Many business owners focus only on the advertised processing rate, but that number rarely reflects what they are actually paying. The most important number to understand is your effective rate — the true percentage of your total sales that goes toward payment processing fees.
Your effective rate includes:
- Transaction fees
- Monthly and annual fees
- PCI and compliance fees
- Network and assessment fees
- Markups and hidden charges
Even if your quoted rate sounds low, your effective rate could be much higher.
For example, a business that thinks they are paying 2.3% might actually be paying 3.5% or more once all fees are included. Over a year, that difference can mean thousands of dollars in unnecessary costs.
At Statements101, we calculate your true effective rate and show you exactly how your fees break down. More importantly, we show you how to reduce that number.
👉 Get your free statement analysis and find out your true effective rate.