Visa Inc. & Mastercard Inc. Are Preparing to Increase Fees for Businesses

Visa Inc. and Mastercard Inc. are preparing to increase the fees for businesses accepting consumers’ credit cards.

The fee increases, delayed during the past two years because of the pandemic, are scheduled to kick-in this year. MasterCard has invested $250 million to help small businesses (merchants) survive and thrive, and that they are reducing costs for certain smaller merchant categories that were hit hard by the pandemic.

So to avoid the higher fees, small businesses have to be correctly categorized and also provide certain transaction data and use its token service that masks card numbers. Typically a card using a chip will price lower than a key-in entry, and accepting pin debit will get the lowest rate in this program

At Avalon Mail Center, we offer a Pro Bono service to local businesses in financial services. Our analysts believe we can save small businesses between $200 - $300 each month on operating costs, so that will be ~$2400 in savings in a year. To qualify for the Pro Bono Program, local business owners can apply online MERCHANT SERVICES at avalonmailcenter.com or stop by to pick up an application. Our analysts have been setting up credit card systems for the last 19 years and continue the work to teach business students how to analyze financial statements. You will need to bring along two recent merchant statements or General Ledger for our analyst to review your business and calculate your savings. One way to increase your revenue is to reduce your cost of doing business, we hope we can help.

Avalon Mail Center is owned and operated for reasons that go beyond pure monetary returns; it is an Angel Investment, managed with an community-centric philosophy. Come visit us at 3564 Avalon Park E Blvd, Ste 1, opposite Publix.