Intel Merchant Services . Low Rate . Next Day Funding . No Contract . 845.534.3349
Rate is explained in plain sight
Pass-Through Interchange vs. Tiered Rates vs. False Interchange
1. Tiered or Bucket – Qualified, Mid-Qualified, Non-Qualified, Debit - 4 Tiered Rates or Buckets
This is the rate structure most small businesses are on
2. False Interchange - Tiered/Interchange Combo, Fake Interchange - Both Bucket & Interchange
This is what most processors are moving small merchants to, faking Interchange but charging Tiered rates
3. Pure Pass-Through Interchange -See V/MC Interchange Schedule - 125 Rates or Buckets
Most processors don’t offer Interchange to small & mid-size merchants. We offer Interchange to any size merchant. Pass-
Through Interchange is the cost a Processor pays and then adds a surcharge to do the processing. That’s what Harbortouch
offers: Pass-Through Interchange + Small Surcharge
Three factors that determine the category a transaction will fall into:
1. Merchant Industry Type: Traditional Merchant, Fast Food, Gas, Mail Order, Catalog, Internet
2. Type of Card Processed: Traditional Card, Rewards, Corporate, Check Card, Debit Card
3. How card is processed: Swiped, Keyed-in, Present, Not-Present.
Three Phases of all Credit & Debit Transactions
1. Authorization 2. Processing 3. Settlement
We do all three. Many processors farm out some of the phases resulting in higher cost
Interchange Rate Formula
Actual Actual First Data First Data
Interchange MC/V Processor Processor Final
Rate + Assessment + Surcharge + Transaction Fee = Fee
(125 Buckets) + (0.11% or.0011) + (.10% or .0010) + ($0.10) = Final Fee
Examples
Tiered-Competition Interchange-Harbortouch/UBC
Qualified Rate 1.85% 1.51%
Transaction Fee $0.25 $0.10
Rewards Transaction/Mid Qualified 2.40% 1.65%
Transaction fees $0.20- $0.25 $0.10
Corporate or Non Qualified 3.50% 2.20%
Transaction fees $0.20 -$0.25 $0.10
Signature Debit 1.79% 0.05%
Transaction fees $0.25- $0.50 $0.22