Everything Your Bank
Never Told You About
Credit Card Processing
Learn how the industry really works, who gets paid what, and how to stop leaving money on the table.
Your bank branch and your merchant account are two completely different things.
Most business owners assume their bank handles everything, including how they accept card payments. In reality, merchant services is a separate industry with its own companies, pricing structures, and representatives. Understanding this distinction is the first step to knowing if you are paying a fair rate.
Deposits, loans, checking
Manages your business banking, where your money lives. The rep at your branch sells bank products, not payment processing.
Card acceptance and processing
A separate service that enables you to accept credit and debit cards. Sold by processors, ISOs, and independent agents, not bank tellers.
Every card swipe travels through 5 layers and each one takes a cut
When your customer taps their card, money does not go straight to you. It flows through a chain of companies, each with their own fee. Here is the full picture.
* Example based on a $100 in-person sale using illustrative average values. Actual interchange varies significantly by card type, rewards level, entry method, and business category. For basic card-present transactions, FCS clients typically see effective rates between 2.20% and 2.60% all-in, including monthly fees. High-reward, international, and keyed transactions carry higher interchange and will affect the blended rate.
The 5 types of fees on a merchant statement
Your monthly statement combines multiple fee categories. Most business owners only ever see the total, which is exactly why overpaying goes unnoticed.
| Fee Type | Who Sets It | Typical Range | Negotiable? | What It Pays For |
|---|---|---|---|---|
| Interchange | Card Networks / Issuing Banks | 1.50% to 2.70% Avg. in person: ~1.75% |
Fixed | Paid to the cardholder's bank. This is usually the biggest slice and cannot be changed by your rep. |
| Assessment | Card Networks | 0.10% to 0.17% | Fixed | Paid directly to Visa, Mastercard, Amex, or Discover for use of the network. |
| Acquiring Bank Fee | Acquiring Bank / Sponsor Bank | 0.05% to 0.15% | Usually No | The sponsor bank that underwrites and legally holds the merchant account takes a small slice as part of the backend stack. |
| Processor Fee | Your processor | $0.05 to $0.30 / txn sometimes plus basis points |
Sometimes | Pays the platform doing the routing, batching, settlement, and reporting. |
| ISO / Agent Markup | Your ISO / sales rep | 0.10% to 1.50%+ | Negotiable | This is where the sales organization and rep make money. This is usually the clearest place to find savings. |
From first conversation to real savings in 4 steps
No surprises, no pressure. Here is exactly what happens when you work with Florida Card Services.
Get your free savings analysis
Leave your info and we will follow up with a personalized breakdown of what you are paying now vs. what you could be paying. No obligations, no pressure.
Not ready to talk yet? Use these free tools to start understanding your numbers.
Since 2019, Florida Card Services has served small businesses from Key West to the panhandle. Unlock the potential of your business with our cutting-edge credit card processing services. We have tailored solutions to streamline your bottomline.
Florida Card Services ©2019-2024 | All Rights Reserved