Big changes for interchange fees were on the horizon for both MasterCard and Visa. However, facing some federal scrutiny and recognizing the the US economic recovery is at a fragile stage, both companies decided to delay these increases until April 2022. Originally, these increases were slated to go into effect April 2020, but due to …
Interchange Fees Increases Delayed Until April 2022 Read More »
Are you the owner or manager of a non-profit organization? If so, you may be eligible for lower credit card processing rates than regular businesses. This article will discuss the best solution for non-profits to accept credit card payments: let’s take a look! As a non-profit, your goal should be to make it easy for …
The Best Solution for Nonprofits to Accept Credit Card Payments Read More »
To increase transparency in the pricing of credit card processing, credit card processors offer interchange plus pricing, which is often compared to a wholesale processing fee. Under the interchange plus pricing format, businesses pay interchange fees and processing costs separately. Visa, MasterCard, and Discover charge the interchange fee, and a business’s credit card processor charges …
What is Interchange Plus Pricing in Credit Card Processing? Read More »
Credit card brands divide their fee structure into three groups: Level 1, Level 2, and Level 3. The higher the level, the lower the interchange fees for the merchant. While a majority of businesses may only qualify for Level 1 processing, which is the level appropriate for B2C, or business to consumer, transactions, some businesses …
B2B, or business to business, describes a transaction in which the customer is another business rather than of an individual. Whether it’s goods, services, or both, B2B payments include transactions such as purchasing supplies to do business, buying lunch for employees, or paying for travel expenses. Though the payment methods for B2B transactions are often …
B2B Payment Processing Solutions and Interchange Rates Read More »
Following the financial crisis of 2008 Congress won the ability to regulate swipe fees, or debit interchange fees, charged to retailers by Visa and Mastercard, as well as charged by the issuing financial institutions. This is all made possible under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, more specifically the Durbin …
Regulated and Unregulated Debit: What You Need to Know Read More »
The three largest credit card processing networks are preparing to increase their fees later this year, and this action could trigger a domino effect affecting banks, merchants and consumers. A report published by the Wall Street Journal on February 15 indicates that the increase could happen as early as April 2019, and it will be …
Credit Card Networks Could Make Shopping More Expensive in the Near Future Read More »
Choosing the right credit card processor can be a difficult task when you consider there are several types of pricing models the processor can offer — some more transparent than others. This means looking for the lowest rate is probably not going to come with the lowest cost. Two of the most common payment processing …
Interchange Plus vs Tiered Pricing No one wants to pay more than necessary for credit card processing, which can already eat into profits. When comparing merchant services, it’s important to understand how different pricing systems work. Many merchant account providers advertise very low fees as a teaser, even though most transactions do not qualify for …
What Is Interchange Plus Pricing? Accepting credit cards increases customer convenience and helps increase your sales, but the cost of merchant services can be a bit confusing and eat into your profits. You don’t want to pay more than you need to for payment processing, but how do you choose a merchant account provider that …
President Trump may be gunning to reform the Dodd-Frank Act, in particular one of the most contentious policies of the act: the Durbin Amendment. The Durbin Amendment—passed as a stipulation of the Dodd-Frank Act—allows the government to set price caps on fees for card transactions. Before 2009, interchange rates were set by banks and merchants …