What a transaction actually costs.
WHAT THE COMPONENTS ARE
A scheme or network fee An interchange-style fee to the payer's institution, for card payments The acquirer or provider's margin Fixed per-transaction charges Settlement and payout fees Foreign exchange margin, where applicable
WHAT MERCHANTS TYPICALLY SEE
A blended rate, combining all of it.
WHAT BLENDED PRICING HIDES
Which transactions are expensive, and why.
WHAT INTERCHANGE-PLUS PRICING SHOWS
The underlying cost separately from the provider's margin.
WHY THAT MATTERS AT VOLUME
It makes the provider's actual charge visible and negotiable.
WHAT ELSE COSTS MONEY
Failed transactions, which consume support time Chargebacks, which carry a fee regardless of outcome Refunds, where the original fee is frequently not returned
WHAT CAPS EXIST LOCALLY
Regulated ceilings apply to some transaction types, and they change.
WHAT TO VERIFY
Current published rates, since they are revised.
WHAT TO CALCULATE
Effective cost: total charges divided by total value collected.
WHY
It is the only figure comparable between providers.
WHAT TO NEGOTIATE AT VOLUME
Rate, settlement timing, and reserve terms.
