Merchant Account Transaction Fee Explained:
What is a Transaction Fee? The “Transaction Fee” is the last half of a processing rate. As shown in the Discount Rate definition, in a processing rate quote of 1.79% + $0.25, the Transaction Fee is $0.25. The Transaction Fee is a flat fee paid by the merchant for each credit card transaction. Merchant account Transaction Fees typically range from $0.10 – $0.50 and vary by processor, merchant, and sales agent. Merchants with a high volume of low dollar transactions may be able to eliminate the Transaction Fee, if negotiated properly during the establishment of the merchant account.