Create and Apply a Fee

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

Step 1: Navigate to the Merchants page, located under Management.

Step 2: Click the Merchant you want to charge the Fee to enter its Merchant Profile page.

Step 3: In the Merchant Profile, click Fees from the left-hand menu. Then, click the ADD FEES button to reveal the Add Fee lightbox.

Step 4: Jump to the Fee Type of your choice below for the parameters required in the Add Fee lightbox.

Step 1: Navigate to the Groups page (located under Management).

Step 2: Select the Group the fee will be applied to from the page list or create a new Group with the ADD GROUP button and select the desired Merchant(s) from the list. Then, enter the Group’s Profile page.

Step 3: In the Group Profile, select Fees from the left-hand menu. Then, click the ADD FEES button to reveal the Add Fee lightbox.

Step 4: Jump to the Fee Type of your choice below for the parameters required in the Add Fee lightbox.

Follow the steps in the applicable content above if you wish to apply this fee for an individual Merchant entity or to a Group [of Merchants]. Continue from Step 4.

Step 5: Check the Transaction Fee checkbox to enable the Fee to be charged on a per-transaction basis.

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.

In this basic example, we’re setting up a $15.00 Platform Account Overdraft Fee.

This actual fee ("type": 1) will be paid by one entity (Referrer) on behalf of another (Merchant) when that (Merchant's) entity's available balance is overdrafted ("schedule": 12).

We’ve applied this setting to that Merchant’s entire Group (org) so all other Merchants assigned to the same Group will have the same Fee configuration applied to them.

{ "type": "1", "schedule": 12, "um": 2, "currency": "USD", "txnFee": "0", "inactive": "0", "frozen": "0", "entity": "t1_ent_1xxxxxxxxxxxxx", "forentity": "t1_ent_2xxxxxxxxxxxxx", "org": "t1_org_xxxxxxxxxxxxxx", "name": "Example Fee", "description": "Example Fee for platform account overdraft.", "scheduleFactor": 0, "start": 20231111, "finish": 0, "collection": "1", "collectionFactor": 0, "collectionOffset": 0, "collectionIncludeCurrent": 0, "amount": "1500" }

Parameter

Type

Required

Description

Valid Values

Parameter

Type

Required

Description

Valid Values

entity

string

Required

The entity ID for the entity the Fee is being applied to.

 

org

string

Optional

The Org ID for the group the Fee is being applied to.

 

type

integer

Required

The Type of Fee

Valid Values:

  • 1 - Fee. A Standard Fee.

  • 2 - Assessment. A Third-Party Platform Fee.

name

string

Optional

Custom name for the Fee.

 

description

string

Optional

Custom secondary description of the Fee.

 

schedule

integer

Required

The Fee trigger.

Valid Values:

  • 1 - Days. The Fee is charged every day.

  • 2 - Weeks. The Fee is charged every week.

  • 3 - Months. The Fee is charged every month.

  • 4 - Years. The Fee is charged every year.

  • 5 - Single. The Fee is a one-off charge.

  • 6 - Auth. The Fee is triggered at the time of authorization of a transaction.

  • 7 - Capture. The Fee triggers at the capture time of a Transaction.

  • 8 - Refund. The Fee triggers when a refund transaction is processed.

  • 9 - Board. The Fee triggers when the Merchant is boarded

  • 10 - Payout. The Fee triggers when a payout is processed.

  • 11 - Chargeback. The Fee triggers when a card chargeback occurs.

  • 12 - Overdraft. The Fee triggers when an overdraft usage charge from a bank is levied.

  • 13 - Interchange. The Fee triggers when interchange default are assessed for the Transactions of this Merchant.

  • 14 - Processor. The Fee triggers when the Transactions of this Merchant are processed by a payment processor.

  • 15 - ACH failure. The Fee triggers when an automated clearing house failure occurs.

  • 16 - Account. The Fee triggers when a bank account is verified.

  • 17 - Sift. The Fee triggers when a txn uses SIFT for fraud checking.

  • 18 - Adjustment. The Fee triggers when an adjustment is created.

  • 19 - Retrieval. The Fee triggers when a chargeback retrieval is processed.

  • 20 - Arbitration. The Fee triggers when a chargeback arbitration is processed.

  • 21 - eCheck Sale. The Fee triggers when an eCheck sale is processed.

  • 22 - eCheck Refund. The Fee triggers when an eCheck refund is processed.

  • 23 - eCheck Return. The Fee triggers when an eCheck txn is returned because of a failure while processing.

  • 24 - Settlement. The Fee triggers when a txn is settled.

  • 25 - Misuse. The Fee triggers when a txn authorization is misused.

  • 26 - Profit share. The Fee triggers when a profit share is executed.

  • 27 - Unauth. The Fee triggers when an auth reversal is created.

  • 28 - Disbursement NOC. The Fee triggers on Notice Of Change events for Disbursements.

  • 29 - Transaction NOC. The Fee triggers on Notice Of Change events for Transactions.

  • 30 - eCheck failure return. The Fee triggers when an eCheck txn is returned due to customer rejection or incorrect account information.

  • 31 - eCheck NSF return. The Fee triggers when an eCheck txn is returned due to insufficient funds.

  • 32 - Currency conversion. The Fee triggers when there is a currency converstion on a transaction.

  • 33 - Terminal transaction. The Fee triggers when there is a transaction processed via a terminal.

  • 34 - Reverse payout. The Fee triggers when a payout is reversed.

  • 35 - Partial reverse payout. The Fee triggers when a payout is partially reversed.

  • 36 - Reserve Entry. The Fee triggers when a new Reserve Entry is created.

  • 37 - Reserve Entry Release. The Fee triggers when a Reserve of funds (Reserve Entry) has been released.

  • 38 - Pending Entry. The Fee triggers when a Entry is created but still pending funding.

  • 39 - Pending Paid. The Fee triggers when a Pending Entry has been fully funded and is no longer in Pending status.

  • 40 - Remainder. The Fee triggers when a remainder of less than a whole value (.01) is created,

  • 41 - Remainder Used. The Fee triggers when any remainder leftover is used/paid out in the next applicable withdrawal.

  • 42 - Pending Refund Cancelled. The Fee triggers when a Fee refund is issued, then cancelled before passing the Pending status for funding and withdrawal.

  • 43 - Payment check. The Fee triggers on a payment check.

  • 44 - Payment update. The Fee triggers when a payment is updated.

  • 45 - Payment group check. The Fee triggers on a payment group check.

  • 46 - Payment group update. The Fee triggers on a payment group update.

  • 47 - Entry refund. The Fee triggers when a entry is refunded.

  • 48 - Entity Reserve change - A reserve on an entity has been modified.

  • 49 - Release Hold - A Transaction hold has been released.

  • 50 - Release Entries - Multiple held entries have been released.

  • 51 - Statement Payment - A statement bill was paid.

  • 52 - Merchant Created - A new Merchant entity has been created, but not boarded.

  • 53 - Realtime Business Search - Real-time Business Entity OFAC Search from Bridger by LexisNexis.

  • 54 - Realtime Member Search - Real-time Business Entity Managing Member Personal OFAC Search from Bridger by LexisNexis.

  • 55 - MasterCard MATCH - Merchant History Check from Mastercard Alert To Control High-risk Merchants (MATCH) program.

  • 56 - Business Instant ID - KYB Verification from LexisNexis

  • 57 - Consumer Instance ID - KYC Verification from LexisNexis.

  • 58 - ThreatMetrix - Black List & OFAC Watchlist check from LexisNexis

  • 59 - LegitScript Registration - Merchant Compliance and Risk Rating Checks.

  • 60 - Equifax Consumer Report - Business owner's consumer credit report from Equifax.

  • 61 - CharityCheck - Business entity nonprofit eligibility verification from GuideStar.

  • 62 - Internal Decision V2 - Payrix Risk services decision.

  • 63 - TIN Check - Tax Identification Number matching service for tax identity management from Sovos.

  • 64 - Equifax Commercial Report - Entity's commercial credit report from Equifax.

  • 65 - LegitScript Merchant Check - Merchant Compliance and Risk Rating Checks.

  • 66 - Plaid - Bank account link, info update and verification services.

  • 67 - Statement Reversal - A statement eCheck payment was reversed.

  • 68 - GIACT eCheck Verification - Real-time account status check for consumer and business bank accounts from gVerify by GIACT.

  • 69 - GIACT Account Verification - Real-time Business Entity Owner identity & authorized signer status verification from gAuthenticate by GIACT.

  • 70 - Boarding Decision - Merchant boarding decision made by the platform via risk checks.

  • 71 - Transaction Risk Decision - Transaction decision made by the platform via risk checks.

  • 72 - FANF - Fixed Acquirer Network Fee from Visa for Merchants processing card-present and card-not-present transactions.

  • 73 - MCLocation - Merchant Location Fee from Mastercard for Merchants processing card-present and card-not-present transactions.

  • 74 - VisaIntegrity - Transaction Integrity Fee from Visa

  • 75 - SaferPayments: Basic - PCI DSS Compliance Portal from WorldPay for Referrer and Facilitator Merchant portfolios.

  • 76 - SaferPayments: Managed - PCI DSS Compliance Managed Services from WorldPay for Merchants in Referrer and Facilitator portfolios.

  • 77 - SaferPayments - PCI Non-Validation - PCI DSS Compliance Portal and/or services were provided but the Merchant failed to meet PCI DSS Compliance.

  • 78 - OmniToken - Omni-Channel payment tokenization from WorldPay

  • 79 - Payout Return - A Payout Disbursement was returned when attempted.

  • 80 - Payout Partial Return - A Payout Disbursement was partially returned when attempted.

  • 81 - Revenue Share - A configuration of multiple entities dividing revenue.

  • 82 - Card Settlement. The funds from a card payment captured and authorized in a transaction have been settled.

  • 83 - eCheck Settlement. The funds from an ACH/eCheck payment used in a transaction have been settled.

  • 84 - Revenue Share from Card - Funds have been captured in a Revenue Share configuration from a card payment transaction.

  • 85 - Revenue Share from eCheck - Funds have been captured in a Revenue Share configuration from an ACH / eCheck payment transaction.

  • 86 - Revenue Share Payout - Funds from a Revenue Share capture have been settled and disbursed to the applicable entities.

scheduleFactor

string

Required

A multiplier that you can use to adjust the schedule set in the 'schedule' field, if it is set to a duration-based trigger, such as daily, weekly, monthly, or annually.
This field is specified in basis points and its value determines how the interval is multiplied..

Format: 2.00 = every 2 Days (if days is chosen as the schedule for example).

start

string

Required

The date that the Fee will take effect.

Format: YYYYMMDD

collection

integer

Required

Applies the fee based on the volume of a resource.

Valid Values:

  • 1 - Txn. The total amount of all transactions.

  • 2 - Txn-TaxID. The total amount of all transactions per entity EIN/tax ID.

  • 3 - Txn-Merchant. The total amount of all transactions per entity.

collectionFactor

integer

Required

A multiplier that you can use to adjust the set of data to be used in the collection calculation.
This field is specified in basis points and its value determines the period of time to be used.

Format: 2.00 = 2x multiplier.

collectionOffset

string

Required

The number of days, weeks, months or years to go back when selecting data for collection calculation.

Format: Whole numerical values. Example: 1

um

integer

Required

The unit of measure for this Fee.

Valid Values:

  • 1 - Percentage. The Fee is a percentage of the related event amount, specified in the 'amount' field in basis points.

  • 2 - Fixed Amount. The Fee is a fixed amount, specified in the 'amount' field as an integer in cents.

  • 3 - Surcharge. The Fee is a percentage of the related event amount as a surcharge (the calculated amount will be based on the assumption that the related event amount already contains the fee amount in it), specified in the 'amount' field in basis points.

currency

string

Required

The three-digit symbol for the currency that the Fee will be charged and collected in.

Valid Values:

  • USD

  • CAD

txnFee

integer

Required

Indicator to extract fee from txn supplied fee. When set, amount will correspond to the fee amount in the txn and only that amount will be extractable, anything over that amount will not be extracted.

Valid Values:

  • 0 - Disabled. Fee will be calculated normally.

  • 1 - Enabled. Fee will be calculated based on transaction fee.

inactive

integer

Required

Whether or not this fee is active.

Valid Values:

  • 0 - Active

  • 1 - Inactive

frozen

integer

Required

Whether or not this fee is temporarily frozen.

Valid Values:

  • 0 - Not frozen

  • 1 - Frozen


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 Service Fees - Fees collected for performing a Risk Policy check on an entity at a cost.

  • 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).

Transaction Fees

Transaction Fees allow Referrers to charge their Merchants on a per-transaction basis to generate revenue as a Referrer.


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

POST /feeRules HTTP/1.1 Accept: application/json Content-Type: application/json Host: api-test.payrix.com Content-Length: 352

Additional Resources

For additional Fee-related resources, see the associated articles: