Additional Fees on Your Statement.

Additional Fees on Your Statement.

If you take card payments in the UK, your statement can show more than one kind of fee. This article explains what sits inside a card rate, the additional fees that can appear, and how to find each one on your own statement.

What is inside a card rate

Two costs sit inside almost every card rate. Interchange is paid to the bank that issued the customer's card. It varies by type of card, and your provider does not set it. Scheme fees, also called assessments or network fees, are charged by Visa and Mastercard to your provider.

How you see them depends on the pricing. With unblended pricing, each type of card has its own rate and the costs can appear as separate lines. With blended pricing, one rate covers them, so your statement shows that rate instead.

Additional fees you may see

American Express. American Express is a separate card scheme, so it sets its own fee. It is normally a flat percentage, and it appears on its own line of your statement. With Teya, American Express is priced separately from the Visa and Mastercard rate. It is 1.90% when the card is present. Online and phone payments are priced differently.

Card not present payments. Online payments, pay by link, and mail or telephone orders (MOTO) are card not present payments, because the card is not tapped or inserted in a terminal. Some providers charge a different rate or a separate fee for them.

International cards. Some providers charge more for cards issued outside the UK. This applies to unblended pricing, where each type of card has its own rate. On a blended rate, Visa and Mastercard cards cost the same rate whichever bank issued them.

PCI compliance. PCI DSS is the card industry's security standard for any business that takes card payments. Some providers charge a monthly fee for it, and some charge a further fee if the annual questionnaire is not completed.

Minimum monthly charges. Some providers set a minimum each month. It can be a top-up to a set amount of fees, or a flat fee when your card volume is low. With Teya, if your contract includes a minimum volume threshold, for example £2,500 a month, a minimum volume fee of £29.99 might apply when your volume is below it. Teya measures this month by month for your first two full calendar months, and by a three month average after that.

Authorisation and refund fees. Some providers charge a small amount for each authorisation, or a fee for each refund.

Disputes and chargebacks

When a customer disputes a payment, your provider can charge a fee for handling the dispute. Ask what yours charges.

How to check your own statement

• Ask your provider for a detailed statement that lists every deduction, not only percentages.
• Ask what you pay for interchange, scheme fees and PCI compliance, and which of them are included in your rate.
• Look for any line you do not understand. Your provider should be able to explain every charge.
• Work out your effective rate: total fees paid divided by total card turnover. That is the rate you actually pay.
• Check your contract for monthly minimums, termination fees and automatic renewal.

Compare with your own statement

Upload your current statement. Our AI reads the charges on it, works out your blended rate and prepares an estimate for you. No obligation.