Did you know that you can file a complaint with the RBI if a merchant charges you MDR fees for using a credit card?

[ontherocks]

So whom is RBI going to serve the letter in this case? The bank with no fault of theirs? And then the bank chases that obscure merchant and sends recovery agents? Or bank bites the bullet and pays back the MDR + compensation to the customer?

 

[anonymuos]

So is MDR fees same as "convenience fees"? Because for an online pharmacy ( https://www.mrmed.in/ ), I was charged convenience fees for paying via credit card. Via UPI it was free. So clearly it was MDR being recovered.

 

[theglobalinvestor]

So is MDR fees same as "convenience fees"? Because for an online pharmacy ( https://www.mrmed.in/ ), I was charged convenience fees for paying via credit card. Via UPI it was free. So clearly it was MDR being recovered.

Technically, They cannot charge you mdr. But they can charge you convenience fees. The biggest merchants charging convenience fees are govt establishments and utilities companies.

 

[ontherocks]

Generally it is a menu driven process. In order to process cashback benefits, the merchant has to get the brand mapped to his terminal beforehand.

Then he has to select the brand from available menu options which may drill down to subcategories and then the final product. After that, you input the serial number or Imei number and the emi tenure.

After a successful transaction, the chargeslip which comes out contains all details of the transaction.

The process may differ from brand to brand.

Thanks,

When you purchase a POS machine, who sets the MCC and on what basis? Do they give the merchant a questionnaire on the type of business and then based on the answers they set the MCC? Or on the basis of something like shop act, etc.? A particular category can have multiple MCCs, do they give the merchant a choice to choose MCC?