UNH Dining's New Credit Card Policy Causes Controversy - Ella N

Ella Nilsen

ENGL 621 – “UNH Dining’s New Credit Card Policy Causes Controversy”

10/17/11

Durham N.H. – Among changes in UNH’s Dining Services policies this year is one mandating that customers pay a $5 minimum in order to use credit cards at any dining retail location. 

While the move comes at a time when the university faces the deepest budget cuts in its history, Dining Retail Area Manager Andrew Porter says that the credit card minimum was not wholly due to the budget crisis. 

 “Every year, we look at our lines and look where we can save money and reduce costs,” said Porter.  “It was really just a way for us to try and control costs.”

According to Porter, Dining paid $65,000 extra last year simply in credit card fees. 

“It’s one of the things that we pay a lot for, but students don’t get a service for it,” Porter said.  “It’s just $65,000 we spend away.”

In today’s convenience driven world, many college students rarely carry cash on them and primarily use their credit or debit cards for small purchases such as buying a cup of coffee.  However, the hidden fees that these small purchases incur add up quickly.

According to Porter, there is a flat fee of 10 to 15 cents for every charge on a credit card.  This flat rate then has a percentage added onto it.  How much is added depends on various factors. 

“There’s no common number,” said Porter.  “A percentage varies based on the credit card that you use, whether it be a credit card or debit card, whether it be a card that collects points, or just a straight credit card.” 

The amount of percentage also varies depending on the user of the card.  “If someone has a great credit rating, it’s a lower percentage we pay,” said Porter.  “If they have a horrible credit rating, it’s a higher percentage rate.”

Porter said that Dining introduced the $5 credit card minimum as an alternative to other measures, which could have added extra fees to students’ bills or taken away certain products or services.  Porter said he hoped the minimum would be an option to allow students the freedom to choose whether or not to purchase more without adding costs. 

Both Porter and Zeke’s employees pointed out that there are still numerous ways for students to pay for their food and beverages, which include cash, Dining Dollars, or Cat’s Cache.  They also mentioned that if students really want to use their credit cards, they could simply buy more add-on items.

These suggested solutions have angered students, many of whom primarily pay with credit cards.  Many feel like the policy has inconvenienced them, and is simply another way to get them to spend more at dining locations.

“People are usually angry because it makes them buy more,” said Zeke’s employee Lindsay Jeffries.  “It definitely increases sales, but it definitely makes people mad.”  Jeffries says that the reactions that she’s seen at the cash register have been mostly negative.

“Some people are fine without their credit cards,” Jeffries said, “but a bunch of people have been complaining, or getting mad, or just walking away.”

Many students say that while they understand why Dining implemented the measure, they still find it inconvenient.  “It’s annoying,” says junior Nina Lary.  “Once you get to the register and realize it’s the five dollar thing, you think, ‘Okay, I’ll just buy extra.’”

“It makes me eat a lot more,” said student Jennifer Venti.  “If you pay the $5, you end up getting more food.”  Even though the policy is frustrating, Venti said that independent town restaurants such as the Bagelry and Durham House of Pizza have $5 minimum policies as well, so Dining’s move isn’t a huge surprise.

Some angry students have gone so far as to question the legality of the policy.  Said Porter, “We’ve gotten a couple of more formal requests asking the legality of it.  There was legislation that changed the policy over the summer that does make it legal for us to require a minimum purchase for Visa and Mastercard.”

UNH students will have soon relief at one campus location.  The new UNH branch of Dunkin’ Donuts in the MUB will not follow the university’s policies and, Porter believes, will not impose the credit card limit.

“We have nothing to do with Dunkin’ Donuts,” said Porter.  “They’ll have their own policies and procedures.”

Until Dunkin’ Donuts opens, students will have to grumble under their breath as they reach for that 99 cent add-on.