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Every month, your merchant statement arrives and you look at the total, pay it, and move on. But in that statement is a hidden fee that’s probably cost you hundreds this year. Let me show you exactly where to look.<\/p>
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Every merchant statement has three sections: the monthly summary, the transaction detail, and the fee breakdown. We’re going to focus on the fee breakdown because that’s where the hidden charges live.<\/p>
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This should be $0-$15, depending on your provider. If you’re paying more, you’re overpaying. Most processors offer low monthly fees but hide charges elsewhere.<\/p>
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These go to the card-issuing banks, typically 1-3% of the transaction. You can’t negotiate these, but you can choose your card mix. Encouraging debit or lower-reward cards lowers your effective rate.<\/p>
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These go to Visa\/Mastercard\/Amex and are usually a fraction of a percent. Non-negotiable but should be consistent.<\/p>
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This is a fee for transactions that don’t meet specific criteria keyed-in transactions, rewards cards, corporate cards. The rate is 0.5-2% higher than qualified rates. Ask your processor: “What percentage of my transactions are non-qualified?” If it’s over 20%, you need a different pricing model.<\/p>
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Batch fees are $0.10-$0.30 per day you settle transactions. This is pure profit for the processor. Statement fees are $5-$10\/month. Ask for these to be removed.<\/p>
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All-in, you should pay 2-3% per transaction in total fees. If you’re above 3%, you’re overpaying and you need to renegotiate or switch providers.<\/p>
<\/p>","protected":false},"excerpt":{"rendered":"
Decode Your Merchant Statement Every month, your merchant statement arrives and you look at the total, pay it, and move on. But in that statement is a hidden fee that’s probably cost you hundreds this year. Let me show you exactly where to look. The Anatomy of a Merchant Statement Every merchant statement has three […]<\/p>\n","protected":false},"author":1,"featured_media":167,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","tve_updated_post":"