Merchant Account - How to determine best pricing structure?

I will be obtaining a new merchant account soon. What is a good method for determining what the best pricing structure is for my business? For example, I know that if you have a low average ticket, then the transaction fee has a bigger impact than the discount rate. But if I have a high average ticket, it’s the opposite.

How can I determine if I should be negotiating for interchange plus, etc?

any suggestions or useful links on this topic?

I would suggest you to check merchant account comparison chart like this which can give you idea which payment gateways is most suitable for your business.

I do not want to violate any forum rules by linking to our web site, but we have a page that talks about all the fees credit card processors charge under Merchant Account Solutions > Merchant Account Guide. Interchange plus is generally for merchants with a decent amount of volume. Most merchants are under the 3 tiered pricing.

I don’t mind offering IC plus to any merchant, but if there isn’t much volume, the monthly minimum will come into play so we generate enough profit to make it worth having the account.


What is your monthly minimum for IP pricing?
Also, what is your “plus” number in interchange plus?

$25 mo minimum. We try to get at least $25 to $30 total gross profit on an account. Anything less, and it isn’t profitable for us.

Plus number depends upon the volume. If it is low volume, I could do 0.30%, but then that plus really doesn’t matter as the minimum will play the biggest part…

Yah, we setup an account with a merchant and they said the interchange fee was what the credit card/banks charge them, and then we would get the difference of whatever we negotiated with the ISO/Middleman group.

The company is GelPay. Basically it takes credit cards from any cell phone with an internet connection, as well as have digital invoices and receipts for people to pay on their own computer. I think it’s particularly useful for door to door sales or people selling things outside where they don’t want to be lugging around a laptop or getting those $1000 swipers. If you know anyone that might benefit from that, feel free to have them ask me about it.

Most merchants are unaware that Interchange is refunded on credits. Your provider may be keeping these refunds and this is driving up your real rate. Make the change to an Interchange rate plan to take advantage of this benefit and lower your bottom line costs.

Do you mean B2B site account??

Check out the rate calculator at