You may have noticed something called a “convenience fee” on your last restaurant bill.
We’ll explain exactly what it is and how you may avoid the fee.
Plus, we’ll let you know which credit card will cause you to pay the highest fee.
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Here’s everything you better know about convenience fees.
What Is a Convenience Fee?
But restaurants aren’t the only places where you might get hit with a fee!
Why Do Restaurants Charge a Convenience Fee?
Where Does the Money Go?
Such signs and practices are less likely at restaurants.
Is It Different from a Service Fee?
While looking at your bill, you might also see a service fee listed.
However, a service fee is not charged in place of leaving a tip.
Is It Taxed?
The amount of the convenience fee is not taxed.
Which Credit Card Companies Charge Convenience Fees?
Can You Avoid Paying a Convenience Fee?
Depending on the customer, this can be a turnoff or something they happily go along with.
Bottom Line
Convenience fees are not the same as tips or surcharges.
This is why it may appear on your bill.
The best way to avoid convenience fees is to plan ahead and pay in cash when possible.
