See what a cash discount program actually saves you.

Cash discount vs. surcharge: the difference that decides legality

A surcharge adds a fee on top of your posted price when a customer pays by credit card. A cash discount posts the card-inclusive price and reduces it for cash payers. The economics are nearly identical; the law treats them completely differently. Surcharges are banned in Connecticut, Massachusetts, and Maine, capped at 2% in Colorado, contested in Texas, and tightly display-regulated in New York — while properly structured dual pricing is legal in all 50 states. If you operate in a restricted state, structure isn't a preference, it's the compliance line. Our state-by-state surcharge law guide covers the rules where you operate.

The most common failure we see isn't the concept — it's implementation. Programs that post a 'cash price' and add a card fee at the register are surcharges wearing a costume. Programs that apply the fee to debit cards violate federal rules in every state. The calculator's cash discount path walks through what your program should look like, and what yours may be doing wrong.

Is your 'zero-cost' program actually zero cost?

Plenty of merchants on cash discount programs still pay real money every month: program fees, monthly minimums, equipment charges, and residual processing on the discounts themselves. 'Zero cost' is a marketing frame, not a line-item guarantee. Enter what you're actually paying and the calculator shows your true residual cost — often the most surprising number a cash-discount merchant sees.

Common questions