Due to the credit card transaction fees (charged by the credit card companies, and payment processing companies) there has to be. That’s why almost every store implements such a policy.
In fact, since we prefer transparency, here’s all the details:
In order to process credit cards, we use a company called Stripe. You can see all the details about their fees here. But here’s what they charge us for credit card transactions:
Which means if we charge your credit card $10, then stripe will take: 0.30 + (10 * 0.029) = $0.59
Now since that 30 cent fee is fixed, you can easily see why we’re unable to charge you 5 cents without losing money. Which is why we’ve chosen a minimum charge of $10 per credit card transaction. If your bill is less than $10, we simply credit your account for the difference. And we automatically use that credit for future monthly bills.
So, for example, if your monthly bill is $1, then you’ll be charged $10 once every 10 months. (After the first charge you’ll be left with a $9 credit. Which you’ll chip away at for the next 9 months, until you finally run out of credit. At which time you’ll be charged $10 again. And the cycle repeats.)
By the way: since you’re an inquisitive and intelligent fellow, and you’ve managed to read this far, we’ll let you in on a little secret:
$10 is the minimum amount we require for everybody. But you can choose to increase the minimum for your account. Why would you do this? Well, if you increase your minimum to $20, and your monthly bill is less than $10, we’ll automatically credit your account $0.30. In other words, since you just saved us 30 cents, we’ll pass 100% of the savings on to you. Here’s the rules:
your minimum payment must be a multiple of $10
your monthly bill must be less than $10
you get $0.30 credit for every extra $10 charged to your account
To sign up, just send us an email.