15 USC § 1666f - Inducements to cardholders by sellers of cash discounts for payments by cash, check or similar means; finance charge for sales transactions involving cash discounts

---
identifier: "/us/usc/t15/s1666f"
source: "usc"
legal_status: "official_prima_facie"
title: "15 USC § 1666f - Inducements to cardholders by sellers of cash discounts for payments by cash, check or similar means; finance charge for sales transactions involving cash discounts"
title_number: 15
title_name: "COMMERCE AND TRADE"
section_number: "1666f"
section_name: "Inducements to cardholders by sellers of cash discounts for payments by cash, check or similar means; finance charge for sales transactions involving cash discounts"
chapter_number: 41
chapter_name: "CONSUMER CREDIT PROTECTION"
subchapter_number: "I"
subchapter_name: "CONSUMER CREDIT COST DISCLOSURE"
part_number: "D"
part_name: "Credit Billing"
positive_law: false
currency: "119-84"
last_updated: "2026-04-17"
format_version: "1.1.0"
generator: "[email protected]"
source_credit: "(Pub. L. 90–321, title I, § 167, as added Pub. L. 93–495, title III, § 306, Oct. 28, 1974, 88 Stat. 1515; amended Pub. L. 94–222, § 3(c)(1), Feb. 27, 1976, 90 Stat. 197; Pub. L. 97–25, title I, § 101, July 27, 1981, 95 Stat. 144.)"
---


# § 1666f. Inducements to cardholders by sellers of cash discounts for payments by cash, check or similar means; finance charge for sales transactions involving cash discounts

**1** **Cash discounts** [^1]

With respect to credit  card which may be used for extensions of credit in sales transactions in which the seller is a person other than the card issuer, the card issuer may not, by contract or otherwise, prohibit any such seller from offering a discount to a cardholder to induce the cardholder to pay by cash, check, or similar means rather than use a credit card.

So in original. Probably should be preceded by “a”.

**(b)** **Finance charge** section 1605 of this title

With respect to any sales transaction, any discount from the regular price offered by the seller for the purpose of inducing payment by cash, checks, or other means not involving the use of an open-end credit plan or a credit card shall not constitute a finance charge as determined under  if such discount is offered to all prospective buyers and its availability is disclosed clearly and conspicuously.

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**Source Credit**: (Pub. L. 90–321, title I, § 167, as added Pub. L. 93–495, title III, § 306, Oct. 28, 1974, 88 Stat. 1515; amended Pub. L. 94–222, § 3(c)(1), Feb. 27, 1976, 90 Stat. 197; Pub. L. 97–25, title I, § 101, July 27, 1981, 95 Stat. 144.)

## Editorial Notes

### Amendments

1981—Subsec. (b).  substituted “With respect to any sales transaction, any discount from the regular price offered by the seller for the purpose of inducing payment by cash, checks, or other means not involving the use of an open-end credit plan or a credit card shall not constitute a finance charge as determined under  if such discount is offered to all prospective buyers and its availability is disclosed clearly and conspicuously” for “With respect to any sales transaction, any discount not in excess of 5 per centum offered by the seller for the purpose of inducing payment by cash, check, or other means not involving the use of a credit card shall not constitute a finance charge as determined under , if such discount is offered to all prospective buyers and its availability is disclosed to all prospective buyers clearly and conspicuously in accordance with regulations of the Board”.

1976—Subsec. (a).  temporarily designated existing provisions as par. (1) and added par. (2). See Termination Date of 1976 Amendment note below.

## Statutory Notes and Related Subsidiaries

### Termination Date of 1976 Amendment

> “The amendments made by paragraph (1) [amending this section] shall cease to be effective on
> 
> .”

, as amended by , , ; , , , provided that:

### Nullification of Board Rules and Regulations Under Subsection (b) of This Section in Effect on July 26, 1981

> “Any rule or regulation of the Board of Governors of the Federal Reserve System pursuant to section 167(b) of the Truth in Lending Act [subsec. (b) of this section], as such section was in effect on the day before the date of enactment of this Act [
> 
> ], is null and void.”

, , , provided that: