Federal government reaches agreement to cut credit card fees for business owners
A Winnipeg business owner facing the pressure of high credit card fees is praising a federal move to lower them.
Along with the Federal Budget 2023 announcement Tuesday, the federal government announced it had come to an agreement with MasterCard and Visa to reduce credit card fees by as much as 27 per cent for small business owners.
Kari England, the owner of Toad Hall Toys, said the announcement to lower fees has been a long time coming.
"It's been on the radar for a really long time,” England said. "It's over $5,000 a year just in these little percentage fees. But then as I say that, there's also renting of machines."
On top of her usual fee to have credit cards, England said there are extra charges if the card has a chip, is a rewards card, or if she needs to enter the card number by hand. She estimates she spends $10,000 a year to accept credit cards in her store.
England said she is glad to have the payment option, but how they take credit cards has changed since her parents opened the shop almost 50 years ago.
"We used to have one of the ‘chink-kah-chink’ machines and everybody has their card. And then we had to hand enter them.”
She said the quicker payment is a trade off, but the fees are too high. She is glad to see the feds take the step to negotiate smaller fees.
''Unfortunately as of now we don't have any of the details of that agreement," said Jasmin Guénette, vice president of national affairs at the Canadian Federation of Independent Business.
She said it is something the federation is hoping to see that in the weeks to come.
"If you're a small business that has a lot of credit card fees, if you are in retail if you're a restaurant owner, these are things that you recognize that are an increased cost pressure that you've had to deal with,” Manitoba Chambers of Commerce President and CEO Chuck Davidson said.
He says any help for businesses is welcome after recent pandemic and economic pressures.
"These additional costs on business is something they've had to deal with. So something that's going to put more money back into their pocket is something that's a good thing."
Davidson said he is still waiting for the federal government to announce details on how the cuts will work.
CTVNews.ca Top Stories
Poilievre will do 'anything to win,' must condemn Alex Jones endorsement: Trudeau
Prime Minister Justin Trudeau is ramping up his attacks on Conservative Leader Pierre Poilievre as he promotes his government's federal budget.
'My stomach dropped': Winnipeg man speaks out after being criminally harassed following single online date
A Winnipeg man said a single date gone wrong led to years of criminal harassment, false arrests, stress and depression.
New evidence challenges the Pentagon's account of a horrific attack as the U.S. withdrew from Afghanistan: CNN exclusive
New video evidence uncovered by CNN significantly undermines two Pentagon investigations into an ISIS-K suicide attack outside Kabul airport, during the American withdrawal from Afghanistan in 2021.
'One of the single most terrifying things ever': Ontario couple among passengers on sinking tour boat in Dominican Republic
A Toronto couple are speaking out about their 'extremely dangerous' experience on board a sinking tour boat in the Dominican Republic last week.
All Alberta wildfires to date in 2024 believed to be human-caused: province
There are 63 wildfires burning in Alberta's forest protection area as of Wednesday morning and seven mutual aid fires, including one in the Municipal District of Peace.
Video shows suspects waving weapons, smashing glass in Toronto jewelry store robbery
Arrests have been made after five men were captured on video rampaging through a jewelry store in Toronto, waving weapons and smashing glass display cases.
Pilot proposes to flight attendant girlfriend in front of passengers
A Polish pilot proposed to his flight attendant girlfriend during a flight from Warsaw to Krakow, and she said yes.
Ottawa injects another $36M into fund for those seriously injured or killed by vaccines
The federal government has added $36.4 million to a program designed to support people who have been seriously injured or killed by vaccines since the end of 2020.
Ex-SNC executive sentenced to prison term in bridge bribery case
The RCMP says a former SNC-Lavalin executive has been sentenced to three and a half years in prison in connection with a bribery scheme for a bridge repair contract in Montreal.