--- title: "Dual Pricing Overview" canonical: "https://help.spoton.com/space/SK/4166484081/Dual%20Pricing%20Overview" format: markdown --- Learn more about SpotOn’s Dual Pricing program, card brand compliance requirements, and more. **Contents** > Macro (toc) --- > ⚠️ *The information provided in this article not intended as a replacement for legal, accounting, tax, or other professional advice. You are responsible for complying with local laws and regulations, up to and including card network rules. Consult a professional advisor for advice specific to your business’s circumstances. SpotOn product offerings and laws governing cash discount programs are subject to change.* # **Dual Pricing is Cash Discount** Dual Pricing is a type of cash discount program, so by default it will discount your item price when cash is selected. By building your processing costs into your item prices, you are collecting your fees upfront while rewarding your customers when they use a cash tender.    ## **Dual Pricing with SpotOn** The benefits of SpotOn’s Dual Pricing program include: - **Save on debit card processing fees** - Maximize your savings by offsetting your processing costs to all card types. This program is not limited by the debit card restrictions that apply to a surcharge program. - **Automatic discount handling** - SpotOn's solutions can automatically apply the discount when cash is selected. Additional discounts can be applied as necessary. - **Keep your customers informed** - Provide your guests with the information they need when choosing how they will pay. Signage, on-device prompts, and footer messages on receipts make sure that your customers are informed of their options. SpotOn Dual Pricing is available to all merchants in the United States. Merchants are required to display prices either as: - Only the card price per item - Both the card and the cash price listed side-by-side per item --- # **Legal Considerations** Merchants must follow federal and state laws for surcharging, as well as laws prohibiting deceptive or misleading disclosures. Law changes over time and can vary by state. There may be additional local laws or legal requirements that apply to your business, such as posting fees in restaurant menus. Merchants are responsible for complying with any such changes in law. Usage of credit card surcharge fees requires strict compliance. **Failure to maintain compliant credit card surcharge practices can and will result in significant fines and/or penalties for violating card network rules.** Applying charges to any card outside of the automated surcharge application intended to cover credit card processing fees will result in non-compliant transactions. The use of other SpotOn products and features to assess an additional surcharge carries a risk of fines with initial violations starting at $1,000, which can escalate for repeated violations. The major card brands (Mastercard, Discover, American Express) actively enforce non-compliance to protect their customers. As such, SpotOn may disable any service charges or other use of our products and services that leads to noncompliant surcharging (or other noncompliance) at any time.   --- # **Frequently Asked Questions (FAQ)** ### **How does Dual Pricing work?** Dual Pricing is a type of cash discount program, so by default it will discount your item price when cash is selected. By building your processing costs into your item prices, you are collecting your fees upfront while rewarding your customers when they use a cash tender. ### **How is Dual Pricing different from other cash discount programs?** Our Dual Pricing solution displays two pricing options to the customer when they are making a purchase. This allows the customer to see both totals and choose their method of payment. Other traditional cash discount models only show the display the higher price during the checkout process and the discounted amount only shows when cash payment is selected. ### **Is Dual Pricing legal in my state?** Dual Pricing is legal in all 50 states. It is important that the highest price a customer could pay is disclosed prior to making payment. Advertising a cash price and charging more for different tender is prohibited in most states. ### **What kind of disclosure do I need?** It is recommend to be as transparent as possible with the Dual Pricing program. Signage can be displayed at every entrance and POS station. Menus and receipt footers can also be modified to disclose the cash discount program. ### **What cash discount percentage should I put on my signage?** The amount within your POS Tender Discount settings should be displayed on your signage. For example, if the setting has 3.84%, this is discount percent to display on your signage. ### **Which payment type can receive a discount?** The system only applies a discount to cash tender. Other tender types can have manual discounts created as needed for the business. ### **Can I use dual pricing with another program?** Yes. Cash discount can be paired with other programs (except surcharging - surcharging cannot be paired with any other program). ### **Can I say the advertised price is for cash and the non-cash price will be reflected on the receipt?** This method is not compliant with our Dual Pricing program as well as the card brand rules. Businesses found disclosing the program in this way and using the device to add a fee when a card payment is used will be subject to Visa’s surcharging violations and fee schedules. A first violation offense can include a fine of $1,000. Additionally, various state departments and regulatory agencies are issuing fines to merchants who do not appropriately disclose their pricing. It is important to adhere to all card brand rules and industry regulations when using this program. ### **I do not display any pricing or have any invoicing methods. Can I use the device to quote a card price and cash price?** Following Visa’s guidelines around cash discount programs, the POS system cannot be used to quote a higher price for cash and offer an immediate discount for cash. The standard price must be quoted and the Dual Pricing program can be used to display a discounted cash price. --- # **Additional Resources** - [Visa Surcharge Q&A](https://usa.visa.com/content/dam/VCOM/global/support-legal/documents/merchant-surcharging-qa-for-web.pdf) - ![Dual Pricing Example Receipt](media://23542b73-af53-48d4-9018-36db06050151)