Potential New Telus Credit Card Processing Fee

[JL9]

Just read this 

https://mobilesyrup.com/2022/08/09/telus-crtc-request-credit-card-processing-fee/

I'm hoping that if the CRTC allows this it will only be for Telus and not trickle down to Koodo and PM too, although I could definitely see that being the case.

[will13am]

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@darlicious wrote:

@Kristowhy 

True, true....from an investment standpoint telus has been an excellent return on investment but a good business shouldn't sacrifice customer loyalty and satisfaction for the sake of pure profiteering.

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Surely the ability to maintain a loyal customer base is the key to ongoing success of the business.   

[Kristowhy]

@darlicious I think Telus is using this move to try and leverage and strong arm the C-card providers and processors to get their transaction fees lowered.  I doubt the CRTC will approve this request....but I'm not holding my breath on that! 😉

[darlicious]

@Kristowhy 

True, true....from an investment standpoint telus has been an excellent return on investment but a good business shouldn't sacrifice customer loyalty and satisfaction for the sake of pure profiteering.

[Kristowhy]

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@darlicious wrote:

@Kristowhy 

Don't fall for @will13am 's lip syncing Evita's sob story song.....Mr. Entwistle's penny pinching penchant of telus customer's dwindling wallet contents are to pay for his $19,820,000/2021 compensation package along with....

Naah...I didn't fall for it! 😁  This is nothing but an attempt to help keep the share price climbing and shareholders happy by maintaining their constantly increasing payout schedule.

Yes, I am quite familiar with their juicy dividend schedule.  As the saying goes, if you can't beat em...join em! 😉

[will13am]

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@darlicious wrote:

@Kristowhy 

Don't fall for @will13am 's lip syncing Evita's sob story song.....Mr. Entwistle's penny pinching penchant of telus customer's dwindling wallet contents are to pay for his $19,820,000/2021 compensation package along with....

In May 2022, we announced our intention to target ongoing semi-annual dividend increases, with the annual increase in the range of 7 to 10% from 2023 through to the end of 2025. This announcement further extends our dividend program originally announced in May 2011 and extended for three additional years in each of May 2013, May 2016 and May 2019. Our long-term Common Share dividend payout ratio guideline is 60 to 75% of free cash flow on a prospective basis.

.......and the March 2020 telus 2 for 1 share split and his promised shareholder dividend growth rate for the 1% on the backs of the other 99% regardless of their income or circumstance. The less you can afford to pay for your mobile services the higher the rate he will charge for your service.

Scheduled dividend payouts....

Q3-22	September 9, 2022	October 3, 2022	$0.3386
Q2-22	June 10, 2022	July 4, 2022	$0.3386
Q1-22	March 11, 2022	April 1, 2022	$0.3274
Q4-21	December 10, 2021	January 4, 2022	$0.3274
Q3-21	September 10, 2021	October 1, 2021	$0.3162

To top it off shareholder's also get a tax break.....

TELUS Corporation advises that unless stated, all quarterly dividends paid since January 2006 are "eligible dividends" as defined by subsection 89(1) of the Income Tax Act. Under this legislation individuals resident in Canada may be entitled to enhanced dividend tax credits that reduce the income tax otherwise payable. Dividends paid on April 1, 2007 included a portion “not eligible”.

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He's worth every penny!  Better than giving money to a squabbling family business.  Don't get mad, get even, become a shareholder.

[darlicious]

@Kristowhy 

Don't fall for @will13am 's lip syncing Evita's sob story song.....Mr. Entwistle's penny pinching penchant of telus customer's dwindling wallet contents are to pay for his $19,820,000/2021 compensation package along with....

In May 2022, we announced our intention to target ongoing semi-annual dividend increases, with the annual increase in the range of 7 to 10% from 2023 through to the end of 2025. This announcement further extends our dividend program originally announced in May 2011 and extended for three additional years in each of May 2013, May 2016 and May 2019. Our long-term Common Share dividend payout ratio guideline is 60 to 75% of free cash flow on a prospective basis.

.......and the March 2020 telus 2 for 1 share split and his promised shareholder dividend growth rate for the 1% on the backs of the other 99% regardless of their income or circumstance. The less you can afford to pay for your mobile services the higher the rate he will charge for your service.

Scheduled dividend payouts....

Q3-22	September 9, 2022	October 3, 2022	$0.3386
Q2-22	June 10, 2022	July 4, 2022	$0.3386
Q1-22	March 11, 2022	April 1, 2022	$0.3274
Q4-21	December 10, 2021	January 4, 2022	$0.3274
Q3-21	September 10, 2021	October 1, 2021	$0.3162

To top it off shareholder's also get a tax break.....

TELUS Corporation advises that unless stated, all quarterly dividends paid since January 2006 are "eligible dividends" as defined by subsection 89(1) of the Income Tax Act. Under this legislation individuals resident in Canada may be entitled to enhanced dividend tax credits that reduce the income tax otherwise payable. Dividends paid on April 1, 2007 included a portion “not eligible”.

[will13am]

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@Kristowhy wrote:

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@will13am wrote:

I don't blame Telus for trying this.  Credit card fees are getting out of hand.  As more and more people get premium cards, the transaction costs will go up more and more.  Those travel miles are paid for by someone.  It does not come out of thin air.  

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This is the first thing that comes to mind but without knowing what Telus has arranged with their payment processor, it's a bit pre-mature.  For all we know Telus may be charged a flat rate for each CC processed regardless of the card type.

I am with @darlicious here in that this is simply the cost of doing business and would have already been baked into the plan fees.  What's next...a surcharge to cover the cost of Telus employees?

Despite record profits, these cartels continue to beg the government regulator to charge customers more.  Crazy!

This is going to open up a big can of worms across the board if the CRTC approves this.  

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And there is nothing wrong with trying to reduce the cost of doing business.  Walmart went so far as not allowing Visa card payments for some time to bring fees down.  Their approach was a little more customer friendly.  As a customer, I don't like Telus' approach as much.  As a shareholder, I applaud Darren for earning his salary and bonuses. 

With runaway inflation all around, this one doesn't quite move the needle as much as all the increases that have already taken place.  Hopefully, Darren and Board will stunt the pain a bit by giving back some to the shareholders.  😥

[CountyDownIeUk]

@darlicious 

What will fetch more a 30% increase or a credit charge surcharge that will continually be tweaked upwards?  THE SURCHARGE. 

[darlicious]

A 1.3% surcharge to use a credit card to pay your bill....outrageous!!! But a 30% rate hike is perfectly acceptable because one should not expect a minimal emergency mobile plan to stay the same price for life should they?🤔

[CountyDownIeUk]

@darlicious 

A few years ago a TV program discussed what those fees were. 

ATM like 2 cents

Credit card 2-5% but in house cards are less

Cheque....no one accepts. 

Debit card was low too. 

So for 50 cents...your best bet is to use your 5% cash back card. 😀

But I am with you...don’t patronize. 

And I never have cash...credit only......never use debit card.....my method has its advantages. 

[CountyDownIeUk]

There are, if you think about it, numerous rip offs and money grabs out there. Some are apparent and some you need to dig deep to see. If you choose not to patronize, you should let them know why...and google reviews are good for that. 

Ie 

Shopping bag 5 cents. actual cost 1/2 cent. 

Mechanics fee for shop supplies

Mr Lube higher price includes a spark plug inspection and a tire report on nice glossy paper but they won’t give you a receipt unless you give them your email address to mail it to you and to further hassle you with unwanted emails. I have a junk only email address to give for that. All I wanted was a frickin oil change. Won’t be back. 

Return It label program. 2 return depots nearby. One does not pay the 10 cents for every container as they are supposed to and the other short counts and gives credit for 19 of 30 containers.  Not what is advertised on TV. And one of my google reviews has been read over 1000 times😀. I contacted Return It to have my account closed and they asked why...I told them....but they are deaf and blind. Think about this....you pay a bottle deposit......you get it back....your travel costs you how much? Who pays for the building, overhead and wages.....where does that hidden money come from? Currently some of our young grandchildren take our few away and after that I will hold and give to a homeless person on a bike or on foot....but never any one using a motorized vehicle. And with curb side recycling in place......why do we have Return It for beverage containers??

Some credit unions are charging $1.50 for cheque deposits. 

Some FIs charge zero for transferring registered funds while others charge $50. There is a way to beat the $50 charge on TFSA transfers. 

Canadians are prime suckers for money grabs. Why, cuz we don’t say anything about it. 

[Kristowhy]

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@will13am wrote:

I don't blame Telus for trying this.  Credit card fees are getting out of hand.  As more and more people get premium cards, the transaction costs will go up more and more.  Those travel miles are paid for by someone.  It does not come out of thin air.  

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This is the first thing that comes to mind but without knowing what Telus has arranged with their payment processor, it's a bit pre-mature.  For all we know Telus may be charged a flat rate for each CC processed regardless of the card type.

I am with @darlicious here in that this is simply the cost of doing business and would have already been baked into the plan fees.  What's next...a surcharge to cover the cost of Telus employees?

Despite record profits, these cartels continue to beg the government regulator to charge customers more.  Crazy!

This is going to open up a big can of worms across the board if the CRTC approves this.  

[umnikke8]

I noted that other than credit cards, Public only accepts Visa Debit for Autopay. That would be an annoyance.

[darlicious]

@moonmack 

Seems silly doesn't it? But there are plenty of members who pay via voucher or rewards and have spent $0 credit gift card or one of many other non -chargeable cards on their accounts to recieve the autopay bonus and $2 reward. I recently had to answer some extra verifiers on my account that included the last payment I made and some of the credit card info of the one on file. When I double checked the card on file I realized I still had my stolen credit card info on my account....from 3 years ago this September!

If you pay by voucher join the LD Extras loyalty program to earn and redeem $5 (10 visits × $10 pm vouchers)ons on pm vouchers that will save you an additional 5%. This post about vouchers may help as well....

https://productioncommunity.publicmobile.ca/t5/Get-Support/Can-t-Make-a-Payment-or-Update-Your-Card-...

[moonmack]

Okay, so if the fee is implemented, then I buy a pre-paid voucher from a store with my credit card, leave my credit card on file with Public Mobile to get the autopay benefits, and then still get the reward points without the new Telus CC fee.  This effectively pushes the credit card cost from Telus to the store, but is more of a hassle and seems less efficient to pay for a voucher that could have been applied directly on Public Mobile's website.

Also, this only works of the store selling the voucher doesn’t implement their own CC fee.

Is this list still accurate?  I know Public Mobile restricted the number of places you can get a SIM card, but I don’t know if that also affects pre-paid vouchers.

https://www.publicmobile.ca/en/ab/payment-voucher

Credit card rewards have seemed strange to me for years.  It also seems to make paying with cash have a premium cost since you don’t get the rewards points and the fee needs to be included in the prices.  I figured stores liked credit cards since it helps avoid counterfeit money, but with stores having to absorb the cost of fraudulent credit card purchases (especially with the card not present purchases - ie website or phone) maybe store owners would prefer cash or cheque?

[will13am]

I don't blame Telus for trying this.  Credit card fees are getting out of hand.  As more and more people get premium cards, the transaction costs will go up more and more.  Those travel miles are paid for by someone.  It does not come out of thin air.  

[drsiha]

I see this happen 99.99%. Other carriers will follow up with the fee.

CRTC wouldn't do anything because the head is from Robellus and stands for the interest of telecommunication giants. A huge step backwards and a huge shame on Canadian telecommunication industry. It is so unique in the world. In other countries, you will only see decreasing rates and fees and improving service.

But at least with prepaid carriers like Public Mobile, we can buy top-up vouchers without any fee at a grocery store and get max. 4~5% cashback with credit cards.

[darlicious]

@CountyDownIeUk 

I won't pay a surcharge to use my credit card. There's a "corner store" in the mall that I used to frequent for little things I couldnt be bothered tk venture farther afield for until it was sold to a new owner who charges $0.50 to use a card....any card including debit cards. The prices are already jacked up for their convenience factor I'm not going to pay an extra $0.50 on top of a $2 item. Same goes for telus  or anyone else....I either pay at the bank machine or online thru my account. The CRTC should disallow it as its a business expense.....the cost of doing business.

[CountyDownIeUk]

A couple of years ago I had read that retailers would like to charge a fee for credit card use. 

Reason being, the retailer has to pay different fees based on the cash back % the card is paying back to the customer and they don’t want to pay that extra fee and would recoup that from the customer. 

Some may remember when gas stations had 2 prices....cash....credit card. Cash was the lower price. But who has cash? And cash is detrimental at a retail store for miscounting, employee theft and robbery. So credit cards are better for retail. 

So if you are in a mall using the same card and one retailer charges you 2% more on an item that will go on sale for 30% off and another retailer has no surcharge, suddenly I see pushing back on any retailer that does a surcharge. And keep in mind selling prices incorporate those fees and any one paying cash is getting screwed. So go back to the retailer with the 2% surcharge and ask for 2% off for paying cash. But Telus is a captured market?

oh darn I have my Telus bill on my credit card for convenience! I wonder if @darlicious  has calculated the 1.5% in millions more that Telus will make?

So if happens at PM.....will a voucher incur that surcharge?

I might change my payment method if Telus does this. Not sure. 

Bottom line ....no surprise...greedy. 

Only $1.66 more per hundred.  Canadians continue to get screwed, royally. 

I am sure glad that I have a loyalty policy!