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For golf course operators, the convenience of credit card transactions comes at a steep price. 

But what if there’s a way to turn the tables on rising processing fees?

A 2023 survey from Forbes confirms that just 9% of Americans regularly use cash to pay for purchases. Digital payments are fast and easy, but surcharges from every swipe adds up to significant revenue losses. 

Teesnap acknowledges this challenge and offers a potential solution: Cash Discounting. 

But what is Cash Discounting, and how does it differ from Surcharging? Let’s explore. 

Understanding Cash Discounting & Surcharging

Cash Discounting

How it Works: Offer a discount to consumers who choose to pay with cash, check, store credit, or store-branded gift cards.


  • Enhances brand and consumer experience.
  • Credit card users don’t feel penalized.
  • Cash users feel rewarded.
  • Business operators save on processing costs.


How it Works: Add a specified percentage as a fee on the total amount for consumers paying with credit cards.


Potentially offset some processing costs.

Clearly displayed added fees.

Head-To-Head Comparison

Feature/Criteria Cash Discounting Surcharging
Nature Rewards system Penalty system
Customer Perception Generally positive as everyone loves discounts Often negative as no one likes added fees
Implementation Direct integration into Teesnap’s POS Requires registration and approval from credit card companies
Availability Legal in all 50 states Legal in 46 states with restrictions
Profit Considerations Need to raise baseline prices to be profitable Surcharging may not fully cover processing fees. Card brands cap fees at 3% or processing cost, whichever is lower. Some state laws are even more restrictive with 2% fee caps.
Signage Requirements Point of entry (eg: front door, any consumer-entry points), purchase, and receipts Point of entry (eg: front door, any consumer entry points), purchase, and receipts
Risk Factors Increase in cash can lead to potential theft Mismanagement can result in loss of credit card privileges and/or fines from card companies, needs active management

Why Teesnap Offers Cash Discounting Over Surcharging

While both programs aim to offset the rising costs of credit card processing fees, Teesnap recommends Cash Discounting. 

Here’s why:

  • Positive Customer Experience – Discounts are always well-received. They’re perceived as rewards rather than penalties.
  • Easier to Implement – Direct integration into Teesnap’s POS makes it simple and efficient.
  • Lower Risk Profile – Compared to surcharging, Cash Discounting doesn’t come with the risks of losing credit card privileges or the complexities of constantly changing regulations. 
  • Brand Image – Surcharges can tarnish a brand’s image, making it appear that they’re penalizing customers. Discounts elevate the brand and increase customer loyalty.

Wrapping Up

For golf course operators, Cash Discounting offers a unique approach to taking on the financial burden of credit card processing fees. 

It’s a win-win for your business operations and your customers. 

While surcharging also provides an avenue to offset costs, the potential negative perception and associated evolving risks make Cash Discounting the preferred choice for Teesnap.

Remember, regardless of the approach, the ultimate goal is to offer the best experience to golfers while ensuring your course’s financial health. By understanding the nuances of each program, golf course operators can make an informed decision that benefits both their business and their clientele.