West Virginia Credit Card Surcharge Laws

Quick Summary:

• Credit card surcharging is legal in West Virginia with no state-specific restrictions
• Businesses must follow federal guidelines with surcharges capped at 4% (3% for Visa cards)
• The West Virginia State Tax Division and Treasurer's Office impose their own surcharges on credit card tax payments
• No specific state disclosure requirements, but federal guidelines apply
• Debit card surcharging remains prohibited under federal law

West Virginia takes a straightforward approach to credit card surcharging, allowing businesses to implement surcharge programs without state-level restrictions. Unlike many states that have enacted specific regulations or disclosure requirements, West Virginia businesses can rely primarily on federal guidelines and card network rules when implementing credit card surcharges. This makes West Virginia one of the more permissive states for businesses looking to offset credit card processing costs.

Legal Disclaimer: This information is for reference only and does not constitute legal advice. Credit card surcharge laws can change, and businesses should consult with an attorney before implementing surcharge programs.

Is Credit Card Surcharging Legal in West Virginia?

Yes, credit card surcharging is completely legal in West Virginia. The state has no laws prohibiting or restricting the practice of adding surcharge fees to credit card transactions. This puts West Virginia in the majority of states that allow businesses to pass credit card processing costs directly to customers who choose to pay with credit cards.

West Virginia's permissive stance is demonstrated by the fact that state government agencies themselves impose surcharges. The West Virginia State Tax Division charges convenience fees when taxpayers use credit cards to pay their tax obligations, and the West Virginia State Treasurer's Office similarly applies surcharges to credit card transactions for various state payments.

Since there are no state-specific restrictions, West Virginia businesses must follow federal guidelines, which cap credit card surcharges at 4% of the transaction amount. However, card networks like Visa have their own limits - Visa restricts surcharges to 3% as of April 2023.

What's Allowed

West Virginia businesses can implement these surcharging practices:

• Surcharge up to 4% of the transaction amount (3% for Visa cards)
• Apply surcharges to all credit card transactions including in-person, online, and phone payments
• Use percentage-based surcharges calculated from the total transaction amount
• Implement surcharges without state notification requirements (though card networks may require notification)
• Apply surcharges to business and consumer credit card transactions

What's Not Allowed

Federal law and card network rules prohibit these practices in West Virginia:

• Surcharging debit card transactions - prohibited under federal law even when processed as credit
• Exceeding maximum surcharge rates - cannot charge more than 4% federally or 3% for Visa
• Using surcharges for profit - surcharges must only recover actual processing costs
• Applying flat-fee surcharges - must be percentage-based, not arbitrary dollar amounts
• Surcharging without proper card network notification - most networks require advance notice

Penalty For Non-Compliance

While West Virginia has no state penalties for surcharge violations, businesses can face consequences from other sources:

• Card network fines ranging from $1,000 to $25,000 for violating brand rules
• Federal law violations for exceeding the 4% surcharge cap
• Consumer complaints filed with the West Virginia Attorney General's Consumer Protection Division
• Civil lawsuits under the West Virginia Consumer Credit and Protection Act for deceptive practices

Customers who believe they've been unfairly charged can file complaints with the West Virginia Attorney General's office, which has authority to investigate business practices and take enforcement action against companies engaging in deceptive financial practices.

West Virginia Credit Card Surcharge FAQs

Does West Virginia have any plans to restrict credit card surcharging?

While some lawmakers have discussed consumer protection measures, there are currently no active bills in the West Virginia Legislature specifically targeting credit card surcharges. However, Senator Chafin has previously mentioned introducing legislation to protect West Virginia customers from credit card fees, though no specific bills have been filed as of 2025.

Can West Virginia restaurants add automatic service charges to credit card payments?

Yes, restaurants in West Virginia can add service charges to credit card transactions as long as they follow federal guidelines and don't exceed the 4% cap. These charges must be clearly disclosed to customers and cannot be used to generate profit beyond covering actual processing costs.

Do West Virginia government agencies charge surcharges on credit card payments?

Yes, many West Virginia government offices impose convenience fees or surcharges when taxpayers pay with credit cards. The West Virginia Tax Division charges fees for credit card tax payments, and other state agencies may have similar policies to offset their processing costs.

Are there any disclosure requirements for surcharge fees in West Virginia?

West Virginia has no state-specific disclosure requirements, but businesses must follow federal guidelines and card network rules. Most card networks require clear disclosure of surcharge policies to customers before transactions are processed, and businesses should provide transparent information about any additional fees.

Can West Virginia businesses offer cash discounts instead of credit card surcharges?

Absolutely. Cash discount programs are legal in West Virginia and can be an alternative to surcharging. With cash discounts, businesses can display the credit card price and offer discounts for customers who pay with cash, check, or debit cards, which some customers may find more appealing than surcharges.