Tag: processing basics


Credit Card Processing

Reading A Credit Card Processing Statement

Ben Dwyer
by Ben Dwyer

This article will provide the general steps and knowledge necessary to decipher your small business credit card processing statement, and will link to detailed examples of actual statement analyses that will allow you to follow along as we dissect various merchant account statements. Existing Clients: If you used CardFellow to find your current processor and […]

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It’s not enough to simply read a merchant processing statement; the real goal is to understand what you are reading, where your money is going, and to determine whether your business has competitive credit card processing fees.

Credit card processing statement

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Credit Card Processing

Credit Card Processing Refunds: Is Your Processor Stealing Your Money?

Ben Dwyer
by Ben Dwyer

Luckily, plugging the cash flow leak is possible by getting interchange pass through pricing instead of bundled pricing, and knowing what to look for. You don’t have to worry about losing money on credit card refunds if you found your processor here at CardFellow. We don’t allow processors to structure pricing in such a way […]

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If your business has bundled credit card processing fees, your processor is pocketing your fee credits every time you issue a debit or credit card refund. Are you in an industry that regularly accepts returns and issues refunds like clothing and shoe stores, general merchandise retailers, or electronics stores? This affects you.

Credit card return fees

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Credit Card Processing

Daily Vs. Monthly Discount Cost

Ben Dwyer
by Ben Dwyer

Some processors only offer daily discounting, while others offer a choice. If you open a merchant account that lets you choose, monthly discount is usually the better option. Let’s look at the differences between daily and monthly discount. Difference Between Daily and Monthly Discount Monthly Discount Easier to Reconcile, Better Cash Flow Daily Discount Harder […]

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Daily and monthly discount refer to when a credit card processor deducts fees from your business checking account for processing your credit card transactions. There’s a big difference between the two, so give careful thought to which method is best for your business.

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Credit Card Processing

Credit Card Processing: How it Works

Ben Dwyer
by Ben Dwyer

Knowing the lay of the land will help you better identify how to get the best processing solution. Once you’re done reading this article, check out our more detailed breakdown of where credit card processing fees come from. For now, let’s dive in to how credit card processing works. Key Players Cardholder Merchant (Business) Acquiring […]

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It isn’t necessary to have intimate knowledge of the inner-workings of the bankcard system in order to find the best credit card processor. But, it’s a good idea to have a general understanding of how credit card processing works because fees are incurred at various stages of the system.

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Credit Card Processing

Issuing Banks: Where does your money go?

Ben Dwyer
by Ben Dwyer

It’s not really as simple as that, though. In actuality, a variety of entities are working behind the scenes, and it’s the card-issuing bank that ends up taking the largest piece of the pie. The more you know about what affects your business, the better armed you are to improve your position in the market […]

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If your business charges credit cards, you pay fees. This seems straightforward enough on its surface — you might assume it’s as uncomplicated as Visa or MasterCard taking a cut of your sales.

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Credit Card Processing, Interchange Fees

Interchange Rates and Fees

Ben Dwyer
by Ben Dwyer

Often shortened from “interchange reimbursement fees,” interchange refers to a set of categories that are used to determine the rates for individual card transactions. Every category has requirements for eligibility and a rate associated. Those rates change at the card brands’ discretion, typically twice a year. Interchange can be a complex topic. For the purposes […]

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Accepting credit cards at a business comes with costs. The largest portion of the costs is known as interchange.

Interchange Fees

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Credit Card Processing

Effective Rate for Credit Card Processing Fees

Ben Dwyer
by Ben Dwyer

For businesses searching for a new merchant account without actual processing data, the effective rate should be interpreted as a general indicator of cost-effectiveness — not as a precise measurement. However, it is still extremely important in determining the best processing solution. Basics of Effective Rate and Processing Fees Examples Example A Example B Basics […]

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For businesses that already accept credit cards and have actual processing data, the effective rate can be interpreted as an exact measure of the competitiveness of your current processing solution.

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