Setting your surcharge
If the surcharge is limited to the maximum amount you’re paying in card fees, how do you decide what to charge customers as a new business with no history of card payments? And what if you accept several card brands with varying transaction fees?
It’s easiest to charge one fee for all card payments, but then you must limit this rate to the average acceptance cost of the lowest-cost card system. For example, if your average fee is 2.6% for Amex, 1.5% for Visa Credit and 1% for Visa Debit cards, and these are the only cards you accept, your fixed-level surcharge cannot exceed 1% (to match the low Visa Debit rate).
You are not allowed to set one surcharge for all card payments based on the average transaction cost of the individual card types. For example, even though the average card fee of the above-mentioned Amex, Visa Credit and Visa Debit rates is 1.7%, you can still only charge 1% with one rate for all payments.