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Surcharge & Cash Discount Rules · Georgia

Credit card surcharges are legal in Georgia. Here are the rules.

Georgia permits credit card surcharges, but the surcharge may not exceed the merchant's actual cost of acceptance. Convenience fees are also permitted when alternative payment methods are accepted.

Last reviewed July 2026 · Laws change — see note below

Legal

Legal — surcharge cannot exceed processing cost

Georgia permits credit card surcharges, but the surcharge may not exceed the merchant's actual cost of acceptance. Convenience fees are also permitted when alternative payment methods are accepted.

Georgia at a glance

Credit card surchargeLegal — surcharge cannot exceed processing cost
Maximum surchargeActual cost of acceptance (max 3% network cap)
Debit & prepaid cardsNever — prohibited nationwide by federal rules and card networks, in every state
Cash discount / dual pricingLegal — permitted in all 50 states with a compliant structure
State ruleSurcharge must not exceed merchant's cost of card acceptance
DisclosureCard network rules: post notice at store entry and point of sale, show the surcharge as a separate line item on every receipt, and give your processor 30 days' notice before starting.

What Georgia merchants need to know

Georgia allows credit card surcharging, with one state-specific requirement worth taking seriously: the surcharge cannot exceed what the card actually costs you to accept. That sounds like a technicality, but it has a real consequence — if your effective processing rate is 2.6% and you surcharge a flat 3%, you're out of compliance in Georgia. Merchants running surcharge programs here should know their actual effective rate, not just the network cap.

Georgia also explicitly permits convenience fees as long as the customer has an alternative way to pay. That's a separate mechanism from a surcharge — a convenience fee is typically a flat amount tied to a non-standard payment channel (like paying by phone), while a surcharge is a percentage tied to credit card use itself. Mixing up the two is a common compliance mistake on Georgia merchant statements.

The cash discount alternative

Wherever surcharge rules get complicated, dual pricing doesn't: posting a card price and offering a discount for cash is legal in all 50 states when it's structured correctly — the posted price must be the card price, with cash receiving a true discount. The economics match a surcharge; the compliance profile usually beats it.

Because Georgia caps surcharges at your actual cost of acceptance, a cash discount program is often simpler for GA merchants — the posted card price doesn't require you to continuously prove your fee matches your effective rate.

Common questions

Is it legal to charge a credit card fee in Georgia?
Yes, with a condition: the surcharge cannot exceed your actual cost of accepting the card. The card network 3% cap also applies, but if your real processing cost is lower than 3%, your surcharge must be too.
What's the difference between a surcharge and a convenience fee in Georgia?
A surcharge is a percentage fee for paying by credit card. A convenience fee is typically a flat fee for using a non-standard payment channel (like phone or online payment), and Georgia permits it only when customers have an alternative way to pay.
Can I surcharge debit cards in Georgia?
No. Debit and prepaid surcharges are prohibited nationwide by federal rules and card network agreements.

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Surcharge rules in other states