Interchange Fee
What Is an Interchange Fee? Definition for Tour Operators
An interchange fee is the fee paid to the cardholder’s bank on every credit or debit card transaction, and it makes up the largest share of card processing costs.
Interchange rates are set by the card networks and vary by card type, transaction type, and whether the card is present. A rewards credit card typed in online usually costs more than a debit card tapped at a terminal. Processors add their own markup and fees on top of interchange.
Why it matters for operators
Understanding interchange helps you compare processing quotes. Flat-rate pricing bundles interchange into one number, while interchange-plus pricing shows it separately so you can see the processor’s markup.
Related terms
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