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Debit card(Durbin covered banks) interchange is 0.22 fixed fee + the variable amount. Add on processing fees and its easily 0.30. Visa has a microtransactio
by adrr 9y ago
Debit card(Durbin covered banks) interchange is 0.22 fixed fee + the variable amount. Add on processing fees and its easily 0.30.
Visa has a microtransaction(sub $10) framework where you can roll up 3 auths into one interchange but most processors don't support it.
- detaro 9y agoPatreon always has been bundling many small transactions into one large, that has been the major point from a fee perspective to use them. Their fees already included the processing fees for that. $0.30 or so per credit card transaction (+ a percentage) is totally expected and what they did until now.
- jopsen 9y ago> Patreon always has been bundling many small transactions into one large Yeah, from what I understand they are planning to stop that. So that's the end of patreon as a micro payment platform.
- quadrangle 9y agoIt was always (and remains) a paywall service first and foremost. It wasn't meant to be a micro payment platform.
- andymcsherry 9y agoPatreon uses Stripe and Paypal. Both of their fees are 30¢ + 2.9% regardless of interchange fee for a specific card. Not sure where they got the extra 5¢, but it seems reasonable to charge what their paying.
- tasty_freeze 9y agoThe difference is that Patreon withdraws money from me once a month -- that is a single transaction. Yes, I'm OK with them covering the actual cost of the Stripe/Paypal fee. But for them to charge me $3.50 because there are theoretically 10 charges (when there is actually one aggregate charge) is in no way fair.