COMPOSITION OF FEE WITH CASINO MERCHANT ACCOUNT

There are various charges or fees collected by the banks or the merchant account providers. The fees are charged for various different services that are given by the banks and the merchant account holders to the customers. The fee structure is determined by the choice of the merchant account holder. There is a fee called authorisation fee which is charged for every transaction which is sent to the credit card issuing company for authorisation. This fee is charged once the merchant account is approved for the applicant. It is also different than the transaction fee and per product or item fee. There is another fee which is charged to the merchant account holder for providing the monthly statement. This fee is usually charged at the end of every month. The statement also shows all the transaction details which was done during the month. The fee is directly deducted from the merchant’s bank account.

The structure of the fee composes the actual working of the merchant account. The merchant is also charged a monthly fee which is fixed. In other words, a merchant account holder has to pay a fixed amount on monthly basis. This is a type of maintenance fee which the bank collects for updating the statement and overall account management. This is a cycle of payment which is for the merchant account holder. It is fixed according to the agreement that is made between the merchant account holder and the bank. A merchant may not have sales in a month but this monthly minimum fee has to be paid at the end of every month. The merchant account holder also deals in batch processing of the credit cards. At the end of the day, the merchant sends the transaction made during the day to the bank for payment. It can be done manually and also automatically. Large scale merchandise businesses have automated payment systems. This is called batch fee. In order to maintain a perfect balance in the merchant account, a merchant has to send across the transactions details to the bank within 24 hours of the POS (Point of Sale). In the past, the merchants or the customers were charged the customer service fee. However, in the modern banking era, this system has been eliminated. This fee was charged by the banks in order to meet up for the expenses and costs to maintain the customer service department.

There is also annual fee which is charged to the merchant account holder. It is in the form of revenue to the issuing bank. The fee ranges between $ 49 and $ 399. It is charged against the maintenance cost of the merchant account. In some cases, some merchants withdraw their account or end the contract before the expiry of the term. Early termination fee is charged to the merchant account holder doing such. The typical or common time period for a contract is 1 to 3 years and may even be extended up to 5 years. The fee is charged against the risk of loss of the bank.

Contact one of our helpful account representatives to assist you in the setup of a high risk merchant account or offshore merchant account for a high risk merchant.