Visa Credit Card Fee Increase - Coming Soon

[Tom-CC]

Get ready for another round of price increases from Visa this April and October, especially for those businesses that have Card Not Present volume.

https://www.bloomberg.com/news/arti...the-biggest-changes-to-swipe-fees-in-a-decade

BTW - Did you know that Visa operates with gross and net profit margins of 80% and 50% respectively

 

[Daddio]

I make it a routine to call my merchant service provider every three months to push back on the increases. Sometimes I get a bit of a break and other times they say I have the best rates they offer. It is always worth the time it takes to check.

 

[Tom-CC]

always worth the time it takes to check.

Yup that’s a best practice. Also track your effective rate. ( total cost/total sales) over time and ensure you are not being billed “off statement” for charges.

Unfortunately, I think Visa is going to hit the industry harder than usual. Depending on your provider markup, there might not be much you can do about the increase. If you have a barebones markup chances are will get little or no relief .

Lastly, its the issuing banks ( Chase, BOA etc) that benefit the most from the interchange increases.