When customers choose a credit card, they also cover the fee. When customers choose a debit card, they pay no fee, keeping you compliant.
Intelligent Rate prices different cards at their different costs. Consumers with low cost cards pay a lower fee (as low as 0.75%).
No upfront costs and no term contract. Simply process transactions and receive the full amount of the sale on credit card transactions.
Zero Cost Processing is available to businesses in 46 states plus the District of Columbia. Service is not yet available in Colorado, Connecticut, Massachusetts, and Kansas. Maine and New York have additional terms that apply.
For $35 per month and no contract, we'll provide you with a top-of-the-line EMV terminal to process card present transactions .
For payments made over the phone or through your website, we'll provide you with cloud-based software or the API integration for e-commerce at no cost. Everything is safe and secure, keeping you 100% compliant.
When customers pay with a credit card, they also cover the 3.5% fee. At the time of the purchase, the customer is informed of the fee amount, and they are always given the option to pay with a "no fee" method.
Customers paying with a debit card won't incur a fee - keeping you compliant. To comply with the rules, software algorithms detect when a debit card is entered and applies no fee. Standard debit cards cost the business 1.00% and $0.25 per card, while premium debit cards cost 3.38%.
Do I need specialized software to collect the surcharge?
Yes. The card associations have very specific rules about calculating the surcharge, the types of cards that can be surcharged, and the verbiage that must be displayed on the receipt / payment checkout page.
Do I have the ability to turn the surcharging software on and off depending on the customer?
No. The card associations do not allow selective surcharging as it represents a form of discrimination.
How does the customer know the amount of the surcharge?
Once the card number and dollar amount of the transaction are fully entered, our sophisticated software will connect into the issuing bank and determine the surcharge. This amount will be displayed before the transaction is processed.
Is there a formal registration process?
Yes. The card associations require a registration in order to be compliant with surcharging. Our team will complete the registration on your behalf.
Can I select the surcharge percentage?
No. The surcharge percentage is predetermined to cover the cost of acceptance.
Do I have the ability to see which transactions are surcharged?
Yes. Our software will allow you to run reports, drill down into individual batches, and see the base amount, the surcharge amount, and the total for each transaction processed. This provides for easy reporting and reconciliation.
How can a customer make a payment to my business using the surcharging system?
Payments can be accepted by using our credit card machine, by clicking on a link that will direct them to a hosted payment page, or by making a payment on your website using an API. The easiest and most common solution is the hosted payment page.
Can I send a link to a customer through email / text messaging?
Yes. You will have a dedicated link that can be sent to customers via email and text messaging. Once they click on the link, they will be directed to a hosted payment page where they can make a payment.
Can I add custom fields to my hosted payment page?
Yes. Our development team can easily add custom fields to your hosted payment page at no cost to you. For example, you may want to collect a Customer ID # or Invoice #.
If I need the total payment to be an exact amount, how do I calculate the base transaction.
Using a mathematical formula, you can create a base transaction amount to generate a desired amount that will include the surcharge.
Desired Total Amount [DTA]
Factor [FAC] = .0338 (3.38%)
Reduction Amount [RDA]
Adjusted Amount Before Surcharge [ABS]
Surcharge Multiplier [SCM] = 1.035 (103.50%)
Let's use $1,000 as a sample transaction:
DTA = $1,000 (this example is using $1,000)
Set FAC = .0338 (this is constant; always .0338)
Calculate the RDA
RDA = DTA * FAC
RDA = $1,000 * .0338
RDA = $33.80
Calculate the ABS
ABS = DTA - RDA
ABS = $1,000 - $33.80
ABS = $966.20
Verify the DTA
DTA = ABS * SCM
DTA = $966.20 * 1.035 = $1,000.01
Due to rounding, the DTA may be off by $0.01. If a rounding error occurs, reduce the ABS by $0.01 and rerun Step 5.
DTA = $966.19 * 1.035 = $1,000.00
By using a base transaction amount of $966.19, the total transaction, including the 3.50% surcharge, will be exactly $1,000.00
No upfront costs and no term contract. Simply process transactions and receive the full amount of the sale on every card transactions.
MCC 9311 – Tax, MCC 9222 – Fines, MCC 9211 – Court Costs, MCC 9399 – Misc. Gov. Services, MCC 8220 – College Tuition, MCC 8244 – Business and Secretarial Schools, MCC 8249 – Trade Schools, and MCC 8211 – Elementary and Secondary Schools.
For $35 per month and no contract, we'll provide you with a top-of-the-line EMV terminal to process card present transactions.
Surcharging percentages range from 0.75% on debit cards to 3.99% for rewards cards, all with a $1.99 minimum. The percentage cost will be calculated, in real-time, based upon the type of card processed.
Intelligent Rate is powered by a patent-pending technology that determines card type and cost of acceptance in less than a second. The result is a forward-thinking payment solution that provides the transparent experience today’s consumers expect.
With Intelligent Rate, consumers are responsible for covering only the costs they create, just like with utility bills and other consumer services. In contrast, a flat-rate service fee forces a consumer with a low-cost card (i.e., debit card) to subsidize a consumer who uses a higher priced card.
Learn more about the Intelligent Rate program. Transactions are priced according to the cost of acceptance.
Enter your debit/credit card in the sample hosted payment page to see the Intelligent Rate calculations.
Intelligent Rate Pricing
Using patent-pending technology, card numbers are analyzed in real time and the intelligent rate is calculated depending on the type and classification. This allows consumers to see the cost of using their debit card or credit card prior to processing the payment. The service fee ranges from 0.75% (debit cards) to 3.99% (rewards cards).
All transactions are subject to a $1.99 minimum service fee. For example, a $50 transaction that has an Intelligent Rate classification of 2.00% would trigger the minimum rate of $1.99 as the calculated rate would be $1.00 ($50 * .02).
When consumers pay with a debit card or credit card, a governmental entity or education facility would receive 100% of its billed amount. Velocity Processing collects the service fee and pays all transaction costs.
Following the November 2015 decision in Dana's Railroad Supply v. Bondi, merchants can now use CardX in Florida.
On January 10, 2019, the Florida Bar issued their position on surcharging stating "Bar members may pass along banking fees and other related expenses when accepting credit card payments from clients."
Velocity Processing is a registered Independent Sales Organization (ISO) / Member Service Provider (MSP) of Elavon, Inc. Georgia, a wholly owned subsidiary of U.S. Bancorp, Minneapolis, MN. Elavon has been processing electronic payments for 37 years and maintains an "A+" rating with the Better Business Bureau.
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