The lines on a typical statement
Every provider lays out its statement differently, but the same charges turn up again and again. Here's what each one means.
| Charge | What it is | Worth questioning? |
|---|---|---|
| Transaction rate | A percentage of each card payment. Often different for debit, credit, business and international cards. | Yes, especially the business and international rates |
| Transaction or authorisation fee | A fixed amount per payment or per approval request. | Yes, if most of your sales are small |
| Terminal rental | A monthly charge for each machine. | Yes, if a free machine is available to you |
| PCI fee | A charge for card data security compliance, sometimes with a penalty if the yearly form isn't done. | Yes, check whether it's avoidable |
| Minimum monthly charge | Topped up if your fees fall below a set amount. | Yes, for quieter or seasonal businesses |
| Chargeback fee | Charged when a customer disputes a payment. | Only if you get many disputes |
The one number that matters
Add up every fee for the month and divide by your card takings. That blended rate is the fairest way to compare your current deal with any new offer. The calculator does it for you.
Why business cards cost more
Business, corporate and international cards carry higher underlying costs, which providers pass on. If your customers are mostly local shoppers, this matters less. If you serve offices, trades or tourists, it can be a large share of your fees.
Not sure what your statement says? Send it to me and I'll explain it line by line.