Thread: Stiffing
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Old 11-06-2007, 04:01 PM
Tony_P Tony_P is offline
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Join Date: Jun 2005
Location: Astoria, NY
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Default Re: Stiffing

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Tonyp,

Explain to someone who rides in a cab like twice a year exactly what's going on here. If he doesn't hit the stop button can he pocket the cash without giving any to his taxi pimp, or does he just not think you'll tip him if you pay with credit?

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They pay a 5% processing fee on CC transactions, including the tip. Most taxi drivers, however fail to understand what the restaurant industry has understood for years, that people will spend more and tip more if able to use credit cards.

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what's up with the cabbies not telling you the CC reader works? does it mean they have to report tips and thus pay taxes? do they hate the hassle? or do they just find that people have an easier time stiffing if they're just signing a slip?

BTW, whenever i pay by CC i tip in cash if at all possible for this exact reason. industry people who are observant will appreciate it.

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I assume it's also because they don't want to report the tips. FWIW, I always tip 20% when paying by credit card in cabs. (when they don't lie) The touch screen makes it easy. You don't have to sign or anything with the new system. Touch "credit", swipe your card, then select how much to tip. If I am paying a cab fare with cash, I round up and add $2, so they are definitely making more money off of me with CCs
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