Visa merchant credit card processing rate toronto
When you accept a credit card to sell your products, you pays what is called the “merchant discount fee.” The merchant discount fee is calculated as a percentage of price you charged. It can range from 1.5 per cent to 3 per cent. On a $100 item, for example, you could pay a fee of between $1.50 and $3.
Here’s how a typical credit card transaction works:
When a consumer pays with a credit card, your pos sends the details of the transaction along with the credit card information to the your bank for Payment Processing. The bank forwards the information to the cardholder’s bank for approval. Rates now vary from card to card, depending on the types of services and incentives offered. Typically, premium cards, which come with rewards for things like travel, cost you more to process.
We charge 1.52% for visa and a surcharge of 30% of the “non-qual” card’s fee