Congress recently passed the “Durbin Amendment” and this site was created to educate business owners on how the Durbin Amendment will effect the fees you pay to your Merchant Services provider. What is the Durbin Amendment? -The Durbin Amendment put a cap on how much Banks and Debit Networks are allowed to charge for a Check / Debit card transaction.  This cap is currently (July 15th, 2011) set at $0.21 + 0.05% Will I receive savings from the Durbin...

I believe that several things will happen over the next few months as Processors try to adjust their fee structure based on the Durbin Amendment.  Processors want to generate as much profit as possible, but they also want to avoid any regulation on their industry.  Here are a few possible actions that I think processors will take over the next few months in response to the lower interchange fees mandated by the Durbin Amendment. Nothing.  In other words, it is...

If you want to take full advantage of the savings your company can realize from the Durbin Amendment, you will need to be on the “Interchange Plus” pricing platform.  Most small business owners are not on this pricing platform, they are on “Tiered” or “Flat Rate” pricing.  These cost structures simply are not as effective as Interchange Plus pricing at passing through the savings from the Durbin Amendment.  Here are a few...