There have been several times when I’ve walked into a store and just wanted to buy something small. And I ended up buying a much more expensive purchase because the sign at the checkout said “Payment by card from 100 CZK,” but I’m definitely not the type of person who would sneak out of the store like a thief without buying anything. Yes, some stores actually require you to make a purchase for a certain amount when paying with your card. In Germany, some stores even charge fees for card payments, but few people know that this is illegal.

A few years ago, people felt stupid pulling out their card to pay for two rolls or a coffee. But today, that’s no longer the case. We rarely carry cash, and we pay even minimal amounts by card. Merchants only have to pay the terminal operator 0.2 per cent of the transaction amount as a fee. That’s why they often set minimum thresholds for card payments. And it’s okay, every store has the right to refuse a credit card. But not to charge fees for electronic payment.

Beware of payment fees

In some stores, you may find that you are charged a special fee for paying by card. This is either for a normal payment or if you don’t meet the minimum set amount the shop requires for card payments. But it’s actually illegal for someone to ask you for extra money. If you don’t have cash, you simply either don’t buy the product or you have to add products of that value to your cart.

This is literally the law in Section 270a of the German Civil Code, which states that it is forbidden to pass on additional charges to consumers for certain types of payments, including card payments (debit and credit), if they are normal consumer transactions.

“Common payment methods, such as PayPal or Amazon Pay, are not explicitly included in these rules, but the fact that they operate via SEPA or cards suggests that the ban on surcharges applies to them,” adds Alexander Bayer, a technology and payments law expert at law firm Pinsent Masons.

In many shops, you'll see a notice that you can only pay by card up to a certain amount. But sometimes they will accept your payment no matter what the law says. ━━ In many shops, you'll see a notice that you can only pay by card up to a certain amount. But sometimes they will accept your payment no matter what the law says. ( Source: Clay Banks /  Unsplash+ )

The law has been in place for years, but not everyone follows it

The law, which prohibits merchants from demanding extra amounts from customers, has been in force since 2018, but many shops are still breaking it. Merchants argue that they are making a profit on smaller card payments, or even that the customer has agreed. Often people will pay a few cents more themselves rather than leave the store empty-handed or buy something they don’t need. But it is still illegal activity.

Personally, that’s why I try to carry cash with me whenever I go to the store. Even nowadays, you happen to come across a business that doesn’t take cards at all. It happened to me recently in a tea shop where I made a spend of over 1000 crowns, but still had to go to the ATM to get the money. And then when you’re dealing with complications because of a minimum purchase, it’s frankly even more annoying. So it’s better to be safe.