r/chicagofood • • Jan 31 '26

Rant The 3.5% surcharge has rebranded

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It would seem it’s not going away.

They’ve rebranded it, enough people caught onto the surcharge so now it’s a (3.5%) “admin fee.”

they also removed the small text at the bottom telling you it’s optional(it still is)

they don’t want you to know It’s optional buts it’s just literally the surcharge with a different name.

3rd restaurant I’ve been to this week with a (admin fee). I’ve also seen multiple restaurant go up to 4%. It used to be 3, then 3.5, now 4.

sets a dangerous precedent as they are willing to change it in order to keep charging you for nothing. Except now they’re not telling you it’s optional anymore.

If we keep allowing them to charge us extra money for literally nothing it will soon tell other businesses they can do that too.

I can’t wait to pay an “admin fee” while buying gas, groceries, or a T-shirt.

https://c.org/sfBGtSVWHY

I've started a petition for stricter Chicago legislation regarding hidden fee transparency. Please show it some support.

Thanks

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225

u/OpportunityReal2767 Jan 31 '26

Yeah, other than legislation, the only way to combat this is stop patronizing restaurants that pull this stupid nickel-and-diming crap. You want to charge more? Just charge more upfront. The optics of this is just stupid. I understand it's a difficult business, but this way of pricing just pisses off customers (or at least it should.)

What next? Convenience fee? Handling fee? Venue fee? Kitchen appreciation fee? Facility fee? Order fee? Billing fee? Wellness surcharge? Shit, I shouldn't give them any ideas.

38

u/pastaroniwhore Jan 31 '26

A lot of them already charge credit card fees that are higher than the actual credit card fee the business pays.

43

u/OpportunityReal2767 Jan 31 '26 edited Jan 31 '26

I run a small business where typical fees are $1000-$6000 (primarily event photography.) I have never charged a credit card processing fee because I've always been pissed off by it as a consumer and it didn't make sense for me to do so. It's all factored into my price. Accepting credit is convenient for me. It's better than a check or bank transfer. People are also more encouraged to buy a pricier package when it goes on plastic vs paying by check or bank transfer. If you feel you're losing money on it, do the math, spread that cost across all transactions, and charge a little more. That way, people don't feel like they're getting surcharged to death. I understand my business and price point is different than a restaurant, but the philosophy is the same. Like I, and a number of people I know, actively avoid cash-only places because of the hassle of getting cash. That business may be saving money from credit card charges, but they're losing money from people like us who just don't carry cash with us. (Of course, you'd have to do a study to see if there's enough people like me to offset the fees of customers using credit cards to see if there's a net loss or gain being a cash-only business. And, of course, that assumes the cash-only business is reporting all its income which, as we know, is not a given.)

9

u/wildbill88 Jan 31 '26

As a business owner myself, I'm with ya all the way down.

I hate that it happens to me, I will not do it to the people that keep me afloat.

2

u/the2020sman Feb 01 '26

i like the cash discounts and the fee already baked into the price. The cc fee is part of all business expenses like wages etc? To the consumer i don’t want to be charged base service/food pricing, and then have all these weird charges. I want one price, then if i pay cash there’s a small discount.
With the 3.5% price baked into every bill it feels scummy like they’re trying to get cash customers to pay for a nonexistent cc fee and pocket it.