Accounting and Finance, ecommerce

What is Affirm? Understanding Purchase Financing

Affirm is one of the new wave of companies offering point of sale loans to finance purchases. Retailers like ticketing service Eventbrite, retailers Wayfair and Casper, and travel site Expedia offer point of sale financing. Essentially, when a consumer checks out on a website, they have the option of paying by taking out a loan…

TwitterFacebookLinkedIn

Affirm loans are a short-term loan option for financing purchases at the time of sale, with a simple application and no hard credit check.

Read More

Credit Card Processing

Kilobyte Access Fee (Visa and Mastercard)

Assessment Fees Kilobyte Access Fee Locating the KB Fee on Your Processing Statement Lowering Processing Costs Assessment Fees Both Visa and Mastercard charge assessment fees as a way to make money from credit card transactions. Assessment fees are typically small (often fractions of a penny) but multiple assessment fees can apply to the same transaction….

TwitterFacebookLinkedIn

Visa and Mastercard both charge a Kilobyte Access Fee as one of their assessment fees for credit card processing. As of 2018, Visa’s fee is set at $0.0047 while Mastercard’s is $0.0035. The fee is charged for each authorization transaction submitted to the card network for settlement. Let’s look at what that means and how to determine your costs for the Kilobyte Access Fee.

Read More

Credit Card Processing

Mastercard Account Status Inquiry Fee

As of 2018, Mastercard sets the Account Status Inquiry Fee at $0.025. Mastercard Processing Fees Account Status Inquiry Fee Fees on Your Processing Statement How to Lower Your Processing Costs Mastercard Processing Fees The fees that Mastercard charges for credit card processing are called assessment fees. They’re one part of the total cost to process…

TwitterFacebookLinkedIn

As the name implies, Mastercard’s Account Status Inquiry Fee is charged when a business requests information about the status of a cardholder’s account, such as whether the card is valid, but doesn’t actually charge the customer’s card.

Read More

Credit Card Processing

Assessments: Discover International Processing Fee and International Service Fee

If you take a Discover card that was issued outside the US, you’ll be subject to international processing fees. Discover Assessments Discover International Fees Identifying International Processing Fees Lowering Your Costs Discover Assessments Assessment fees are a non-negotiable component of credit card processing costs. Assessments are set by the card brands and are the same…

TwitterFacebookLinkedIn

Discover imposes two assessment fees specifically for international transactions: The International Processing Fee and the International Service Fee. Both fees can apply to one transaction.

Read More

Credit Card Processing

American Express International Assessment

As of 2018, the International Assessment carries a rate of 0.40% of the total transaction volume. Let’s break that down further and take a look at when this fee is charged. OptBlue Pricing Model American Express Assessments When is the International Assessment charged? Lowering Your Amex Acceptance Costs OptBlue Pricing Model Firstly, the International Assessment…

TwitterFacebookLinkedIn

The International Assessment is a credit card processing charge that a business on an OptBlue pricing model incurs when accepting an American Express card that was issued outside of the United States.

Read More

Credit Card Processing

American Express Card Not Present Surcharge

Let’s break that down a little further. Defining Card Not Present What is OptBlue? Card Not Present Surcharge Do all processors impose the Card-Not-Present Surcharge? Defining Card Not Present The term “card not present” can be a little tricky. It covers any transaction where you don’t run the card through a credit card machine using…

TwitterFacebookLinkedIn

American Express’ Card Not Present Surcharge is a fee charged to businesses on the OptBlue pricing model that take credit cards through non-swiped methods, such as online or by keying in card details.

Read More

Credit Card Processing

Discover Data Usage Fee

However, processors may or may not charge it, and may or may not list it as the “data usage fee.” What are assessment fees? Data Usage Fee Paying the Data Usage Fee Interchange Plus Pricing Flat Rate Pricing Can I lower or avoid the Data Usage Fee? What are assessment fees? Assessment fees are a…

TwitterFacebookLinkedIn

The “Data Usage Fee” is an assessment charge Discover imposes when you accept Discover cards at your business.

Read More

Credit Card Processing, ecommerce

Mastercard Digital Enablement Fee

Let’s take a look at when you’ll be charged, how much, and how to locate the fee. What is the Digital Enablement Fee? Credit Card Assessments Where to Find the Digital Enablement Fee The Digital Enablement Fee on Interchange Plus and Tiered Statements The Digital Enablement Fee on Flat Rate Statements Can I get the…

TwitterFacebookLinkedIn

Wondering about the “digital enablement fee” on your credit card processing statement? Mastercard’s Digital Enablement Fee is a charge to businesses that accept card-not-present transactions, such as ecommerce websites.

Read More