Why are we being penailzed for paying with a credit card?

7/13/2023

I have the same concerns as my fellow T-Mobile customers regarding the restrictions on using Auto Pay payment options.

Like many of us, I called a T-Mobile CSR (Customer Service Representative) to complain.

The response was, “Credit Card fees are costing T-Mobile too much money in processing fees, so the decision was made to allow only debit card or direct bank account withdrawal. There is nothing I can do about it."

Here is a website that explains credit card fees:

Consulta: https://www.nerdwallet.com/article/small-business/credit-card-processing-fees

According to the above website, it would cost T-Mobile between $1.50 - $3.50 for one  $100.00 transaction, depending upon the credit card company.

The fees are also a business expense that T-Mobile can deduct from taxes owed.

Some banks also charge to use a debit card, which we as individuals cannot write off on our income tax due.

I can’t believe that merchants like T-Mobile don’t band together and petition the U.S. Government to demand lower fees from these banks but it’s easier to pass the cost onto the consumer.

I have an account with a credit union that allows customers to electronically send a payment from my account to a merchant. This means T-Mobile does not have direct access to the account but receives the payment when I initiate the transaction.

I’m going to contact T-Mobile and see if they are agreeable to that.