I recently ate at a restaurant that accepts Visa but has a policy that specifically excludes accepting Costco Visa credit cards. I have never heard of such a thing.
While the Costco Visa credit card does offer a higher cashback rate than most other cards for restaurants, I have always assumed that the cashback would come out of the Visa merchant fee and that Visa's merchant fee would be the same regardless of card issuer.
- Why would a merchant specifically exclude Visa cards from a specific issuer?
- Is accepting some Visa cards but not others allowed by Visa's merchant agreement?
(I am asking out of curiosity, not because I have any desire to file a complaint. I am not going to dine at that establishment again.)