Automated Clearing House Payments
How does it work?
Although they take longer to process, ACH payments tend to cost less. ACH payment providers either charge a flat fee of $0.20 to $1.50 per transaction or a percentage fee of 0.5% to 1.5%. By contrast, the average credit card processing fee ranges from 1.5% to 2.9% for swiped cards.
Funding
ACH deposits are often generated from a business or government agency and processed quickly. On average, the transfer of money from the originating account to yours is one to two business days. However, the exact time your bank posts the deposit to your account after it arrives depends on the bank policy.
• • •
Subscription
How does it work?
How does the subscription flat-rate model work? With the subscription flat-rate pricing model, a business pays exact interchange fees in addition to a flat monthly or annual fee to the processor. In most cases, there is also a per-transaction fee, meaning you’ll pay a fixed amount on every transaction you process.
Funding
You can qualify for either next-day or two-day funding. For how that works, refer to the funding section.
• • •
Surcharging
How does it work?
Surcharging is the practice of adding on a small fee on top of the price of a good or service to recoup the merchant processing cost. Instead of the merchant having to absorb this expense, the customer who chooses to pay by credit card pays for the processing costs that do not apply to other payment methods. Surcharging guidelines for your merchants.
Funding
You can qualify for either same-day or next-day funding.
Hardware
For Surcharging, we recommend using, Blogic for a Point of Sale. For Terminals, we recommend Swipe Simple, Dejavoo, or Pax. Reference the Terminal or Pos Section for more info on these companies. You can also surcharge online via NMI Gateway. NMI Gateway is one of a handful of gateway providers that allows for surcharging online.
• • •
Cash Discount
How does it work?
A cash discount program works by providing the consumers with a cash and credit price. If the customers pay by cash, they receive a lower price. If they pay by credit card, they pay a slightly higher price, including the merchant’s processing cost.
Funding
You can qualify for either same-day or next-day funding. For how that works, refer to the funding section.
Hardware
For Cash Discount, we recommend using, Blogic for a Point of Sale. For Terminals, we recommend Swipe Simple, Dejavoo, or Pax. Reference the Terminal or Pos Section for more info on these companies.
• • •
Interchange Plus Pricing
How does it work?
Credit card processors use this pricing structure to determine the per-transaction cost paid by merchants. The interchange fee is the standard amount the merchant service provider pays to the credit card network, and this fee is non-negotiable as the card association sets it. The “plus” percentage or fee is the provider’s markup for processing card transactions.
Funding
You can qualify for either same-day or next-day funding.
Hardware
You can use every type of hardware/software for this pricing program online or offline. If you are integrating into a certain point of sale or software, this pricing is always compatible.
• • •
Tiered Pricing
How does it work?
Tiered pricing organizes various transaction types into tiers based on certain predetermined factors. It’s also called bundled pricing as providers bundle their services into the following tiers: qualified, mid-qualified, and non-qualified. The tier a particular transaction falls into will then determine the rate paid by the merchant.
Funding
You can qualify for either same-day or next-day funding.
Hardware
You can use every type of hardware/software for this pricing program online or offline. If you are integrating into a certain point of sale or software, this pricing is always compatible.
• • •
Flat Rate Pricing
How does it work?
In true flat-rate pricing, the merchant only charged a percentage of their processed volume. It may also include a small fee per transaction or a monthly fee, but nothing more. Whether or not flat-rate pricing is most beneficial to your merchant depends on exactly what that flat rate does and does not cover.
Funding
You can qualify for either same-day or next-day funding.
Hardware
You can use every type of hardware/software for this pricing program online or offline. If you are integrating into a certain point of sale or software, our pricing is always compatible.
• • •
