Customer Communication: How to Explain Surcharges Without Losing Sales
Practical scripts and strategies for talking to dealership customers about credit card surcharges — maintaining relationships while recovering fees.
Customer Success Lead
You've decided to surcharge. You've set up the terminals and posted the signs. Now comes the human part: actually talking to customers about it.
This is where many dealerships get nervous. Will customers be angry? Will they leave? Will it hurt CSI scores?
Here's the reality: most customers accept surcharging when it's communicated well. The key is how you explain it.
The Fundamental Principle
Don't apologize. Don't hide it. Don't be defensive.
Surcharging is legal. It's increasingly common. And it's fair — you're passing along a real cost, not inventing a profit center.
Communicate it as a normal business practice, and customers will treat it that way.
Communication Framework
Be Proactive, Not Reactive
Wrong: Wait until receipt prints and customer sees the charge.
Right: Mention before processing so there's no surprise.
Be Matter-of-Fact, Not Apologetic
Wrong: "I'm sorry, but I have to tell you there's this fee..."
Right: "Credit cards have a 3% fee. Debit, cash, and check have none."
Offer an Alternative, Not an Exception
Wrong: "I could try to get my manager to waive it..."
Right: "If you'd prefer, debit card has no extra charge."
Be Consistent, Not Flexible
Wrong: "Well, I guess I could waive it this time..."
Right: "It applies to all credit card transactions. It's the fee the card companies charge us."
Scripts That Work
The Standard Disclosure
Situation: Customer hands over credit card.
Script: "Just so you know, there's a 3% fee on credit card payments — that comes to $[amount]. Debit, cash, and check have no fee. Would you like to proceed with credit?"
Why it works:
- States the fee clearly
- Gives dollar amount (feels concrete)
- Offers alternative immediately
- Asks for confirmation
The Early Mention
Situation: During estimate or price discussion.
Script: "Your total comes to $[amount] plus tax. One thing I should mention — we do apply a small surcharge for credit card payments, about 3%. Debit and cash have no extra charge."
Why it works:
- No surprise at checkout
- Customer can plan payment method
- Sets expectation early
The Explanation
Situation: Customer asks "What's this surcharge?"
Script: "That's the fee the card companies charge us to process credit cards. Rather than building it into everyone's prices, we pass it along only to customers who use credit. If you'd rather use debit, there's no fee at all."
Why it works:
- Explains the reasoning
- Frames as fairness (not everyone subsidizes card users)
- Offers solution
The Comparison
Situation: Customer seems surprised or hesitant.
Script: "You may have seen this at gas stations or restaurants — it's becoming pretty common. The credit card companies charge merchants every time someone swipes, and we're passing that cost along rather than raising prices for everyone."
Why it works:
- Normalizes the practice
- Shows it's not just you
- Frames as fairness
How Anchorbase Handles This
Anchorbase provides ready-to-use scripts and training materials for your team. We've refined these approaches across hundreds of dealership implementations and know what works.
Handling Specific Objections
"I've never seen this here before."
Response: "We implemented it recently. The card networks like Visa allow merchants to pass along processing costs, and we decided to do that rather than raise prices for everyone. Debit card is still free if you'd prefer."
"That's a lot of money."
Response: "I understand — on a bigger transaction it does add up. That's why we offer debit, cash, or check as options with no additional fee."
"Can you waive it?"
Response: "I can't waive it — it applies to all credit card transactions equally. But I can switch you to debit if you have a debit card?"
"This is ridiculous."
Response: "I hear you. The credit card companies do charge significant fees. We decided to be transparent about it rather than building it into our prices. If you'd rather pay a different way, I'm happy to help."
"I'm taking my business elsewhere."
Response: "I understand. If you do check around, you may find other places do this too — it's becoming more common. But either way, I appreciate you letting me know how you feel."
"I want to talk to a manager."
Response: "Absolutely, let me get someone." [Manager uses same consistent talking points]
Body Language and Tone
What to Do
- Maintain eye contact
- Keep tone neutral and professional
- Stand/sit confidently
- Have answers ready
What to Avoid
- Cringing or wincing
- Lowering voice (like it's a secret)
- Rolling eyes (as if agreeing it's ridiculous)
- Getting defensive or argumentative
The Goal
You want to project: "This is a normal thing we do, like any other policy. I'm not embarrassed about it, and I'm happy to help you with alternatives."
Training Your Team
Initial Training
Before launch:
- Explain why you're surcharging (cost recovery)
- Review legal compliance requirements
- Practice scripts in role-play
- Answer questions and concerns
Ongoing Reinforcement
After launch:
- Discuss customer reactions in team meetings
- Share what's working
- Address any staff discomfort
- Celebrate successful conversations
Common Staff Concerns
"Customers are going to be mad at me." Reality: Some initial friction, then it normalizes. After a few weeks, it's just part of the job.
"I don't want to nickel-and-dime people." Reframe: You're not inventing a fee — you're being transparent about a real cost. Customers who don't want to pay it have options.
"What if I say the wrong thing?" Solution: Scripts and practice. The more you say it, the more natural it becomes.
Department-Specific Approaches
Service Advisors
- Mention at estimate (before checkout)
- Include in payment discussion naturally
- Follow up at pickup if payment method might change
Cashiers
- Signage does initial disclosure
- Confirm verbally before processing
- Handle objections calmly
F&I Managers
- Large transactions (down payments)
- More discussion time available
- Can explain in detail if needed
Parts Counter
- Quick transactions
- Brief disclosure
- Signage is key
Signage That Supports Conversations
Good signage makes conversations easier. Staff can reference it:
"As you can see on the sign here, credit card transactions have a 3% fee."
"Our signage at the entrance mentions this — it's the fee the card companies charge us."
Signage Tips
- Visible but not aggressive
- Clear and simple language
- Consistent throughout facility
- Include alternative payment options
Tracking Customer Feedback
What to Monitor
- Complaints (volume and nature)
- Escalations to management
- CSI impact (if measurable)
- Lost customers (hard to track, but note if mentioned)
What's Normal
- First 2 weeks: Some pushback, more questions
- Weeks 3-4: Declining complaints
- After 1 month: Rare complaints, normalized
Red Flags
- Sustained high complaint volume
- Staff refusing to enforce
- Significant customer defection
- CSI dropping notably
The Long Game
Month 1
- Expect more conversations
- Staff getting comfortable
- Customer base becoming aware
Month 3
- Surcharging is normalized
- Conversations are brief
- Complaints are rare
Month 12
- It's just how you operate
- New customers don't know anything different
- Existing customers are accustomed
When Communication Fails
If a Customer Is Truly Upset
- Let them vent
- Acknowledge their frustration
- Don't argue or justify
- Offer alternatives (payment method, not waiving fee)
- If they want to leave, let them
If a Customer Posts a Bad Review
- Respond professionally
- Explain policy briefly
- Don't get into arguments online
- Move on
If Staff Won't Enforce
- Revisit training
- Understand their concerns
- Make clear it's not optional
- Address if it continues
The Bigger Picture
Credit card fees are real. They cost dealerships meaningful money. Surcharging is a legitimate, legal way to address that.
The key to customer communication is confidence and consistency. Treat it as normal, offer alternatives, and don't waiver.
Most customers will accept it. The ones who don't were probably never your best customers anyway.
Anchorbase provides implementation support including staff training, scripts, and signage guidance. We've helped hundreds of dealerships launch surcharging smoothly — and we can help you too.