How to Read Your Merchant Services Statement (And Find Hidden Fees)
Your monthly processing statement holds the key to saving thousands. Most merchants never read it—and processors count on that. Here's how to decode every line.
Why Your Statement Matters
The average merchant overpays by $3,000–$8,000 annually due to hidden fees buried in their processing statement. These aren't always obvious—they're spread across multiple pages with confusing terminology designed to make comparison shopping difficult.
Key Sections to Review
1. Transaction Summary
Shows your total volume, transaction count, and average ticket size. Compare these to your own records to ensure accuracy.
2. Discount Rate / Qualified Rate
The base rate you're charged. Watch for 'non-qualified' surcharges that inflate this by 0.5–1.5%.
3. Monthly & Annual Fees
Statement fees ($5–$15), PCI compliance fees ($79–$129/year), and account maintenance charges. Many are negotiable or eliminable.
4. Interchange Fees
The wholesale cost set by card networks. Your processor should pass these through at cost—markups here are pure profit for them.
5. Assessment Fees
Small fees charged by Visa/Mastercard (typically 0.13–0.15%). These are non-negotiable but should be clearly separated.
Top 5 Hidden Fees to Watch For
- Batch processing fees — $0.10–$0.30 per batch, charged daily
- PCI non-compliance fees — $19.95–$99.95/month if you haven't completed PCI questionnaire
- Early termination fees — $295–$595 for canceling before contract ends
- Rate creep — gradual increases to your discount rate over time
- Junk fees — 'regulatory compliance', 'technology access', or 'account maintenance' fees with no real service
What a Clean Statement Looks Like
With Processing Bros, your statement is simple and transparent:
- Interchange-plus pricing — you see the exact wholesale cost plus our small markup
- No monthly minimums, no statement fees, no PCI fees
- No contracts — cancel anytime with no penalties
- Cash discount option — eliminate processing fees entirely