Icon SPC's offers you the COST SAVING Interchange PLUS pricing!
WHY INTERCHANGE PLUS?
Transparency in our pricing is, in our opinion, one of the greatest characteristics that makes Icon SPC a great payment processor. Hidden fees are like telling you lies, and its our job to do more for your business than just move cash from one place to the other.
There are two forms of payment processing are the most prevalent today: Tiered Pricing and the MORE Preferred Interchange Plus
Tiered Pricing (BAD) This model may also be called Bucket Pricing and is marketed as a way to simplify pricing. It groups the hundreds of different interchange programs into a handful of buckets with different rates, commonly called Qualified, Mid-Qualified and Non-Qualified tiers. While the tiers look simple on the surface, they actually hide important rate information.
For example: You may have been sold on a low 1% rate for Qualified transactions BUT only a very small percentage of your transactions acutally QUALIFY for that rate. What you may not realize is how much of your business falls to a MID Qualified bucket with rates as much as 1.5% higher or worse, the NON Qualified bucket may be as much as an additional 3%.
There's nothing transparent about tiered pricing because processors can revise how they charge you whenever they want. Tiered Pricing creates for you inconsistent buckets and you end up overpaying for inflated tiers.
Characteristics of a Tiered Program:
Processors group cards in tiers and set tier rates at their discretion
Processors can change tier groupings and rates whenever they like
Beware of a “teaser tier” scheme that promises low rates for a fraction of debit cards
Interchange Plus Pricing
This is also referred to as Cost Plus, True Pricing or Pass Through pricing.
Interchange is the actual COST of processing an electronic transaction through the associated banks and Associations (Mastercard, Visa, Discover, American Express, ect.)
This is a cost EVERYONE pays for accepting payments electronically. The PLUS is the markup for providing this service to you.
Interchange Plus simply calls the markup for what it is—a markup—and shows this transparently to the merchant. Markup can take the form of a per-item fee on settled transactions, authorizations, or both, as well as a discount on settled transactions.
Characteristics of an Interchange Plus Program
Exact interchange fee, set by Visa, Mastercard and Discover “passes through” at cost
Pay the exact interchange fee plus a fixed processing fee
If the card associations reduce the interchange fee, savings pass through to you
There are only two rates with Interchange Plus: your interchange markup percentage and a fee per transaction. A great example: "A business with an interchange plus merchant account with a rate of 0.35% and an authorization fee of $0.15 would pay the wholesale processing rate for every transaction plus 0.35% and $0.15 per transaction." That's it.
Choosing a payment processor should come down to price and value. At Icon SPC, we use the Interchange Plus model and pass on the actual interchange rates at cost.
Below is an example of typical Interchange Rates for Visa:
credit card processing services
credit card processing services
ICON SPC's BASE MONTHLY FEES
Per Transaction PLUS Debit Network Fees
PLUS $0.05 Per Transaction
PLUS $0.07 Per Transaction
For Each Additional Unit
First year. Then $250 -2nd and 3rd Year
Monthly Minimum Fee
Bank Service Fee
PCI Compliance Fee
PIN Debit Network Access
Other Miscellaneous Fees
PIN Debit transaction Fee
AVS (Address Verification Service)
Standard Agreement Term