Qualified Rate

“Qualified Discount Rate” or “Qualified Transaction Fee,” may refer to fees charged in tiered/bucket merchant account pricing schemes. There is usually a three-tier fee model that merchants use. The Qualified rate also exists right alongside what are referred to as … Continue reading

Online Shopping Cart

A misconception about the function(s) of a merchant’s online shopping cart is the focus of much conservation. Online shoppers might be tempted to believe that the shopping cart is where their payment is processed. Instead, the online shopping cart serves … Continue reading

Non-Qualified Rate

The Non-Qualified Rate is the most expensive of the fees charged in merchant service three-tier pricing schedules, the other two being “Qualified” and “Mid-Qualified”. Whether a credit card processing company prefers to call it a “Non-Qualified Downgrade Fee, “Non-Qualified Transaction … Continue reading

Mid-Qualified Rate

A Mid-Qualified rate refers to the rate that is charged to merchant accounts through credit card processors. It is the middle tier in three-tier pricing schemes for credit card processors, with all three tiers being: Qualified, Mid-Qualified and Non-Qualified. Mid-Qualified … Continue reading

High Ticket

When merchants establish or open a merchant processing account, they are asked to predict their highest single transaction amount. This is known as a “High Ticket.” If the business is new, the merchant can give an estimate. However, if the … Continue reading

Downgrade Fee

Downgrade fee is a blanket term used by merchants who are subject to higher surcharges as part of their credit card processing charges. In particular, downgrade fees are applied when instead of being charged the qualified rate a merchant is … Continue reading


The term “Cardholder” reefers to the person who’s name is written on the front of the card itself. This person is responsible for the card and ultimately accountable for the card’s use. The merchant is responsible for verifying the identity … Continue reading

Batch Fee

The term “Batch Fee” is also known as a Daily Closeout Fee, A Settlement fee, a Batch Settlement Fee, A Batch Header Fee or a Batch Capture Fee. Batch Fee refers to the combined amount of credit card charges in … Continue reading