According to this article in the StarTribune, the City of Minneapolis is considering imposing a mandate on cab companies to force them to accept credit card payments for fares through modern means (i.e. no carbon copies). While this may be a great idea, at least one cab company representative believes this sort of decision should really be left up to the market.
From the article:
The city council’s regulatory committee will hear a proposal Monday that would require taxicabs in Minneapolis to electronically process debit and credit cards.
Council member Gary Schiff, who recently spearheaded an effort to loosen local liquor laws, is pushing for the change.
[...]
“The acceptance of credit/debit cards to pay taxicab fares addresses passengers’ preferences and expectations about payment options,” Patrick Hilden, with city licensing, said in a staff report. “Individuals, whether residents or visitors traveling for business or pleasure use credit/debit cards to account for expenses and avoid carrying excessive amounts of cash.”
While Councilmember Schiff also said he is concerned about visitors being stranded downtown by cash-only cabs, one has to wonder whether this sort of regulation is as necessary as the City of Minneapolis is making it seem to be. Some cab companies are already accepting credit cards either though modern swipe machines or through the old-school carbon copies. Those that don’t are certainly not hindering visitors as there are any number of ATMs available if visitors to downtown Minneapolis are really unable to find cabs that take plastic.
Do you think that the City of Minneapolis, or any city across the metro should take the time and energy to consider such a mandate? Do you think that this sort of decision-making is overstepping the authority cities should have over independent businesses (licensed or not)? When you take a cab do you ensure you have cash on hand to pay or do you expect them to accept credit cards? Would you be concerned if a cab accepted credit cards but used the carbon copy method? Whatever you have to say go ahead and comment on as I’d love to hear your thoughts.
Dakota Complaints Map
Dakota Inmate Dashboard
Loading ...
November 23rd, 2011 at 8:15 am
I feel the city is intruding unnecessarily. I rarely ever use a cab but I would always use cash. Having credit info stolen is too big a hassle anymore. They don’t just deny illegitamite charges today, they issue a new card and leave you to contact all accounts where your old info was stored. It happens too much even with the big stores we once trusted. The new scam is they add cash back with out telling you. You swipe and sign, grab your receipt and stuff it it your pocket or the shopping bag and the clerk either pockets the cash or hands it as change to a co-conspirator who comes through that lane shortly after you, buying something small and pays cash, getting the ‘take’ as part of the change. Cameras have a hard time spotting this. Always check your receipt before leaving ANY register anywhere.
November 23rd, 2011 at 8:32 am
This is a good idea. It helps both the consumer and the cab driver. Using the old carbon copy method, it might take a week or more for the driver to see the funds he or she has earned, and given their relatively low pay, it is an unnecessary burden to have to wait to get paid.
As well, some cab trips nowadays can run upwards of 100 dollars. Even though it is pretty easy to get cash, that is not always the safest thing to do depending on where you are looking to grab a cab.
I am also fine if cab fees go up a bit to accommodate this customer benefit.
November 23rd, 2011 at 8:57 am
I don’t think its a good idea. In fact, I would go as far as saying this is another example of government trying to fix something that isn’t broken.
I’ll say I do not use cabs that often. However, when I travel and I know I’ll be using a cab I go prepared with enough cash. If a traveler isn’t prepared to incur expenses on their trip, I would question the wisdom of the traveler not the accessibility of transportation.
Seriously, I really think this is government overstepping. Convenience needs to be legislated? If there was such a big demand wouldn’t all cab companies have allowed CC’s on their own by now? And stranded? Some cab companies allow CC’s, just keep calling different places until you find one that does. Its almost like they are trying to stamp the resourcefulness out of people. Sheesh!!
November 23rd, 2011 at 9:02 am
I’m usually for the sort of thing where government is adding additional regulations, but not this time. This isn’t about safety or equality. Are we going to start making restaurants take credit cards? What if someone is downtown and hungry?
November 23rd, 2011 at 9:36 am
My thoughts:
- I’m not a regular user of cabs, but I haven’t experienced one that hasn’t accepted a credit card. At least in the last 5 years or so. Are there really that many cash-only cabs?
- I’m the opposite of Kassie in this case — I’m not for the government adding regulations, especially in this kind of case where it’s completely unnecessary.
- That said, if it was the airport where there are limited companies and you sort of have to accept the next cab in line (more or less), I can see regulating it as a minimum standard to have to service the airport.
- On a completely unrelated note, I’m fascinated that lefty got two thumbs down so quickly. Was it that it was an uncharacteristically pleasant post? Agree or disagree, his point was valid and logically articulated. I usually reserve the thumbs down for comments that are just plain stupid like Twoboot’s, not good comments that don’t happen to follow my own opinion.
November 23rd, 2011 at 9:40 am
Whether cabs accepting credit cards is a good idea or not is irrelevant. The choice should be left up to the business as what forms of payment it wishes to accept. If the government can do this, it can start forcing businesses to accept checks. Or American Express…or the Discover card. I am SO GLAD the government is trying to take care of me so I don’t have to make hard choices all by myself.
November 23rd, 2011 at 9:49 am
what sui generis said.
November 23rd, 2011 at 9:56 am
Am I the only one here who has been berated by a cab driver for only having a card to pay with?
The company I work for, and also the company Ms. lefty works for actually require that we use our cards for business purposes in order to properly expense trips. This means needing to ask the driver if he or she takes cards. The last time the Ms. was in Milwaukee, she pretty much listened to the jackass cab driver complain about his credit card issues from the moment she got into the car until he dropped her at her destination. I have had a few less significant conversations like that for the same reason, but I do understand the cab driver’s side of things. Taking a card electronically (whether mandated by the government or not) is better for everyone.
On the other unrelated note, MSPD’s comment while tempered with the “uncharacteristically pleasant” smack was appreciated. How dare you individuals thumbs down my intellect! Go ahead, I dare you!!
November 23rd, 2011 at 10:03 am
lefty,
What intellect? ;-) (you invited that one!)
November 23rd, 2011 at 10:17 am
I think it’s unnecessary, though MSPD makes a good point about the airport. I thought most cabs accepted cards now anyways.
November 23rd, 2011 at 10:23 am
lefty,
I’ve never been berated by a cab driver but then again I always ask if they accept cards before I get in the cab (if that’s all I have on me). As for business expenses, my company takes receipts for cash cab fare–I had no issues with it when I used cabs in Vegas to get to/from the airport.
November 23rd, 2011 at 12:50 pm
I carry as little cash around as possible. So, I’d prefer if everyone took credit cards (even if it’s carbon copies), but I don’t think anyone should be made to take my card. If losing my business isn’t enough to make the change, then so be it. Though, it’s unlikely my 2 cab rides in the last 5 years have made that much difference to the bottom line of any company.
November 23rd, 2011 at 6:47 pm
IF all things were equal, ie, using debit cards and credit cards life would be wonderful. As has been stated before debit cards are the most dangerous “plastic” carried by the consumer today. There is minimal protection using these cards. When using debit cards, unscrupulous businesses can remove additional funds from a consumer’s bank account, then return these funds to the account three to five business days later. In the mean time the consumer’s money is being invested in twenty four hour global money market funds, along with the transaction fees, lining the pockets of these businesses, banks and “card” companies.
Until there is adequate consumer debit card protection, this is another government lame idea.
November 23rd, 2011 at 9:43 pm
Love these 1st world problems. And no, they should not be requiring a business to accept credit cards, not unless the city wants to help them out and pick up the tab. that’s my gut talking. My head sees cabs as an interesting business model where they have all sorts of regulations applied to them due to their being a significant contact point for visitors to our city. As such they seem to be stuck having to tow the line.
Anyone ever used uber car service? Heard the founder on a startup podcast and it sounded like a nice change from cab service. Costs a bit more, but get some nice service and all payment is via a phone app. When they sign up drivers they provide an iphone and the software and I guess the drivers are making some coin in the cities where they have the service.
November 24th, 2011 at 8:08 am
I’m cabs alot, most every time I travel we’re in one. Theres nothing worse than sitting in cab watching the meter run up and up and up and wondering if you have enough cash on hand to pay for it, or under estimating that trip somewhere.. I remember one cab ride in London.. to a company office, 72 pounds. Was told it would be about 30 bucks. Thank goodness for credit cards that day.
I think this is a good idea frankly, if nothing else to enforce some consistency. My company makes it a lot easier to be reimbursed with credit cards than with cash. This also removes the old cab fare loophole in expense reporting. Used to be when ever you took a cab and asked for a receipt you to the famous “blank” one that you would have to fill in. For dishonest folks..
We already regulate cabs for good reason. Adding a payment modern payment method makes sense. Charge us more for the ride if that’s an issue. But having some that do take cards and some that don’t… next time you fly into MSP at 11:00 and go to the cab stand to find that there aren’t any that take credit cards and wait and wait
nuff said.
November 24th, 2011 at 8:09 am
Will,
You are clueless.
L
lefty
November 24th, 2011 at 8:54 am
Lefty,
Obviously you know nothing about the banking industry.
November 24th, 2011 at 9:24 am
Ok genius.
Show me how these transaction dollars that pend on your bank account because the restaurant wants to make sure you can cover a tip get transferred to some overseas bank account for profit.
Not only are you ignorant of the fact that there are no guaranteed investments in this world, but you fail to comprehend that attempting to profit from a business investment in this way is not even legal.
As well, transaction fees exist because they actually cost a company money to transact, and yes, the fees include this crazy notion called “profit”.
Oh, I spent two years in the banking industry at a pretty high level by the way. Wrong again, buddy.
Catch me back when you prove that we never actually landed on the moon.
lefty
November 29th, 2011 at 9:51 am
They’ve held off on the CC requirement but have mandated dress codes? http://feeds.minnpost.com/~r/minnpost/~3/DqzgqQ8Asic/minneapolis_taxi-driver_dress_code_passes_credit-card_issue_put_off
November 29th, 2011 at 7:05 pm
I don’t see the point of mandating their dress codes. Can’t say I’ve ever noticed what a driver was wearing.
June 4th, 2012 at 2:49 pm
http://feeds.bizjournals.com/~r/bizj_twincities/~3/kCyKeC9J1GI/minneapolis-cabs-now-take-credit.html