According to the Consumerist, Gas prices are now everyday news for many of us here in the States. Even though gas prices have dropped below $4 in some places, it’s still too high for credit card purchases. $100 is the most you can buy at the pump without going inside and having them swipe your card.

Why the limit? To protect gas stations, which can be charged if there’s a problem with the transactions, according to the Washington Post. Purchases at the pump are vulnerable because no signature is required to verify the users identity. AND, since the credit card is swiped before the gas is pumped, there’s no way to know the size of the purchase when it’s authorized.

“Gas station owners and managers say they are already hard-pressed to hand more money back to credit card issuers. The high price of gasoline has left many stations in a financial fix. They’ve squeezed their average markup to remain competitive and the interchange fees they pay to credit card issuers, which rise with the sale price, are up.”

The average station makes a profit of $60 at the pump per day, says Jeff Lenard, a spokesman for the National Association of Convenience Stores. “It’s not uncommon to lose money selling gas. So the idea of losing $20 or $50 [in charge backs] is too much.”

At first I was shocked to read that gas stations are closing down. A Mobile next to my work, recently closed this weekend. The fences are up and pumps not pumping.

Running out of gas? or broke because of chargebacks?