4 ms·
The Achilles heel of this setup is that not all transactions are equal risk. Very low risk transactions are paying near identical fees to very high risk transac
by dcolkitt 4y ago
The Achilles heel of this setup is that not all transactions are equal risk. Very low risk transactions are paying near identical fees to very high risk transactions, despite orders of magnitude differences in fraud rates.
How long will Apple selling in-store products to 800 FICO score consumers be willing to subsidize eBay vendors and gift card resellers?
- arcticbull 4y agoThey’re not. The 3% is a blended average. The rate varies by the specific card kind, the card brand, the specific vendor in Apples case when they have leverage - or the merchant category code when they don’t have leverage. Even chargeback history matters. Apple likely has a deal that borderline costs merchant acquirers money and that gift card vendor is probably paying 10%.
- kube-system 4y agoMerchants pay different fees depending on their risk category. High risk merchants can pay 15% or more.