Aug 30, 2008 10:04 am US/Eastern
NY Gas Stations Warned Against Deceptive Practices
ALBANY (CBS) ―
With millions filling their gas tanks and hitting the road this long Labor Day weekend, New York's Attorney General is warning drivers about a common gas station rip-off.
Gas stations across the state have been sent a letter from Andrew Cuomo, who is warning owners to cease and desist from deceptive practices.
Cuomo says customers are being lured into a station by one price, but it's a cash-only price, which in some cases was not able to be seen clearly from the street.
Only when at the pump do customers discover they are charged more for a credit card. Cuomo says it's a bait-and-switch, a practice that also concerns the New York AAA.
"Unfortunately, they aren't really showing a large display about the fact that there might be discrepancies between the cash and credit price," says Robert Sinclair, a AAA spokesperson.
A survey of 130 station by the Attorney General's office found about 25 percent engaged in such deceptive practices.
Cuomo says misleading signs and a credit card surcharge both violate New York State law.
There is a way station owners can get around the pricing. While they can't charge more for credit, they can offer a discount for cash, in which case they'd have to post the higher credit card prices.
Right now, gas prices are 92 cents a gallon higher than last Labor Day, and despite that, AAA expects the number of local drivers who are traveling this weekend will be more than 2 percent higher.
(© MMIX, CBS Broadcasting Inc. All Rights Reserved.)
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