Debit card charges

stupideejay_2

I have just made a payment via 'Streamline' over the telephone with my NATIONWIDE VISA DEBIT card. I have been charged 2% on top of my payment. I was warned of the fee so no complaint there. Does anybody know how much 'Streamline ' charge its business customers for their terminals. Has the company I made payment to making money out of me ?.

bigadaj

Probably, booked some air port parking yesterday £23.99 for the parking and a charge of 9 p for paying by debit cArd, which is a fair reflection of true cost.

[Deleted User]

usually about 20p per transaction for debit cards

Gromitt

Depends how much your payment was, but debit cards typically charge about 25p.

However, some companies charge one standard fee for all cards, regardless of whether credit or debit. This could be because their turnover is low and so they are charged a percentage regardless. For example, a small company using Paypal on their website will be charged 3.5% regardless of payment type. For shops you have a range of options, which typically invovle low rental + high percentage or higher rental + lower percentage.

p00hsticks

stupideejay wrote: »

I have just made a payment via 'Streamline' over the telephone with my NATIONWIDE VISA DEBIT card. I have been charged 2% on top of my payment. I was warned of the fee so no complaint there. Does anybody know how much 'Streamline ' charge its business customers for their terminals. Has the company I made payment to making money out of me ?.

It depends ....
When I worked in the business (about seven years ago, so I may be out of date) this is how it worked...

The card processors (VISA , Mastercard etc) impose a flat fee for processing debit cards - which I think was around 20-30p -and a percentage of the transaction amount (around 1-3%) for credit cards.

The 'merchant acquirer' who handles the card payments for a retailer will charge the retailer a monthly rental for the terminal and a monthly fee for their services in handling the card payments (which will depend on individual negotiations).

So impossible to say whether the retailer made a profit or loss on your particular transaction - if you were the only card transaction all month and it was only for a few pounds, then a loss, but if you are one of thousands and the transaction was for a large amount, then a profit.

InsideInsurance

Debit cards for the pure transaction are typically anywhere between 3p to 50p depending on a number of factors but most small businesses in mainstream activities and with security checks in place will be around 25p. As has been pointed out there are other static costs for the capability to accept payments.

I dont know if any ultra high risk business could attract a percentage discount because of very high chargeback issues but the I'd be slightly surprised if streamline would take on such business though things may have changed since RBS sold them

InsideInsurance

Well I know a former client was charged 5p per transaction for debit cards on internet transactions with 3D secure, CCV and partial AVS checking so would assume that a larger merchant using chip & pin would be notably lower