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Merchant services · New Jersey

Merchant Services in New Jersey

New Jersey packs a lot of card volume into a small state: Hoboken and Jersey City bars, Newark and Paterson bodegas, Shore boardwalk shops and arcades from Asbury Park to Cape May, Princeton cafes, and diners on every highway. If you're thinking about adding a card fee, New Jersey is one of the states with a specific law on it. Since August 2023, a credit card surcharge can't exceed what it actually costs you to process the card, and the amount has to be posted before the customer buys. Here's what the statute and the Division of Consumer Affairs say, and the processing and ATM options we offer New Jersey merchants.

General information, not legal advice. Check with a New Jersey attorney before you change how you price or add any fee.

New Jersey's surcharge law

The cap: actual cost

N.J.S.A. 56:8-156.2, enacted as P.L. 2023, c.146 and effective immediately when it was approved on August 18, 2023, says a seller can't impose a surcharge on a customer using a credit card for a New Jersey transaction that's greater than the actual cost to the seller to process the credit card payment. Sellers also have to make their records available to the Director of the Division of Consumer Affairs so compliance can be checked. A violation is an unlawful practice under the New Jersey Consumer Fraud Act.

Where the amount has to be posted

The law requires the amount of the surcharge to be disclosed before the customer incurs any charge:

  • Most stores: a clear and conspicuous sign at the point of entry and the point of sale.
  • Restaurants: a sign in the customer service area and on the menu.
  • Websites, apps, and kiosks: clear and conspicuous notice on the checkout page before the payment is processed.
  • Phone orders: verbal notice before the payment is processed.

What the Division of Consumer Affairs adds

The Division's FAQ on the law clears up several practical questions:

  • A percentage is fine, but a vague sign such as "We impose a credit card surcharge that does not exceed our processing costs" doesn't comply, because it doesn't state the amount.
  • Restaurant "menus" include menu boards and menus posted online or reached through QR codes. Handwritten signs or stickers can work if they're clear and in the right places.
  • If you charge different surcharges for different cards, each one has to be disclosed. A flat rate is allowed as long as it doesn't exceed your actual cost for that transaction.
  • The cap applies to credit cards only. The law doesn't cover debit or gift card transactions, but any other fee you add still has to be clearly disclosed before the sale.
  • No business is required to surcharge.

Card-network rules

Network rules apply on top of New Jersey's cap. Visa lists New Jersey among the states with surcharge requirements. Under Visa's U.S. rules, a surcharge applies only to credit cards, never debit or prepaid cards, even if a debit card is run as "credit." It's capped at your merchant discount rate for that card or 3%, whichever is lower, and you must notify your processor 30 days before you start and show the surcharge at the point of entry, the point of sale, and on the receipt. In practice, your surcharge has to stay under both your real cost and the network cap. Visa describes a proper cash discount as posting either the card price alone or the card and cash prices side by side. A pending Visa/Mastercard settlement, with a fairness hearing set for November 16, 2026, may change some network rules if it's approved.

Surcharging vs. dual pricing in New Jersey

  • Surcharging means knowing your true per-card cost, posting the amount in every place the law lists, and keeping it to credit cards.
  • Dual pricing (often called cash discounting) shows a cash price and a card price wherever prices appear. Because the customer sees both prices up front, many owners find it simpler to explain. It still has to be clear and honest.

Not sure what your actual processing cost is? That's usually the first thing we work out from your statement.

What New Jersey businesses ask about

  • Restaurants and diners need the surcharge amount on the menu and on a sign, plus online and QR menus.
  • Shore businesses do most of their volume between Memorial Day and Labor Day, so seasonal pricing and mobile readers matter.
  • Bodegas and convenience stores run lots of small debit tickets, where surcharging isn't an option.
  • Contractors and home-service companies take phone payments and need the verbal notice step built into their routine.
  • Online sellers need the surcharge on the checkout page before the card is charged.

Your options, side by side

  1. Dual pricing (optional). Post a cash price and a card price, with signs, menus, and receipts set up to match.
  2. Interchange-plus. You pay the network cost plus a disclosed fixed markup, which also makes your actual cost easy to document.
  3. Flat-rate. One rate per transaction, easy to plan around.
  4. Square, if you prefer it. We'll include it in your comparison.

Through our processing partners we offer countertop terminals, POS systems, mobile and Bluetooth readers, and virtual terminals. Results depend on your volume, card mix, and current contract, so we don't promise savings before reviewing a statement.

ATMs in New Jersey

Cash still matters on the boardwalk, in bars, and at flea markets and fairs. If you want your own ATM:

  • You buy and own the machine. It's a purchase, not a loan.
  • You load and run it, including how much cash goes in and when.
  • Terms are subject to the partner agreement, and every term is disclosed in writing before you sign.
  • We don't promise monitoring, maintenance, or a revenue share. ATM surcharge income isn't guaranteed.
  • Machines come through our ATM partner, and card processing comes through our processing partners.

FAQ

Are credit card surcharges legal in New Jersey?

Yes, within limits. A surcharge can't be more than your actual cost to process the credit card payment, and the amount must be disclosed before the customer is charged.

Where do I post the surcharge amount?

Most stores need a sign at the point of entry and point of sale. Restaurants need a sign in the customer service area and the amount on the menu. Online it goes on the checkout page, and by phone you say it before processing.

Is a sign that says the fee "does not exceed our costs" enough?

No. The Division of Consumer Affairs says the sign has to state the amount, either a dollar figure or a percentage.

Can I surcharge debit cards in New Jersey?

New Jersey's cap covers credit cards only, and card-network rules don't allow surcharges on debit or prepaid cards.

Do you work with New Jersey businesses?

Yes. We're based in Clifton, Tennessee, and serve merchants nationwide by phone and email.

Who owns an ATM I get through you?

You do. You purchase it outright and run it yourself, and the terms, which are subject to the partner agreement, are disclosed in writing first.

Get a no-obligation comparison

Send a recent statement and tell us how your customers usually pay. We'll work out your actual card cost and compare a cash discount, interchange-plus, flat-rate, and your current setup for your New Jersey business.