Credit Card Surcharge Laws by State: A Guide for AEC Pros

ClientPay Team
ClientPay Team
March 1, 2024

The practice of implementing a surcharge to recoup the costs of credit card processing fees was illegal in many states for several decades. However, thanks to a class action lawsuit in 2013, a large number of states began permitting the practice, with more and more states following suit over the course of the decade. As of the time of writing, surcharging is legal in all but four states (Connecticut, Maine, Massachusetts, and New York*) and Puerto Rico.

Note: Surcharges are governed by state law and card brand rules (like those published by Visa and Mastercard), each of which are subject to change. Attorneys are also subject to ethics rules and should check with their local bar association for the most updated information applicable to them. The following list, updated as of December 2023, provides AEC professionals with updated information on the legal status of credit card surcharges specifically based on state law.

Alabama:

Alaska:

Arizona:

Arkansas:

California:

Colorado:

Connecticut:

Delaware:

Florida:

Georgia:

Hawaii:

Idaho:

Illinois:

Indiana:

Iowa:

Kansas:

Kentucky:

Louisiana:

Maine:

Maryland:

Massachusetts:

Michigan:

Minnesota:

Mississippi:

Missouri:

Montana:

Nebraska:

Nevada:

New Hampshire:

New Jersey:

New Mexico:

New York:

North Carolina:

North Dakota:

Ohio:

Oklahoma:

Oregon:

Pennsylvania:

Rhode Island:

South Carolina:

South Dakota:

Tennessee:

Texas:

Utah:

Vermont:

Virginia:

Washington:

West Virginia:

Wisconsin:

Wyoming:

Depending on your location, being able to implement a surcharge can make offering the option to pay by credit card much easier to stomach. You can offer your clients the payment options they prefer to use, while minimizing the costs associated with them on your end. It’s a win-win for both of you!

See for yourself how ClientPay can streamline your billing process. Schedule a demo today!