FREQUENTLY ASKED QUESTIONS

What is the Cash Discount Program?


Similar to discount programs used by many of today's gas stations, merchants can now offer a discount for customers who pay with cash.




How does it work?


A small service charge (either a fixed amount of percentage) is applied to all sales. A discount is automatically applied when customers pay with cash. No discount is given when paying by debit or credit card. The patented software automatically determines all discounts and actions based on payment type.




What does a merchant statement look like?


Your merchant statement will reflect the program savings and all transactions deposited throughout the month will be noted. Statements will reflect the total amount of the sales as usual.




What does a merchant need to do?


Merchants must disclose the program specifics in two places on their front door or window and on their cash registers that they offer a discount for customers who pay with cash.




Do I need a specific terminal or hardware?


Yes. At this time we offer FREE Dejavoo terminals that are 100% compliant with this program.




Is this program legal?


Yes. This program is legal in all 50 states. The Dodd-Frank act prohibits payment card networks “from inhibiting the ability of anyone to provide a discount for payment by cash, checks, debit cards, or credit cards.”




Is this a surcharge?


No. A "surcharge" occurs when a merchant increases the price for credit card purchases. A “cash discount" occurs when a merchant decreases the price posted for their goods and services for cash payment / purchases.




Is this a new program?


No. The 2010 Dodd Frank law, businesses are permitted to offer a discount to customers as an incentive to encourage payment by alternative methods other than credit cards.




Do I have to sign a long term contract?


No. We are offering customers a 30-day no obligation trial and if you don't like the program or it does not fit for your business return the hardware to us at no cost.




Do you offer next day funding?


Yes. We offer next day funding to all merchants.




Who pays credit card interchange and bank fees?


The service charge is retained in a sperate account held by Star Merchant Services to pay interchange fees. Merchants now have a way to offset some or all of the cost of accepting credit cards. Customers who pay with cash avoid service fees while others will see the line item added to their receipt.





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Star Merchant Services

500 Ala Moana Boulevard, Suite #6-210 Honolulu, HI 96813

808-947-7283

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C&H; Financial Services, Inc. is a registered ISO/MSP of Esquire Bank, N.A., Jericho, NY, a registered ISO/MSP of Wells Fargo Bank N.A., Concord, CA, a registered ISO/MSP of Citizens Bank, N.A., Providence, RI and a registered ISO/MSP of Woodforest National Bank, N.A., The Woodlands, TX 

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