Understanding Merchant Processing Fees
Interchange plus vs. flat rate? Understanding these terms can save high-volume businesses thousands per month.
By Amanda White · Payment Consultant
· 1 min read
Payments
Payment processing is often a "black box" of fees. Most providers bundle everything into a flat rate (e.g., 2.9% + 30¢). This is simple, but expensive for large businesses.
Interchange Plus pricing passes the direct cost from Visa/Mastercard to you, plus a small markup. For debit cards especially, this can be significantly cheaper than flat-rate pricing.