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Correct. The fee will vary within a network based on all sorts of things. There are low-rate carve outs for low-margin products (eg gasoline), discounts for "ca

Correct. The fee will vary within a network based on all sorts of things. There are low-rate carve outs for low-margin products (eg gasoline), discounts for "card-in-hand" transactions, and higher fees for premium cards. https://www.helcim.com/us/visa-interchange-rates/ https://www.helcim.com/us/visa-interchange-rates/ https://usa.visa.com/dam/VCOM/global/support-legal/documents/visa-usa-interchange-reimbursement-fees-april-2018.pdf https://usa.visa.com/dam/VCOM/global/support-legal/documents...

mehrdadn 8y ago
Ohh.. so it's saying Visa CPS Retail vs. Visa Rewards Traditional vs. Visa Rewards Signature vs. etc. are different. Interesting, thanks, I didn't know that. But if I'm buying two of the same product (obviously -- I'm not talking about two gas vs. groceries here) with two different cards, both of which are from the same network and the same "kind" (by which I mean the categorizations listed above, like two that are both "Visa Rewards Signature"), then the merchant will pay the same fee, right? i.e. it's not like the mere fact that one pays 1% cash back and one pays 2% cash back could possibly result in a different charge to the merchant by itself if they're both (say) lumped together as Rewards Traditional?
- aeternus 8y ago
  Not always, even the exact same card can run on different networks. For example: 1) You buy a product with your Visa debit card and enter your pin 2) You buy the same product, same card, but don't enter your pin 3) You buy the same product, same card, but your card won't swipe so the cashier manually enters your card number Each of these scenarios will likely result in different fees to the merchant.
  - mehrdadn 8y ago
    This is avoiding and completely missing the point of my question. I was not asking whether card fees can vary based on how the card is processed. I was asking to precisely what extent they can vary based on the card itself. Please re-read my entire question above.
    - adrr 8y ago
      Variable interchange fees range from 0.05% for Visa Debit Cards(Big Banks) to 2.4% for VISA Infinite for most merchant categories. Fees vary by card type and also merchant type.
      - mehrdadn 8y ago
        This is frustrating. Again, you guys are avoiding the question. I don't understand why you guys are doing this. Not only does it waste your own time and mine to be answering a different question than the one asked, you're also repeating a point others have gotten across already [1] [2]. Could you please, please actually read the question? I had very clearly and specifically asked about the same kind of card (which, lest you found the word "kind" unclear, I explicitly gave an example of: assume both cards are "Visa Rewards Signature"), for the same product, with the same merchant, processed in the same manner, etc. The only difference I am focusing on is the card perks (which, again, I gave an example of lest it was unclear: 1% vs. 2% cash back... or 5x points vs. 3% cash back, or whatever you can imagine) or perhaps the issuer (Citi vs. Chase vs. whatever). Somehow you guys are ignoring everything I've asked and repeating to me how merchant fees are different based on the card type (debit vs. credit), card kind (signature vs. regular), merchant (big vs. small), product (groceries vs. gas), etc... yes, thank you, I understood that part already [2], and I was very, very explicitly not asking about those: > if I'm buying two of the same product (obviously -- I'm not talking about two gas vs. groceries here) with two different cards, both of which are from the same network and the same "kind" (by which I mean the categorizations listed above, like two that are both "Visa Rewards Signature"), then the merchant will pay the same fee, right? i.e. it's not like the mere fact that one pays 1% cash back and one pays 2% cash back could possibly result in a different charge to the merchant by itself if they're both (say) lumped together as Rewards Traditional? [1] https://news.ycombinator.com/item?id=17658575 https://news.ycombinator.com/item?id=17658575 [2] https://news.ycombinator.com/item?id=17658479 https://news.ycombinator.com/item?id=17658479
        JumpCrisscross 8y ago
        > the same kind of card...where the only difference was the card perks The same card means the same perks. You're describing two different cards. They may be similarly branded. But they're different cards to the interchange and different cards (from a rewards perspective) to the consumer. If you think someone is "avoiding the question," it might be you're miscommunicating.

mehrdadn 8y ago

Ohh.. so it's saying Visa CPS Retail vs. Visa Rewards Traditional vs. Visa Rewards Signature vs. etc. are different. Interesting, thanks, I didn't know that. But if I'm buying two of the same product (obviously -- I'm not talking about two gas vs. groceries here) with two different cards, both of which are from the same network and the same "kind" (by which I mean the categorizations listed above, like two that are both "Visa Rewards Signature"), then the merchant will pay the same fee, right? i.e. it's not like the mere fact that one pays 1% cash back and one pays 2% cash back could possibly result in a different charge to the merchant by itself if they're both (say) lumped together as Rewards Traditional?

aeternus 8y ago
Not always, even the exact same card can run on different networks. For example: 1) You buy a product with your Visa debit card and enter your pin 2) You buy the same product, same card, but don't enter your pin 3) You buy the same product, same card, but your card won't swipe so the cashier manually enters your card number Each of these scenarios will likely result in different fees to the merchant.
- mehrdadn 8y ago
  This is avoiding and completely missing the point of my question. I was not asking whether card fees can vary based on how the card is processed. I was asking to precisely what extent they can vary based on the card itself. Please re-read my entire question above.
  - adrr 8y ago
    Variable interchange fees range from 0.05% for Visa Debit Cards(Big Banks) to 2.4% for VISA Infinite for most merchant categories. Fees vary by card type and also merchant type.
    - mehrdadn 8y ago
      This is frustrating. Again, you guys are avoiding the question. I don't understand why you guys are doing this. Not only does it waste your own time and mine to be answering a different question than the one asked, you're also repeating a point others have gotten across already [1] [2]. Could you please, please actually read the question? I had very clearly and specifically asked about the same kind of card (which, lest you found the word "kind" unclear, I explicitly gave an example of: assume both cards are "Visa Rewards Signature"), for the same product, with the same merchant, processed in the same manner, etc. The only difference I am focusing on is the card perks (which, again, I gave an example of lest it was unclear: 1% vs. 2% cash back... or 5x points vs. 3% cash back, or whatever you can imagine) or perhaps the issuer (Citi vs. Chase vs. whatever). Somehow you guys are ignoring everything I've asked and repeating to me how merchant fees are different based on the card type (debit vs. credit), card kind (signature vs. regular), merchant (big vs. small), product (groceries vs. gas), etc... yes, thank you, I understood that part already [2], and I was very, very explicitly not asking about those: > if I'm buying two of the same product (obviously -- I'm not talking about two gas vs. groceries here) with two different cards, both of which are from the same network and the same "kind" (by which I mean the categorizations listed above, like two that are both "Visa Rewards Signature"), then the merchant will pay the same fee, right? i.e. it's not like the mere fact that one pays 1% cash back and one pays 2% cash back could possibly result in a different charge to the merchant by itself if they're both (say) lumped together as Rewards Traditional? [1] https://news.ycombinator.com/item?id=17658575 https://news.ycombinator.com/item?id=17658575 [2] https://news.ycombinator.com/item?id=17658479 https://news.ycombinator.com/item?id=17658479
      - JumpCrisscross 8y ago
        > the same kind of card...where the only difference was the card perks The same card means the same perks. You're describing two different cards. They may be similarly branded. But they're different cards to the interchange and different cards (from a rewards perspective) to the consumer. If you think someone is "avoiding the question," it might be you're miscommunicating.