Credit Card Processing Rates

Credit card processing rates are the rates charged as a percentage of the volume of each transaction. Rates range from 1% to 4% depending on the type of transaction and card payment. For example, if the rate for a visa credit card transaction is 2% and the amount that the customer pays the merchant using the visa credit card is $100.00, then the amount discounted from the customer credit card payment would be $2.00 (100 * .02). The average rate for this type of retail transaction is 1.9% while Credit Card Processing Machine Network has found rates as low as 1.65% in their network of credit card processors. Using these rates and assuming that all transactions are of the same type as above, the merchant would save approximately 25 cents for each $100.00. That would be equivalent to $25.00 for every $10,000 in this type of credit card transaction.