Businesses weigh in on government’s plan to reduce credit card fees
The federal government is touting plans to help small businesses by reducing credit card fees, but some local merchants say while they welcome the measure, the actual impact it will have on their operations will be minimal.
The 2023 budget, released Tuesday, confirms a deal to lower the credit card fees paid by small businesses by up to 27 per cent.
David Worsley, co-owner of Words Worth Books in Uptown Waterloo, is no stranger to the fees associated with credit cards. (CTV Kitchener/Spencer Turcotte)
“No small business is going to say no to a few extra nickels,” said David Worsley, co-owner of Words Worth Books in Uptown Waterloo.
He says cash sales at his store are rare, and credit cards are involved in a significant chunk of transactions.
He’s no stranger to credit card fees and welcomes the move by the federal government to reduce them.
“But it's low-hanging fruit. It's not really a game changer.”
Worsley says ultimately, credit card fees are low on the list of things that keep him awake at night.
“Some quick back of the envelope math suggests it might pay for an invoice here or there. Of course it will. But will it change the game? Will it allow any prospective small business owner to say 'OK great, now I can do X.' Not really,” Worsley said.
He says tax relief is what small businesses truly need.
CFIB APPLAUDS MOVE
The Canadian Federation of Independent Business (CFIB) says lower credit card fees could help with COVID-19 recovery efforts and is significant considering Canada has some of the highest fees to accept credit cards in the world.
“Reducing fees to accept credit card payments will help businesses deal with the increased cost of doing business,” said Jasmin Guenette, vice-president of National Affairs with CFIB.
“If a small business can save up to $1,000 a year in credit card fees -- that's money they can reinvest in their business.”
CTVNews.ca Top Stories
BREAKING Iran fires air defence batteries in provinces as explosions heard near Isfahan
Iran fired air defence batteries early Friday morning as explosions could be heard near a major air base near Isfahan, raising fears of a possible Israeli strike following Tehran's unprecedented drone-and-missile assault on the country.
American millionaire Jonathan Lehrer denied bail after being charged with killing Canadian couple
American millionaire Jonathan Lehrer, one of two men charged in the killings of a Canadian couple in Dominica, has been denied bail.
Nearly half of China's major cities are sinking, researchers say
Nearly half of China's major cities are suffering 'moderate to severe' levels of subsidence, putting millions at risk of flooding especially as sea levels rise.
Prince Harry formally confirms he is now a U.S. resident
Prince Harry, the son of King Charles III and fifth in line to the British throne, has formally confirmed he is now a U.S. resident.
Judge says 'no evidence fully supports' murder case against Umar Zameer as jury starts deliberations
The judge presiding over the trial of a man accused of fatally running over a Toronto police officer is telling jurors the possible verdicts they may reach based on the evidence in the case.
Health Canada to change sperm donor screening rules for men who have sex with men
Health Canada will change its longstanding policy restricting gay and bisexual men from donating to sperm banks in Canada, CTV News has learned. The federal health agency has adopted a revised directive removing the ban on gay, bisexual and other men who have sex with men, effective May 8.
Colin Jost names one celebrity who is great at hosting 'Saturday Night Live'
Colin Jost, who co-anchors Saturday Night Live's 'Weekend Update,' revealed who he thinks is one of the best hosts on the show.
Sports columnist apologizes for 'oafish' comments directed at Caitlin Clark. The controversy isn't over
A male columnist has apologized for a cringeworthy moment during former University of Iowa superstar and college basketball's highest scorer Caitlin Clark's first news conference as an Indiana Fever player.
'Shopaholic' author Sophie Kinsella reveals brain cancer diagnosis
Sophie Kinsella, the best-selling author behind the 'Shopaholic' book series, has revealed that she is receiving treatment for brain cancer.