Fee Type Configuration Parameters
- Miles Graves
There are multiple ways in which fees can be applied on the Platform:
Directly to Entities - Applied to individual Merchants or Referrers
Using Groups - Applied to a group of Merchant or Referrer entities.
Per Transaction - Applied to Entities or Groups as each transaction is processed. (Fee Listener)
Now that you’re familiar with the Fee Structure and available setup options, we’ll get started by setting up the Fee type of your choice using your preferred method.
Tip: If you are familiar with basic fee structure information, jump ahead to the Setting up a Fee section below.
Getting Started
Before you begin, it’s important to understand the makeup of a Fee configuration and the various components used to create the Fee setup exactly to your specifications.
Each section below covers the major components of setting up a fee with all available customizations and refinements. Each of these major steps is provided with a Portal setup guide and an API setup guide to offer instructions for your preferred platform usage method:
Setting up a Fee - Learn the process of how and where to set up a Fee.
Fee Type Setups - Learn the specific parameters required to set specific types of Fees.
Adding Fee Rules - Learn the process of adding Fee rules to further refine Fee Schedule (Trigger) criteria.
Prerequisites
To ensure your experience is streamlined, make sure you’re familiar with the following information:
Fee Types - The different categories of fees that can be created and charged.
Fee Structure - Overview of the basic layout for a Fee configuration.
Fee Schedules - Available time or event-based triggers used to initiate a Fee charge.
Fee Rules - Options to further refine the criteria of the Fee Schedule.
Fee Modifiers - Options to redirect the Fee collection flow and who will pay the Fee.
Fee Collection Process - Overview of how Fee payments are collected and where they can be found.
Warnings
Review the following warnings before you begin to avoid issues and potential legal complications:
Warning: Do not create or apply Surcharges as legal complications can occur. Visa and MasterCard specifically prohibit the application of Surcharges to cardholders on their card brand networks respectively.
Warning: Convenience Fees can only be charged to customers using an alternative payment method (e.g. a website instead of in-person or mail/telephone orders)
Tips
The following tips will provide you with extra insight useful to the process:
Setting up a Fee
This quick overview will demonstrate the steps necessary to begin setting up the Fee configuration of your choice. For simplicity, this will serve as the foundation to set up all Fee Types. Each Fee Type will be covered in its own section with additional context added where necessary.
Using the Portal
Using the API
As the API request offers the ability to set up all types of fees using the same call, we’ll provide the initial API reference information so you just have to change a few parameters (provided in each setup below)
Request URL & Headers | POST /fees HTTP/1.1
Accept: application/json
Content-Type: application/json
Host: api-test.payrix.com |
The Request and Response bodies will use the same parameters for each Fee Type setup. We’ll provide you with an example request body and parameter descriptions so you’ll know what to change in the following setup steps.
Fee Type Setups
In the Fee Type Setup steps below, we’ll simply include the required parameter settings necessary to enable that particular Fee Type. Additional context and information will be provided within each section.
Choose the Fee Type you’d like to set:
Boarding Fees - Fees collected from your Merchants as they board the platform.
Chargeback/Dispute Fees - Fees collected for managing Merchants’ dispute responses.
Convenience Fees - Fees collected from Cardholders for alternative payment method acceptance.
External Fees - Fees collected for services provided outside of the platform such as Visa Fixed Acquirer Network Fee (FANF), Visa Integrity Fees, and MasterCard Merchant Location Fees or Value-Added Services like OmniToken and SaferPayments.
Interchange & Processing Fees - Fees collected to reimburse Interchange and other costs assessed by the processor and/or card brands.
Platform Service Fees - Fees collected for custom Platform Service enablement
Risk Decision Fees - Fees collected for triggering automated Risk Decisions on an entity.
Risk Service Fees - Fees collected for performing a Risk Policy check on an entity at a cost.
Surcharge Fees - Fees collected from cardholders by Merchants as an additional charge, usually to cover specific costs associated with the transaction, such as platform transaction fees.
Transaction Fees - Fees collected when transactions are authorized and/or captured.
Boarding Fees
This customization allows our partners to seamlessly implement a portfolio-wide or individual new account creation fee to collect from their clients.
Chargeback Fees
Chargeback Fees (also known as Dispute Fees) are fees set and charged to Merchants by Referrers for offering the platform to process the Chargeback.
Begin by following the steps in the Setting up a Fee section under the Using the Portal steps and use the parameters below to complete the process.
Convenience Fees
Convenience Fees are fees set and charged by Merchants to Cardholders for the “alternative” payment method acceptance. “Alternative” refers to the non-primary payment methods provided by Merchants to Cardholders. This Convenience Fee amount is then charged to the Merchant by the Referrer, based on the Referrer’s Fee Modifier settings.
Begin by following the steps in the Setting up a Fee section under the Using the Portal steps and use the parameters below to complete the process.
External Fees
External Fees are fees that are assessed from external platforms, such as Visa’s Fixed Acquirer Network Fee (FANF) or MasterCard Merchant Location (MC Location), to a Referrer for the usage of those services. In scenarios where Referrers would like to charge a Merchant to cover the costs of those fees. In some cases, you may want to charge a markup for providing the service through your platform to your Merchants.
Interchange & Processing Fees
If you want to pass along these to your merchants you can set up an Interchange fee schedule at 100% so that they are responsible for covering the fees.
Platform Service Fees
This customization allows our partners to seamlessly implement a portfolio-wide or individual new account creation fee to collect from their clients. creating a custom platform service fee in Payrix is an ideal way to automatically bill your clients for your services based on your user agreement with them.
Risk Decision Fees
Risk Decision Fees allow you to charge fees to a Merchant when core platform risk services are used to evaluate when a risk decision is made for a boarding Merchant or when a processed Transaction has risk checks performed to ensure compliance.
Risk Service Fees
Risk Service Fees allow you to charge additional fees for the use of integrated third-party risk service. This flexibility enables Referrers to assess fees to Merchants that are higher risk requiring manual validations of the entity and its transactions on a regular basis in addition to fees assessed from the given risk service(s).
Surcharge Fees
Surcharging allows Referrers to charge a per-transaction fee each time a credit card is used by cardholder that is charged to the Merchant but can be passed to the cardholder directly.
Transaction Fees
Transaction Fees allow Referrers to charge their Merchants on a per-transaction basis to generate revenue as a Referrer.
Adding Fee Modifiers
To change the entity that will be paying the cost for the Fee charge, you’ll need to setup a Fee Modifier.
Using the Portal
Using the API
Request URL & Headers | POST /feeModifiers HTTP/1.1
Accept: application/json
Content-Type: application/json
Host: api-test.payrix.com
APIKEY:{{private_api_key}} |
Adding Fee Rules
To configure and refine the criteria of the Fee Schedule or “When to trigger the fee?” selection of a fee you’ve just created, follow the steps below.
Using the Portal
Using the API
Request URL & Headers |
Additional Resources
For additional Fee-related resources, see the associated articles: