How is InterPayments’ surcharging different
from the other ones I’m offered?

First, InterPayments is a SaaS technology solution – not a payment gateway, ISO, or processor. In fact, we work with many of them today and can work with all of them. You can surcharge without a rip-and-replace of your current payments vendors.

Second, our surcharging service works just like your sales tax vendor to maximize your credit card fee recoveries. You’re not forced to set a fixed fee on every transaction, like the other vendors require. InterPayments automatically calculates your customer’s exact credit card processing fee - down to the penny - on each of the 350,000 card types outstanding, prior to the card’s authorization. If a customer changes a card mid-purchase, the new card’s fee and the transaction’s new total will be auto-calculated. You’ll always remain in compliance 24/7 with all state, federal, and card brand regulations.

Third, you’re able to surcharge wherever you accept credit cards – ecommerce, virtual terminal, or point of sale. Unlike other offerings which only allow you to surcharge where their devices allow, you can install our API anywhere and consolidate your surcharging on your existing payments technology. We grow with your business.

Fourth, tailor your surcharging the way you want – at the click of a button. Other offerings force you to impose a fixed rate on every credit card transaction. InterPayments knows this isn’t viable and so offers you complete control over whether, when, how much, and who you surcharge.

What cards
can be surcharged?

Credit cards, Purchase Cards (P Cards), Virtual Cards (V Cards), and Single Use Account (SUA) Cards can be surcharged.

ACH payments, Wires, Debit, Prepaid, and Government Cards cannot be surcharged.

Which credit card processing fees
does InterPayments recover?

100% of any PER TRANSACTION FEES up to the maximum of 4.0% total:

  • Interchange fees (paid to card issuing bank)
  • Network or Assessment fees (paid to credit card brands like Visa and Mastercard)
  • Markup (paid to merchant bank)
  • Payment Processing fees (paid to the payment processor, who might also be the merchant bank)
  • Gateway fees (paid to the payment gateway provider)
  • Authentication fees (if not included in the base processing per transaction fees)

Can I surcharge specific customers based upon loyalty?
What about surcharging different order values?

Yes, you can surcharge specific customers and not others. You would simply not call the API for a surcharge for specific customers. However, you cannot discriminate amongst customers based upon the credit card type they are using or based upon other federal/state laws that prohibit customer discrimination.

Yes, you can surcharge different order values. With InterPayments, you can set order values and surcharge amounts yourself.

What’s the difference
between a Convenience Fee and a Surcharge?

There are vague rules surrounding Convenience Fee. It is an amount added to the purchase price; the consumer pays the fee to use a more “convenient” way to pay. It can be applied to both debit and credit cards, but there must be one channel of sales where a Convenience Fee is not applied.

A Surcharge is only applied to credit cards, but it can be applied to all channels of sales (physical in person, card not present, e-commerce, etc.)

For example:
Convenience Fee – movie theaters. You can purchase tickets in person or online. A convenience fee is charged for online purchases, but not on in person purchases. A Convenience Fee is applied to all online debit and credit cards.

Surcharge – an omnichannel retailer. The retailer can pass along the credit card processing fees across all of their sales channels: brick-and-mortar, telephone, and e-commerce. The surcharge is only applied to credit cards, not debit cards.

Do I need to tell anyone
that I’m surcharging?

Yes – but InterPayments handles this for you as part of our service. InterPayments will complete the notification process to the card brand networks and your merchant acquirer 30 or 60 days notice prior to your first surcharge.

Is the surcharge
a separate transaction?

No. The customer will receive and pay one total fee in one transaction.

What happens to the surcharge
if I refund a transaction?

Refunds apply to the surcharge amounts, just like with sales taxes. If you refund an entire order amount, you also refund the surcharge amount. If you issue a partial refund, you would issue a partial refund of the surcharge amount (on a pro-rated basis). InterPayments provides a refund API that you calculate the refund amount for your automatically.