Interchange Fee
An Interchange Fee is a transaction fee that is paid by a acquirer to the card-issuing bank during each payment card transaction. It is a fee that covers the costs associated with processing credit and debit card payments and is set by the card networks, such as Visa and Mastercard. The interchange fee is typically a […]
An Interchange Fee is a transaction fee that is paid by a acquirer to the card-issuing bank during each payment card transaction. It is a fee that covers the costs associated with processing credit and debit card payments and is set by the card networks, such as Visa and Mastercard. The interchange fee is typically a percentage of the transaction value, plus a fixed fee. This fee structure helps compensate the card-issuing bank for the risk and costs associated with providing credit to the cardholder and managing the payment network, while also enabling the operation and maintenance of the payment system.
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