Cardholders do not have to pay any fees for credit card purchases; merchants global payments card processing fees may have to pay a fee. However, there are different fees for different types of merchants, which fall into three main categories.
Standard category: such as restaurants, entertainment, hotels, etc., the processing rate is 0.6% ;
2. Preferential category: such as supermarkets, gas stations, etc. The handling fee rate is 0.38%;
3. Public welfare category: such as non-profit corporate charity organizations, schools, hospital management, etc., the handling fee rate is 0.
After the customer swipes the card, the transaction will be included in the bill when it goes up. As long as the customer is able to pay in full by (and including) the payment date, they will be entitled to an interest-free period with no interest.
Of course, if the customer does not pay the bill in full within the required repayment cycle, a revolving interest rate will be incurred, charged at a daily rate of 5/10,000 from the date the transaction is recorded.
Late payments occur naturally. If the customer chooses to split the bill, a splitting fee will be charged.
Who is responsible for processing fees?
The vendor, not the customer, is responsible for covering credit card processing expenses. Businesses can pay the buyer's credit card issuer, their credit card network, and the payment processor business credit card processing fees. The typical price range for credit card processing is between 1.5% and 3.5%.
What are normal fees for processing credit cards?
A firm will normally pay 1.5% to 3.5% of each transaction's total in credit card processing fees. You might have to pay $1.50 to $3.50 in credit card fees for a $100 sale.
What is the purpose of the processing fee?
Equipment and software used for merchant accounts are paid for: Customer payments must be processed through a merchant account. This includes hardware for processing credit card payments. These things and the software that makes them work are paid for by a processing fee.