As education and information becomes more accessible, payment processing companies have to get more and more inventive on how they manage their shareholder earnings expectations.
They used to use Tiered pricing, where the processor moves certain card types into different buckets based on their cost and profit goal.
As merchants have been educated by all of the payments sales professionals out there, they realized that a Tiered program offered little to no transparency and rarely offered a good financial outcome for the business owner.
Now, processors are using fancy – but important sounding – fee items to hide profits on their cardholder statements.
Sneaky hidden fees that may be costing you big money:
- Processor Risk Per Item Fee
- Processor Risk Transaction Fee
- Statement & Regulatory Mandate Fee
- PCI Program Fee
- PCI Non-Receipt of Validation
- Customer Intelligence
- Regulatory Fee