Merchant Account Fees: Monthly Minimum Fee

A monthly minimum fee is not an extra fee but rather a minimum amount that the processor or merchant account provider needs to have in fees. As long as your credit card fees meet or exceed this minimum, you are not charged any extra fees. However, if your monthly fees are less than this minimum, then you are charged the difference up to the minimum. For example, if you have $20 in fees in a given month, and your account has a $25 monthly minimum on it, you will be charged an additional $5 to meet the monthly minimum. A monthly minimum is a reasonable fee, although sometimes you can get it reduced somewhat if you expect your monthly volume to be low.

Other Merchant Account Fees Explained:

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