Dual Pricing Program
Display a cash price and a card price side by side at checkout. Customers choose their payment method with full cost transparency — and card users cover the processing fee.
Two prices. One choice. Complete transparency.
Dual pricing presents customers with two clearly labeled prices at the point of sale — a lower cash price and a slightly higher card price. The difference between the two reflects your cost of accepting card payments. Customers see both options before they pay and choose the method that works for them.
This approach is the most transparent of all cost-offset programs. Unlike surcharging (which adds a fee at the end) or cash discounting (which applies a hidden structure), dual pricing puts both options in plain view from the start. There are no surprises at checkout.
Dual pricing is legal in all 50 states, requires no card network pre-registration, and can be applied to both credit and debit card transactions depending on your configuration.
See If Dual Pricing Works for YouFull Transparency Before Payment
Both prices are shown before the customer commits. No fees added after the fact — the customer always knows exactly what they'll pay.
Simple at the point of sale
Set your cash price
Your cash price is your base price — what you want to net from each transaction. This is the price you would have charged before card processing costs were a factor. It appears on shelf tags, menus, and price lists as the lower of the two displayed prices.
System calculates the card price
Your payment terminal or POS automatically calculates the card price by adding your processing cost percentage to the cash price. Both prices display simultaneously on the customer-facing screen before payment is initiated.
Customer selects their payment method
The customer sees both prices and chooses how to pay. If they tap their card, they pay the card price. If they hand over cash or enter a PIN for debit, they pay the cash price. The decision is entirely theirs — made with full information.
Correct amount charged automatically
The terminal charges the appropriate price based on the payment method selected. The receipt reflects the price paid and the payment type. No manual calculations, no adjustments — the system handles it end to end.
How dual pricing compares to other cost-offset models
All three programs offset card processing costs, but they differ in structure, disclosure, and legal requirements.
Surcharging
Posts a cash/base price. Adds a fee when the customer pays by credit card. Fee capped at 3%. Cannot apply to debit. Requires 30-day card network registration. Restricted in MA and CT.
Cash Discounting
Posts a card price. Reduces it for cash or PIN debit customers. Legal in all 50 states. No network registration. Discount framed as a reward rather than a fee.
Dual Pricing
Displays both prices simultaneously before payment. Maximum transparency — customer chooses knowingly. Legal in all 50 states. No network registration. Applies to credit and PIN debit configurations.
Requirements for a compliant dual pricing program
Dual pricing is straightforward to implement correctly. The core requirements center on clear, pre-transaction disclosure of both prices.
Card Network Rules — Both Prices Must Be Displayed Before Payment
Visa, Mastercard, American Express, and Discover permit dual pricing, but the cardinal rule is that both the cash price and the card price must be visible to the customer before they initiate payment. You cannot display only the cash price and then charge the card price at the terminal without prior notice.
- Both prices must be clearly labeled — "Cash Price" and "Card Price" (or equivalent plain-language labels)
- The prices must appear on the customer-facing display before the payment method is selected
- The card price must not exceed your cash price by more than your actual cost of processing — you cannot use dual pricing to generate a profit on the differential
- The program must be applied consistently across all transactions of the same type
Point-of-Sale and Signage Disclosure
In addition to the customer-facing terminal display, merchants are expected to disclose the dual pricing policy at the point of entry and at the point of sale. Required disclosures include:
- Store entrance or menu: Notice that two prices are displayed — cash and card — and an explanation of the difference
- POS or customer-facing terminal: Both prices shown simultaneously before payment selection
- Online checkout (if applicable): Both prices clearly labeled on the payment page before the customer enters card details
GoPayhawk provides pre-configured signage and terminal screen layouts that satisfy these requirements out of the box.
Debit Card Handling
Dual pricing can be configured to treat debit cards similarly to cash (charging the lower price) or similarly to credit (charging the card price). The configuration that is right for your business depends on your processing costs and customer mix.
- PIN debit: Typically treated as cash — processed through regulated debit networks at lower interchange rates, so the cash price applies
- Signature debit: May be treated as a card transaction — runs on the Visa/Mastercard network at higher interchange rates
- Your GoPayhawk terminal is configured at setup to apply the correct price based on how each transaction routes
- Customers are shown which price applies for their payment method before they confirm
Receipt Requirements
Receipts for dual pricing transactions must clearly reflect what the customer paid and which pricing tier applied. Specifically:
- The price charged must be itemized on the receipt
- The payment method (cash, debit, credit) must be indicated
- If the card price was charged, the receipt should reflect the card price — not the cash price with an added fee listed separately
This keeps the receipt clean and avoids any appearance of a hidden surcharge, which would trigger separate card network rules.
PCI DSS Compliance
All merchants accepting card payments — regardless of pricing model — must maintain PCI DSS compliance. This standard governs how cardholder data is collected, transmitted, and stored. GoPayhawk processes on PCI-certified infrastructure and supports merchants through the annual compliance process.
- Use only PCI-certified payment terminals provided or approved by GoPayhawk
- Never store full card numbers, CVV codes, or track data
- Complete your annual SAQ (Self-Assessment Questionnaire) — available through your merchant portal
- Report any suspected data breach immediately to your processor and relevant card networks
State and Federal Law
Dual pricing is legal in all 50 U.S. states and Washington D.C. Unlike surcharging, there are no state-level prohibitions on displaying two prices at point of sale. Federal law does not restrict dual pricing. The Durbin Amendment — which governs debit interchange and surcharging restrictions — does not prohibit dual pricing structures when implemented correctly.
- No state opt-out restrictions as of the current date
- No advance registration required with any card network
- Applicable state consumer protection laws require that prices be clearly posted — GoPayhawk's signage package addresses this
Common questions about dual pricing
How is dual pricing different from surcharging?
With surcharging, you post one price (the cash/base price) and add a fee at the end when the customer pays by credit card. The customer often doesn't know the final total until after they've committed to a card payment. With dual pricing, both the cash price and the card price are displayed upfront — before the customer selects a payment method. The customer chooses knowingly. Dual pricing also has fewer regulatory restrictions: no state prohibitions, no card network registration, and it can apply to debit configurations that surcharging cannot touch.
Do customers react negatively to seeing two prices?
Generally, no — and often the reaction is more positive than with surcharging. Because dual pricing is fully transparent before payment, customers feel in control of the decision. They aren't surprised by a fee at the end; they choose the price they're comfortable with. Gas stations have used this model (cash vs. card price per gallon) for decades with broad consumer acceptance. The key is clear, friendly signage that explains the program without making customers feel penalized.
Is dual pricing legal everywhere in the U.S.?
Yes. Dual pricing is permitted in all 50 states and Washington D.C. There are no state-level restrictions equivalent to those that apply to surcharging (which is restricted in Massachusetts and Connecticut). Federal law does not prohibit dual pricing. Card networks (Visa, Mastercard, Amex, Discover) all permit the model when both prices are disclosed before the transaction is completed.
What does GoPayhawk handle for setup?
We handle everything: terminal programming to display both prices on the customer-facing screen, POS configuration for automatic price selection based on payment method, compliant point-of-entry and point-of-sale signage, receipt formatting, and ongoing compliance support. There is no card network registration to file. Most merchants are live within a few business days of approval. We also provide a free statement analysis upfront so you can see exactly what your card price would be and what your net savings would look like.
Ready to give customers full transparency and cut your processing costs?
Send us your current processing statement. We'll show you what your dual pricing structure would look like and how much you'd save.
