- One quarter will continue to pay with a credit card regardless of additional charges.
- Fewer than one in ten don’t use credit cards currently, so would not be affected by the changes.
November 1, 2022:
In addition to the high cost of living, inflation, and changes to interest rates, Canadians could also see additional charges when using credit cards for purchases after new regulations were recently passed by the Federal Government to allow businesses in Canada to pass credit card fees along to customers. Expected to come into effect in November, businesses will have the option to add a surcharge of between one and three percent for customers that pay by credit card.
Results show that a majority of Canadians will switch to paying by debit or cash to avoid a surcharge (70%), while one quarter will continue to pay with a credit card (24%). Only a small portion of the population (6%) indicate this is not applicable as they currently don’t have a credit card.
Canadians living in Newfoundland and Nova Scotia are more likely to say they would switch to paying by debit or cash to avoid such a surcharge, compared to those living in other provinces across the country. In contrast, men, and Canadians that are employed full time are more likely to say they will continue to pay with credit card compared to women and those employed part time, self-employed, unemployed or homemakers/students and individuals that are retired.
Results are from a survey conducted in partnership between Narrative Research and the Logit Group. The survey was conducted online between October 11 to 13, 2022 with 1,235 Canadians, 18 years of age or older from the Logit Group’s Canadian Omnibus. Data were weighted based on the 2016 Census, by gender, age, and region to reflect actual population distribution. As a non-probability sample (i.e., a panel sample where residents have joined a panel to share their opinions), and in accordance with CRIC Public Opinion Research Standards, a margin of error is not applied.
The question asked was:
As you may be aware, new regulations recently passed by the Federal Government will allow businesses in Canada to pass credit card fees onto customers. The decision is expected to come into effect in November, with some businesses adding a surcharge of between one and three percent for customers who choose to pay by credit card.
If a business were to implement a surcharge by credit card, would you:
- Switch to paying by debit or cash to avoid the surcharge
- Continue to pay with a credit card
- Not applicable – I don’t have a credit card
For more information, please contact:
Margaret Chapman, COO & Partner, Narrative Research – 902.493-3834, mchapman@narrativeresearch.ca
OR
Sam Pisani, Managing Partner, Logit Group – 416.629.4116, sam.pisani@logitgroup.com
Narrative Research (www.narrativeresearch.ca), is a leading public opinion and market research company headquartered in Canada. The company was recently certified as a WBE (Women Business Enterprise). As a non-partisan, 100% Canadian-owned research company, Narrative Research is dedicated to providing clients with state-of-the-art research and strategic consulting services.
The Logit Group (https://logitgroup.com/) is a leading North American data collection and market research execution company headquartered in Toronto, conducting large-scale projects for a variety of well-known research agencies and brands. Logit employs industry-best technologies across an array of methodologies, and is independent, experienced and quality-oriented.
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