Using Your Credit Card At Disney World Just Got More Expensive

Do you use your credit card to pay for things at Walt Disney World? Of course, you do. Everyone does. Outside of paying with Disney gift cards, credit cards are the only way to book Disney vacations online. And once you get to the parks, you simply scan your magic band and pay for everything with your credit card when you leave. It is both simple and scary, especially when you get the bill and forget just how much you spent. 

Related: Disney World Pricing Is Going to Start to Keep Some Families Away

But, according to Jason Garcia of Seeking Rents, using your credit card at Walt Disney World is about to get more expensive. The Florida Legislature is considering allowing credit card companies to continue charging higher fees to vendors every time a charge occurs. Those vendors, in turn, pass those fees along to guests. In this case, Disney World will charge you more every time you use your credit card.

First, some background. When you use your credit card, companies like Visa, Mastercard, and American Express charge the merchants between two and three percent for every transaction. So, say your Disney vacation costs $5,000, Visa receives $150 of that. It may not seem like a lot, but think about how many times people use their credit cards on a day-to-day basis. It adds up.

But that cost is just the base price of your package. It doesn’t include the six percent state tax. That adds another $300 to your purchase. So, the total cost is $5,300. In Florida, credit card companies are allowed to charge not just the cost of the package but also the sales tax. That adds $18 in fees to the credit card companies. This also doesn’t include the “other” fees that Disney adds to your trip. Again, it doesn’t seem like a lot, but it adds up.

Related: Hey Iger, It’s the Price That’s Keep Disney World Attendance Down. 

Vendors end up having to pay that fee, or more likely, they pass that fee onto you, and your vacation package gets more expensive. Retailers have been lobbying the Florida Legislature to get rid of those extra fees, but now, credit card companies are spreading money around to make sure they can keep those credit card transaction fees as high as possible. Garcia estimates that in Florida, retailers have paid $288 million in swipe fees just on sales tax.

Just before Christmas, Visa and Mastercard gave three Florida lawmakers $20,000 in campaign donations, including a $10,000 gift for Senate President Kathleen Passidomo (R-Naples).

Garcia said:

You could almost think of these donations as early Christmas presents from the companies that rule the American credit card market to the politicians that rule Tallahassee. But these gifts come with strings: Because Visa and Mastercard are simultaneously lobbying the Florida Legislature for the right to continue charging inflated credit card processing fees.

But this battle pits the credit card companies against influential Florida retailers and businesses like Disney. These Florida merchants are also lobbying the Florida Legislature. But what’s missing is someone advocating for the consumer who will eventually have to pay these higher fees.

So, while Disney World continues to raise its prices, consumers will have to pay a little more for their trip. The consumer will lose this competition between credit card companies and Florida retailers.

We will continue to update this story at Disney Fanatic.