What is a Credit Card Surcharge?
At Direct Processing Network, we understand the challenges businesses face with credit card processing fees. Our surcharge program is designed to help you offset these costs, ensuring you retain the full value of your sales while remaining compliant with industry regulations.
A credit card surcharge is an additional fee applied to transactions when customers choose to pay with a credit card. This fee helps businesses cover the costs associated with credit card processing, including interchange and assessment fees. By implementing surcharges, businesses can offset these expenses, allowing them to maintain profitability while offering flexible payment options to their customers.
Benefits of Implementing a Surcharge Program
Cost Reduction: Offset processing fees by passing on a portion of the costs to customers who choose to pay with credit cards.
Increased Revenue: Save thousands of dollars annually by recouping credit card processing costs from your customers with surcharge payments.
Compliance Assurance: Ensure your surcharging practices meet all legal and industry standards, protecting your business from penalties.
Transparent Reporting: Access detailed reports on surcharge transactions to maintain transparency and track savings.
Compliance and Regulations
Navigating the regulations surrounding surcharging is crucial. Our program ensures compliance with state laws and card brand rules, including:
Registration: Merchants must be registered with the card brands.
Customer Notification: Inform customers of the credit card fee with appropriate signage at the store entrance and at the point of sale.
Fee Limits: The surcharge amount must not exceed 4%, and merchants must not profit from the surcharge.
Transaction Processing: The surcharge and the price of the product or service must be processed together as one transaction.
Receipt Details: The receipt must show the surcharge amount as a separate line item.
Debit Card Exclusion: Surcharges must not be applied to debit cards.
How Our Surcharge Program Works
Enable Surcharging for Your Account: To get started, simply log in or create your Direct Processing Network account, and let us know you’re ready to enable surcharges. No developer needed. It’s as easy as flipping on a light switch!
Notify Customers of the Fee: Once surcharging is enabled, you’ll need to notify customers they’re being charged a fee for credit card payments before they make a purchase. This can be done in a number of ways, including adding a notice to your website, menu, invoices, or next to your point of sale.
Begin Accepting Fee-Free Payments: After you’ve enabled surcharging and notified your customers, you’re ready to start accepting credit card payments without paying any fees!
Why Choose Direct Processing Network?
Expertise: Our team has extensive experience in payment processing and surcharge implementation, ensuring a smooth transition for your business.
Customer Support: We offer one to one bilingual support to assist with any payment processing inquiries or issues.
Transparent Pricing: We believe in clear, upfront pricing with no hidden fees, allowing you to make informed decisions about your payment processing needs.
