Re:Stripe Terminal – Programmable point of sale
by StudentStuff on Tuesday September 18, 2018 @12:21AM
(#18012446)
Here is an example of a relatively expensive rate for processing with a merchant account (2% plus 10 cents per transaction, with a 10 monthly fee) versus Stripe. Note how the breakeven for getting a merchant account is when you start processing more than $428 a month(assuming an average transaction is $15).
Re:Stripe Terminal – Programmable point of sale
by rossdavidh on Tuesday September 18, 2018 @08:17PM
(#18020578)
My experience in the U.S., admittedly as a very small size merchant, is that 2% +10 cents is considerably better than I can get with a bank.
Re:Stripe Terminal – Programmable point of sale
by StudentStuff on Thursday September 20, 2018 @06:59PM
(#18036068)
Banks have 2nd tier offerings for credit and debit processing that don't focus on gaining customers with low rates. There are a handful of platforms, First Data, Tsys, Elavon, Worldpay/Mercury & Heartland, and everyone who sells merchant services is selling you access to one of those platforms.
Stripe and others like them is also the best rate if you are processing very small annual amounts. Because every merchant account has around $10 in monthly fees, minimum. If you are not paying a monthly fee, either your processor is paying it, assuming that they will make enough on the spread to make up for it, or they are running your processing under their own merchant account and taking on the risk. Which is likely what stripe does until an account is large enough to warrant moving it under its own merchant account.