Keep 100% of your Credit Card Revenue with No Fee Credit Card Processing

With Xccept you will take home 100% of all your credit card transactions with no fees Credit Card Processing.  By eliminating all credit card costs, you get to keep 100% of your revenue every time a customer pays with credit.

  • NO Credit Card Fees…Ever!
  • NO Statement Fees
  • NO PCI Compliance Fees
  • 24/7 Merchant Support
No Fee Credit Card Processing

Free Credit Card Processing

There are a few different but similar titles for the free credit card processing offer. There is no difference between “no fee,” “free,” or “zero fees” processing. And you can see that everything is actually “surcharging” in the fine print.

Surcharges on credit cards are nothing new or special. Where it is permitted to do so, the majority of large credit card processors provide a surcharging service. However, labeling this solution as “no-fee” is more recent.

Surcharging & Zero Fee Credit Card Processing

Comparison Of Surcharging & Zero Fee Credit Card Processing

Financial institutions permit no one to dodge interchange rates and fees, and no credit card processor can remain in business for very long without receiving customer payments.

As a result, all offers for “free” credit card processing essentially merely include surcharging customers who pay at the terminal.

A credit card processing option called surcharging enables businesses to pass on credit card processing expenses to their customers. For their clients, almost every merchant services provider can set this up. Many don’t promote it for reasons we’ll go into more detail about below.

So, what distinguishes surcharging from no-fee credit card processing? Nothing.

The conventional surcharging method is reimagined as no-fee credit card processing. What makes some businesses exceptional in this processing program is that they have built their entire company model around “no-cost” or “free” processing. They can sell the solution as a whole by doing this. The configuration of surcharging, including terminal programming and informing card brands like Visa and Mastercard, is included in that package.

Free Credit Card Processing

It’s important to note that very little in life and business is free. When given a “free” choice, remember that someone else is paying for it. Even so, it might be difficult to resist the need to learn more when we come upon a free service or solution.

This type of appeal can be found in no-fee credit card processing, also referred to as free credit card processing. Processing credit card transactions entail expenses, such as processor markups and interchange fees, among others. However, merchants are always drawn to the “no fee” guarantee.

Particularly small firms are drawn to the concept of cost-free processing. We, therefore, want to clarify the idea. Free credit card processing is feasible, but business owners need to know many factors before starting.

No Fee Credit Card Payments
No Fee Credit Card Payments

No Fee Credit Card Payments

All terminals must be programmed with specific rules to process payments when setting up a credit card processing solution. The programming rule is set up for no-cost payment processing so that all credit card transactions receive a markup to compensate for credit card processing fees.

There is a cap on how much can be charged as a surcharge across the US. There is often a 4% cap. In Colorado, businesses can charge a 2% extra or pass all processing fees on to the consumer.

For instance, a shopper may drop by a fashion retailer to buy some jeans. The jeans cost $50. The cashier would scan the tag and let the customer know if they could pay with cash or a credit card. The client declares that they wish to make payment via credit card. The cashier enters this information into their system, and the final total automatically includes an additional fee of $50 to compensate for the costs associated with processing credit cards. The final value of fifty dollars could range from $51 (2%) and $52 (4%).

The outcome? The merchant does not pay the fees because they are immediately passed on to the buyer.

The Auxiliary Costs

One expense associated with processing credit card transactions is the credit card transaction fee. You might be able to incorporate those additional costs into the client surcharge with some “no-fee” processing businesses. However, a lot of them will still demand extra monthly payments to cover services costs, PCI compliance costs, chargeback costs, convenience costs, and more. You will also be required to pay for any equipment that you require.

The real kicker is that debit card purchases are exempt from surcharges. Credit cards are the sole form of payment that merchants can use to recoup their processing fees in the entire “no-fee” system.

Legal Issues

Processing for free is subject to controversy. There have been countless court cases pitting merchants and banks against one another. Traders contend that they ought to be entitled to charge fees to the consumer. According to banks, they shouldn’t.

The justification for this is that customers are more inclined to use another payment method if retailers can impose surcharges on cardholders. Banks dislike this concept. Naturally, retailers want to be able to discourage customers from using cards with high processing fees. The retailers’ options are constrained because surcharging is prohibited.

Surcharging is not permitted in two states as of the time of publication:

  • Connecticut
  • Massachusetts

In addition, there are a few additional states that continue to have strange surcharging laws in existence. Before registering with no-fee payment processors, merchants should confirm the situation in the following states:

  • Kansas
  • Maine
  • New York
  • Texas
  • California
  • Florida

Things To Check In Every No Fee Credit Card Processor

Merchants who lack the sales volume or cash flow to meet interchange-plus pricing’s processing fees might greatly profit from surcharging. The no-fee pricing approach is worth considering, despite the widespread concern around it. For the optimal solution, keep an eye out for the following:

No Fee Credit Card Processor

Pricing & Commissions

No system for processing payments can be free. You’ll probably still be assessed additional fees even though you’re passing the processing costs onto your clients. Read the small print and be aware of:

PCI fees for compliance

Service charges

Equipment costs.

Remember that some costs are unavoidable (debit card processing fees, for example). Calculate the exact cost of those additional fees carefully because they may add up. To choose the best offer, compare them to different payment processors.

POS System Requirements

Part of the no-fee deal is often the equipment setup, dealing with banks, and all the burdensome steps of setting up surcharging. This saves a lot of time, but it may get you stuck with leasing equipment.

Beware of claims that promote pre-programmed equipment. Of course, it’s convenient to avoid reprogramming existing card readers, but pre-programmed equipment will likely be proprietary hardware. You could get stuck in a long-term contract, or you could have to buy new equipment if you wanted to change your provider.

Types of Business & No Fee Credit Card Processing

Only some people should use no-fee credit card processing. These are the kinds of companies that might profit from this kind of supply.

No Fee Credit Card Processing

High-Risk Merchants

Suppose your business is high-risk (i.e., you operate in a dangerous sector of the economy or experience erratic sales volumes). In that case, you may require every dollar to reinvest in growing it. No-fee processing can be an excellent answer in certain circumstances.

Small Business

When dealing with independent small firms, consumers frequently understand how costs are passed through. Common businesses that might not require additional merchant services include small cafes, stores, market vendors, and independent merchants. If the rates for debit card transactions are acceptable, no-fee processing is ideal.

On the other hand, as you grow bigger, your customers become less understanding. The rates from debit card transactions will be too high to warrant this kind of solution, and adding surcharges may drive customers toward rivals.

Large Corporation

Surcharging is a potential strategy for businesses that fall within the enterprise category to offset the overall expenses of handling many credit card transactions. Since corporate credit cards frequently have some of the highest interchange rates, there are a lot of expenses that can be decreased.

Skip All The Hassle To Get No Fee Credit Card Processing!

Get in touch with the team at Xccept if you are an established firm looking to eliminate your credit card processing costs and receive reasonable pricing on everything else. To give you the best of both worlds, we provide many solutions, including fee-free credit card transactions, inexpensive debit card transactions, and premium merchant services.


Business Solutions

  • Enterprise Payment Processing
  • Xccept Point of Sale
  • Cash Discount Surcharging
  • Free Fees Processing
  • Integrations

For legal Reasons

Xccept is a registered ISO of PNC Bank, N.A., Pittsburgh, PA -Member FDIC; Woodforest National Bank, The Woodlands Texas; Citizens Bank, N.A., Providence, RI; Wells Fargo Bank, N.A., Concord, CA.

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