A true cash discount is when a business offers a discount to customers who pay by cash, check or store-branded gift card, instead of with a credit or debit card.
Implementing a non-cash adjustment is another way business owners can offer a discount off of their listed, stated and advertised prices. Customers who pay with credit and debit cards do not receive the discount and will notice a non-cash adjustment on their receipt.
Surcharging is when a business owner applies a fee to a customer who pays by credit. It’s important to note that surcharging is prohibited in six states (Colorado, Connecticut, Kansas, Maine, Massachusetts and Oklahoma) and requires business owners to follow a few additional steps so they are in compliance with the card brands.