Washington State Ferries Introduce New Card Transaction Fee: What Riders Need to Know
Starting Sunday, March 1st, Washington State Ferries (WSF) will implement a 3% cost recovery surcharge on all credit and debit card transactions. This change, directed by the Washington State Legislature (RCW 47.60.860), aims to allow the state to recover the costs associated with processing card payments.
How the New Fee Impacts Ferry Riders
The 3% fee will apply to a wide range of purchases, including single-ride, multi-ride and ReValue tickets. It too covers fees for vehicle reservations and carpool/vanpool permits. However, certain transactions are exempt. Fees for memorial services, business accounts, and promotional activities will not be subject to the surcharge.
WSF leader Steve Nevey explained the change in the latest weekly newsletter. Customers who wish to avoid the fee can pay with cash or utilize a preloaded ORCA card.
Debit Card Transactions and the Fee
A reader question highlighted confusion regarding debit card transactions. WSF clarified that debit cards are processed as credit cards, and the 3% fee will apply to debit card purchases as well. If a card transaction is later refunded, the surcharge will also be refunded.
The Broader Trend: Surcharges and the Rise of Cashless Transactions
The introduction of this fee reflects a growing trend among businesses to offset the costs of accepting card payments. While cashless transactions offer convenience, merchants incur fees from credit card companies for each transaction. These fees can significantly impact profitability, particularly for businesses with lower margins.
Several municipalities and states have considered or implemented similar surcharges. The legality of these fees has been debated, with some jurisdictions prohibiting them altogether. However, the Washington State Legislature has explicitly authorized WSF to implement this cost recovery measure.
The move also highlights the increasing reliance on digital payment methods. According to a 2023 report by the Federal Reserve, debit and credit cards accounted for 68% of all consumer payments in the United States. This shift towards cashless transactions necessitates a discussion about how to fairly distribute the associated costs.
Avoiding the Fee: Payment Options Explained
Riders have several options to avoid the 3% surcharge:
- Cash: Paying with cash remains a fee-free option.
- Preloaded ORCA Card: Utilizing a preloaded ORCA card eliminates the transaction fee.
More information on accepted payment options can be found on the WSF ticket information page.
FAQ
Q: Why is WSF adding this fee?
A: The Washington State Legislature directed WSF to recover the costs of processing credit and debit card payments.
Q: Does the fee apply to all card transactions?
A: The fee applies to most card transactions, but is waived for memorial services, business accounts, and promotional activities.
Q: Can I avoid the fee?
A: Yes, you can avoid the fee by paying with cash or using a preloaded ORCA card.
Q: What if my card transaction is refunded?
A: The 3% surcharge will also be refunded if the transaction is refunded.
Did you know? The Washington State Ferries system is the largest ferry system in the United States, carrying over 24 million passengers annually.
Pro Tip: Consider purchasing a preloaded ORCA card if you frequently use Washington State Ferries to save on transaction fees.
Stay informed about future changes and updates to WSF services by visiting the WSF website. Share your thoughts on the new fee in the comments below!
