The term “Interchange rate” refers to the fees charged by the card companies for use of their cards. These card companies include Visa, Mastercard, AMEX, Discover. Interchange rates change twice a year – in April and October. Payment processing companies make money by putting a markup on top of the interchange rate. This is called cost-plus or interchange plus pricing. “Interchange” being the card…

To be sure, you need some pretty solid software tools to achieve your subscription goals. According to market research, there are literally hundreds of software products and cloud services dedicated to this task alone. Most of them will charge you a good monthly fee to use their tools. Luckily, if you process your credit card payments with Ruby, you are getting a wide range of business tools at no…

Is Interchange a new sales tax? While we are definitely on the side of science and hard evidence here, let’s admit nobody is happy to lose money. So that’s what Interchange is: a kind of global tax on every sale of goods or services when a customer pays with a debit or credit card. For there are just a few major card brands in the world, namely Visa, Mastercard, American Express, Discover and…

Invoicing is no doubt a significant business operation in itself. From the speed of creating a new invoice to presenting it to a customer, and then to get it actually paid. It takes a full-time role to handle it all in some more prominent firms. Sometimes a whole department. Even an entire building. That’s how vital Invoicing is. Hundreds of software companies try to tackle the invoicing conundrum…

Interchange Plus is a new, transparent, and straightforward pricing model which helps merchants to save much money on payment fees. Basically, it means that a payment company adds a small fixed markup on top of the underlying Interchange fees, which makes this pricing much fairer for the merchant. Interchange is a ubiquitous commission fee charged by the global card networks at every card…