream media. They do this to entrench the powerful Eastern, woke and corrupt interests that dominate the political, social and economic institutions in Canada. Federal authorities are constantly trying to censor us and stop us from publishing the stories that they don’t want you to read. Ottawa may weaponize our taxes and police against us, but we’ve got a powerful ally on our side.You. Free men, and free women. We need you to stand with us and become a member of the Western Standard. Here’s what you will get for your membership:Unlimited access to all articles from the Western Standard, Alberta Report, West Coast Standard, and Saskatchewan Standard, with no paywall. Our daily newsletter delivered to your inbox. .Access to exclusive Member-only WS events.Keep the West’s leading independent media voice strong and free.If you can, please support us with a monthly or annual membership. It takes just a moment to set up, and you will be making a big impact on keeping one the last independent media outlets in Canada free from Ottawa’s corrupting influence.
Paper cheques have made a comeback, as retailers try to avoid high transaction fees on credit cards, according to the Bank of Canada. The Department of Finance has for years threatened to regulate card fees, though no legislation has been introduced to date..“Merchants mentioned accepting a wider range of payment methods because they need to make sales and accommodate an equally wide range of consumer preferences for payments,” said a Bank report 2021-2022 Merchant Acceptance Survey Pilot Study. Researchers said small businesses nationwide were more likely to take payment by cheque than mobile app..The survey said 54% of small retailers accepted payment by cheque last year compared to 34% in 2018. By region the use of cheques was highest in Atlantic Canada at 70% of businesses surveyed followed by the Prairies (67%), Ontario and Québec (54%) and British Columbia (37%)..Business owners told the Bank that cash remains “the fastest and most reliable payment method and has the lowest fees.” Credit cards were least popular due to so-called “swipe fees” that average 1.5 to 3%. “We find most small and medium-sized merchants surveyed still accept cash in their stores and plan on accepting it in the future,” wrote researchers..The Department of Finance in 2021 held online consultations on federal regulation of transaction fees on credit cards. No legislation resulted..The department since 2010 has promoted a voluntary Code Of Conduct on credit card issuers and repeatedly rejected private bills introduced in the Commons and Senate to regulate swipe fees. Visa and MasterCard that process 94 % of all credit card transactions in Canada collect an estimated $5 billion a year in fees on retailers..Australia has regulated credit card fees since 2003. The European Union in 2015 adopted Interchange Fees Regulations that capped charges at 0.3%..Bill C-243 An Act To Amend The Payment Card Networks Act to mandate federal regulation of swipe fees lapsed in the last Parliament. “Who do we work for?” Bloc Québécois MP Alexis Brunelle-Duceppe (Lac-Saint-Jean, Que.), sponsor of the bill, earlier told the Commons. “The answer is simple. We work for the people including those who run a business.”.The Canadian Federation of Independent Grocers in 2020 testimony at the Commons finance committee said tight profit margins, about 1.5%, were squeezed by swipe fees. “The gap that exists between what the main street small business in this country pays and what companies such as Walmart pay is indefensible,” testified Gary Sands, senior vice-president. “It’s inexcusable.”.Walmart in 2016 threatened to suspend all Visa transactions at its Canadian stores over “unacceptably high fees.” The retailer estimated it paid $100 million annually in transaction fees on all credit cards..“If Walmart can get 0.89% why can’t other small and medium-sized businesses in this country get the same?” said the Independent Grocers’ Sands. “The amount of money we’re talking about is billions of dollars.”.This is what the Western Standard is up againstThe Trudeau government is funding lies and propaganda by directly subsidizing the mainstream media. They do this to entrench the powerful Eastern, woke and corrupt interests that dominate the political, social and economic institutions in Canada. Federal authorities are constantly trying to censor us and stop us from publishing the stories that they don’t want you to read. Ottawa may weaponize our taxes and police against us, but we’ve got a powerful ally on our side.You. Free men, and free women. We need you to stand with us and become a member of the Western Standard. Here’s what you will get for your membership:Unlimited access to all articles from the Western Standard, Alberta Report, West Coast Standard, and Saskatchewan Standard, with no paywall. Our daily newsletter delivered to your inbox. .Access to exclusive Member-only WS events.Keep the West’s leading independent media voice strong and free.If you can, please support us with a monthly or annual membership. It takes just a moment to set up, and you will be making a big impact on keeping one the last independent media outlets in Canada free from Ottawa’s corrupting influence.
