Schumer urges clearer gas-station pricing

Long Islanders who use credit or debit cards for gasoline often pay more than they anticipate, attracted by signs that advertise cash-only prices, Sen. Charles Schumer said Monday.

At a news conference in Wantagh, Schumer (D-N.Y.) said he will call on the Federal Trade Commission to consider rules requiring gas stations to post clear and readable prices -- for cash and credit -- that customers can see from their vehicles.

"Over the past weeks and months, my office has gotten more and more complaints from Long Islanders about gas stations charging two different prices for gasoline -- one for cash purchases and one for credit card purchases -- without telling consumers about the different prices," he said.

He noted that while it is illegal for gas stations to raise prices based on the method of payment, they are allowed to offer discounts for cash.

However, Schumer said that often, "when these gas stations post the price . . . they only advertise the discounted per gallon cash price . . . [or] post small, almost unreadable, signs referring to 'cash,' " Schumer said.

He said the problem isn't particular to Long Island, and noted that the Westchester County Legislature last week required stations to clearly post cash and credit prices.

Peter Holmstedt, who owns a Mobil station in East Meadow and is a board member of the Long Island Gasoline Retail Association, said he charges the same price for cash and credit, but it's costing him $9,000 a month in fees on non-Mobil credit cards. "I give up that money trying to get people to come into my business," he said. "If the senator wants to do something, he could get the credit card companies to stop charging us so much money."

A call to the FTC wasn't returned.