In an interview in the June/July 2009 issue of Cards&Payments magazine, Ellen Richey, global head of enterprise risk for Visa, discussed the adoption of chip technology to make purchases more secure. Richey said “the U.S is not going to be adopting a chip-and-PIN credit card or debit card any time in the very near future” suggesting that in the U.S., the deployment of a contactless-chip card network may not include a PIN component.
In October 2009, Best Buy announced that it would discontinue it’s acceptance of Visa contactless payment cards. Why? Best Buy reportedly took issue that Visa contactless lacked the option of PIN acceptance, while payment industry … more
Visa Signature Debit
Fee Program Current Fee April 2010 Fee
CPS Retail Debit 1.03% + $0.15 0.95% + $0.20
CPS Supermarket Debit 1.03% + $0.15 ($0.35 max) 0.95% + $0.20 ($0.35 max)
CPS Service Station Debit 0.70% + $0.17 ($0.95 max) 0.75% + $0.17 ($0.95 max)
CPS Automated Fuel Dispenser Debit 0.70% + $0.17 ($0.95 max) 0.75% + $0.17 ($0.95 max)
Interlink PIN Debit
Visa has announced changes in the pricing for Interlink debit transactions.
Fee … more
Effective October 2010, Small Ticket Interchange will be extended to most merchant category codes (MCCs). Current Small Ticket Interchange applies to transactions less than $15. The current Visa Small Ticket Credit Interchange is 1.65% + $0.04 and the Visa Small Ticket Debit Interchange is 1.55% + $0.04.
This is an effective reduction in the overall Interchange costs for most merchant categories. However, … more
Setting a Return Policy
Refund Best Practices
Handling Refund related Chargebacks
Beware of Refund Scams
Lower costs with Credit Voucher Interchange
Setting a Return Policy
A good return policy can help close sales. Your return policy or lack thereof can justify higher or lower cost as reflected by higher or lower risk of buying from you in the mind of your customer. Your return policy can even define your brand - think Nordstrom.
Handling refund requests in a way that makes good business sense and … more
This spring marks the 5th anniversary of rewards Interchange. The decision to implement a higher rate for a rewards card verses a non-rewards card was introduced in response to a growing American Express market share. The competitive landscape in 2005 found MasterCard and Visa card issuers increasingly using rewards as a key component of their cardholder acquisition strategies in order to compete with AmEx for affluent consumers.
So in April 2005, both MasterCard and Visa … more
Effective February 1, 2010 NYCE will implement the following changes:
The switch fee will be decreased from $0.05 to $0.0425.
Retail merchants will be billed at 0.75% + $0.2125 per transaction. The minimum transaction fee will be decreased to $0.3025.
Quick Service Restaurant merchants will be billed at 0.55% + $0.1075 per transaction with a maximum fee of $0.5425. The minimum transaction fee will be decreased to $0.2275.
Supermarket merchants will be decreased to $0.3025.
Petroleum merchants will be billed at 0.85% + $0.1925 per transaction. The minimum transaction fee will be decreased to $0.3025.
Returns will be decreased to $0.0425 per transaction.
PINless … more
Currently, MasterCard's Assessment fee is 0.095%. MasterCard will increase the Assessment fee to 0.110%.
While new rates have not yet been announced, MasterCard is introducing new Interregional Interchange programs for:
MasterCard World Card
MasterCard World Elite
World MasterCard for Business
MasterCard Corporate World
World Elite MasterCard Business
MasterCard Corporate World Elite
Effective April 2010, MasterCard is revising the qualification criteria for Commercial Face to Face and Commercial Data Rate II. Zero will no longer be accepted as a valid tax value to qualify for these Interchange rate categories. If a commercial transaction has no sales tax, the … more
Employers issuing Visa payroll debit cards to under-banked workers not only benefit by moving all employees to direct deposit but are also providing a cash management tool highly valued by employees. Consumers are focused on controlling spending and understand that cash purchases can be difficult to track. The Visa survey reveals that consumers believe debit cards can help them monitor spending more closely and stay within budget. Plus employees enjoy convenient access to their funds by using their … more
CPAs can help their small business clients better manage cash flow by proactively talking about their payment policies and procedures. Now is the time to help your clients set a 2010 goal of implementing payment acceptance best practices. Why? Because by implementing sound accounts receivable policies with the objective of lowering working capital, businesses will achieve an operational advantage over their competitors.
Business is, ultimately, about getting paid. Businesses need to have enough working capital to fund their operations while they wait to get paid. If a company can improve its … more
The Salvation Army is smart to provider donors with the convenience of more payment options including Visa, MasterCard and American Express card transactions. Realizing that many people don't carry cash, the Salvation Army kettles are adjusting to the changing payment choices consumers are making.
The Salvation Army has deployed card acceptance to:
Increase overall red kettle donations
Eliminate "not carrying any cash" as an excuse for not giving … more