Payments

Colorado removes ban on credit card surcharges

July 15, 2021

Colorado Governor Jared Polis has signed Senate Bill 21-091 to repeal the state's prohibition on credit card surcharges. The bill also caps surcharges at either 2% of the transaction amount or the cost for the merchant, according to a press release from CardX.

"Understanding what makes things costly is important for consumers to help them better manage their expenses. SB21-091 helps consumers in just this way by repealing an antiquated law and allowing the cost of the credit cards we use to be itemized and communicated transparently," Shannon Bird, Democrat representative who introduced the bill along with two Republicans and another Democrat, said in the release. "This new law is good for consumers and helpful for struggling small businesses."

"We serve businesses that are seeking to offset the rising cost of credit card acceptance and keep their prices low, and I believe that SB21-091, which harmonizes with industry rules and includes the most robust consumer protections in the country, will be an influential template for other states considering this issue," Jonathan Razi, CardX CEO, said in the release.