Merchants typically pay a flat fee for each online debit transaction despite the dollar amount and a percentage-based transaction fee for offline debit payments. Each pricing plan includes a mark-up that stays with the payment processor, on top of the set fee charged by the card-issuing bank....
Interchange refers to the settlement of funds, when the acquiring bank (representing the merchant) pays the issuing bank (representing the customer) a wholesale fee for processing each electronic transaction. The acquiring bank also pays an assessment fee to the appropriate card network for each tran...