What Is a MTOT Disc?

Entering the world of finance as a young adult can be very challenging. You’re constantly bombarded by strange terms, unknown acronyms, and you’re filled with questions, but you’re too scared to ask anyone out of fear of looking stupid. 

Don’t fret; your days of worrying about your finances are over. Today we’re going to talk about one of those unknown acronyms that you’ve probably heard of before without having the faintest idea what it stood for, but we will give you all the information you need so that you don’t get ripped off!

Today, that acronym is MTOT, specifically an MTOT Disc. Anyways, without further ado, we’re going to get into details of what an MTOT Disc is, how to know if it’s transparent, and details on all the fees, so you know what you’re getting into!

What Does MTOT Disc Mean?

Always start from the beginning, right? Well, just so we’re all on the same page, MTOT Disc stands for merchant account total discount fee. This fee may appear in one of your bank statements (you know, the letters your bank sends to the apartment you use as coasters.) 

This type of fee may appear specifically on your monthly bank statement, and here’s the scary part: some merchant processors have been known to add this fee for no other reason than to get money out of you!

That’s right, these days, even your bank can try to scam you. 

What Is MTOT Disc On A Bank Statement? 

Well, now that you know what it is and how merchants have been using it for years to tack on unnecessary fees into people’s statements, here’s how you can learn more. The truth is that because MTOT is listed in bank statements which are the bank’s direct costs, most consumers may not even know they have been charged for them unless they start going back and reviewing their yearly expenses. 

Fortunately, not all banks are guilty of this wrongdoing. Some banks state their MTOT Disc upfront so that customers who are also merchants know what they’re getting into. But if the merchant in question (which could be you if you happen to run a small business or be selling items online) is trying to look at their monthly expenses, the whole thing can get way more complicated. 

Some banks charge them yearly instead of ongoing monthly fees, making it harder for the consumer to figure out when these fees were charged and for what purpose. 

This is why it’s so important to try to keep track of your expenses, even if you’re not a merchant yourself. Keen consumers can notice these issues more quickly and hold their banks accountable, which sets a precedent for other banks to do better. 

Are Processing Fees Transparent?

Here’s where we get into the meat of the issue. How do you know if your bank is doing this to you right now? Can you get them removed? Who are you supposed to call?

Well, before you go running for the phone, let’s get into some of the facts. Before you sign up for a merchant account, the bank should disclose all fees upfront. However, judging from banks’ long history of screwing people over, we all know that isn’t always respected. Many people who fund at their bank are being charged MTOT Discs. They signed up for a debit or credit card account and had no idea that they were being charged this type of fee.

So how much does it cost? The charges vary depending on who you are and what bank you have. But a good range is $40-$150. 

That’s right, every month or year, your bank may be unjustly taking up to $150 out of your wallet. That is 150 dollars that could’ve been put back into your business or spent is a more efficient way that benefits you.

If you see this kind of fee on your bank statement, then report the issue to your executive right away. Make sure not to put it off since you must make the complaint within sixty days of the fee appearing in your bank statement. Otherwise, the issue will be seen as null. 

MTOT Disc And Bankcard USA

Bankcard USA has a long-standing history of charging their customers MTOT Disc fees, along with another strange acronym hardly anyone knows, BTOT, which stands for Banking Total. Despite the bank’s attempts to fool their customers by overwhelming them with useless acronyms, thousands were still outraged when they saw they were being charged $150 by a bank they’re supposed to trust for seemingly no reason. Some disclosures even showed customers debiting over $150. This is beyond the high end of the spectrum for these kinds of fees. 

What Other Kinds Of Fees Are There?

Yet another good question to ask and one that all consumers should keep in mind. Here are some fees:

  • Authorization fees are different from electronic authorization fees (for electronic purchases made by using either debit or credit cards). 
  • Monthly Fees: If you see the words ‘monthly fees;’ on your bank statement, these are primarily from accepting credit cards through your merchant bank account. 
  • Annual Fees: these should be around $40 per credit or debit card you own. You can track them by updating your account setting to show yearly fees in each statement or invoice. 

The Bottom Line

No one likes getting screwed over, and we all know that banks can be untrustworthy at best. That’s why you need to be informed, to know exactly where your money is and whether or not someone is trying to take it from you.

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