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What Is Flat-Rate Credit Card Processing?

Also known as flat-fee credit card processing, this payment processing model can be cost effective for some businesses, mostly new and very small ones.

    Chris Motola
  • Last updated onUpdated

  • Shannon Vissers
  • REVIEWED BY

    Shannon Vissers

    Lead Staff Writer

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Key Takeaways
  1. Flat-rate credit card processing offers a consistent, predictable fee structure, combining interchange fees and processor markups into a single rate for all transactions of a certain type.
  2. This model is most beneficial for small, low-volume, seasonal, or newly established businesses due to the lack of recurring account fees and long-term contracts.
  3. While easier to understand, flat-rate processing is typically more expensive per transaction compared to interchange-plus pricing, making it less suitable for high-volume businesses.
Chris Motola

Chris Motola

Expert Contributor at Merchant Maverick
Chris has been writing about small business topics since 2003. He has been featured in Fox Business, ABC News, Yahoo Finance, GoBankingRates, Newsweek, BizJournals, and other publications. He has a Bachelor’s of Arts in English Writing Arts from SUNY Oswego, and a Masters of Science in Interactive Media from the University of Central Florida. He currently resides in the Hudson Valley region of New York.
Chris Motola
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Credit Card Processing With Superior Support

Helcim


Visit Site

With Helcim, you get everything you need to accept credit card payments online or in-person with a free account, plus high-quality support from real humans. Start For Free.