What is the interchange plus fee structure (IC++)?

Interchange ++ benefits you, it refers to a pricing model where the acquirer or payment provider (hips) will charge a merchant, for every card transaction, using a rate made of three components. Firstly, the basis is always the interchange percentage fee. On top of that, a  card scheme fee is added, and lastly a fixed percentage (Hips fee) is added by the provider. The sum of these three fees is the final rate that the merchant is being charged with for every transaction. The benefit of such a pricing model over the fixed blended rate model is full transparency, resulting in lower overall fees.

  • No contracts

  • No monthly fees

  • No hidden charges

In person average cost 1.50% 1.80% Includes everything

Keyed & online average cost is 2.30-2.70% includes everything

Understanding Interchange

Every card transaction incurs fees that the merchant must pay. Compared to conventional price models, Interchange ++ provides greater transparency. The costs are broken down into three separate components: interchange fee, system fee and acquirer fee (Hips fee). 

Visa/MC EEA Interchange FeesVisa/MC EEA Card Scheme Fees
Domestic/Regional Debit0.20%0.02% - 0.12%
Domestic/Regional Credit0.30%0.02% - 0.12%
Corporate/Premium Cards1.25% - 1.90%
Cards issued outside EEA1.50% - 1.80%0.55% - 0.65%
Cards issued within EEA0.02% - 0.15%