- Discount rate. You should pay no more than 1.69% for credit cards and 1.40% for debit cards. These are the rates for consumer cards which are the most widely used. Various business to business, rewards and other cards often get charged at a higher interchange rate (the base processing rates set by Visa and MasterCard). You need to ask your merchant services provider what pricing structure they are using. The best choice for you will be the pass-through pricing which will ensure that the payment processing costs they add to the interchange fees are the same for all types of cards and you will not get overcharged.
- Transaction fee. You should not agree to anything higher than $0.20 (it will be the same for debit and credit cards).
- Set up fee. You should not pay any set up or application fees!
- Monthly maintenance fee. Every merchant account provider will charge you such a monthly fee, although they might give it different names. You should not be paying more than $10.
- Support fee. Another monthly fee. You should not pay any such fees.
Thursday, June 21, 2012
Retail Merchant Account Rates