[ic] Declined transactions fee? (off topic - sort of)

Duane Hinkley duane at downhomewebdesign.com
Mon Apr 25 21:45:42 EDT 2005

Marty Tennison wrote:

> Hi Group,
> This is sort of off topic but I thought it might be worth posting in 
> case anyone else has the same question.
> This is in regards to merchant accounts and processing fees. 
> Specifically, the "per transaction fee" ($0.20 per transaction in our 
> case) that is charged.  My understanding was that this fee is only 
> applied when a transaction (sale, credit or auth) is successful 
> however, I'm now finding out that it is applied for either a 
> successful or declined transaction.
> The question is, are any of you paying the "per transaction fee" for 
> declined transactions?  Or is this just another way for our merchant 
> bank to try and make some money.
> Thanks in advance for any input.


The type of fees vary quite a bit depending on the type of deal you got 
for your merchant account.  I have had clients charged a fee for 
declined transactions.  I've also had others not charged a fee.  It all 
comes down to what's on the agreement the business owner signed for the 
merchant account.

Another word about merchant accounts.  I just replaced my old one with 
one that has with a month to month style contract (no yearly contract), 
a $7 monthly fee and low percentage rates.  The deal even beat what 
Costco offered which at the time was the best deal I've seen.

The secret is don't get the merchant account from those salesman that 
bug the heck out of you.  Also don't get them from those big banks.  The 
secret is call a bunch of local banks until you find one with good 
rates.  I found mine at a local bank that here in Boise.



Duane Hinkley
Down Home Web Design, Inc.
(208) 424-0572 Fax(208) 587-0738

duane at downhomewebdesign.com

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