Sertifi Credit Card Surcharging Terms & Conditions
Version 08/19/2024
Sertifi’s surcharging solution allows its customers (“Merchants”) to add a surcharge amount to credit card payments to cover the cost of certain processing fees. Merchants who choose to enable surcharging will send payment requests to their clients or payers for the amount owed. Sertifi will calculate and add the surcharge amount based on predetermined percentages, typically 3% for Visa, Mastercard and Discover cards and 3.5% for American Express. Specific surcharge amounts will be set based on card brand rules (the “Card Brand Rules”) and applicable law.
Sertifi’s solution will alert the payer that surcharging is in effect and the estimated amounts to be applied. Payers who agree to pay the surcharge amount will enter card credentials and submit the payment. Sertifi will send the card details to the payment processor to determine the card type. Sertifi will then present the total surcharge amount to the cardholder including the rate based on the card brand (debit cards will be exempt from surcharging as required by the Card Brand Rules), and any cross-border or currency conversion fees. The cardholder will be asked to confirm the transaction or opt out and choose another form of payment. Payers who would like to avoid paying a surcharge may use SertifiPay ACH to make their payment.
For payments that have a surcharge added, Sertifi will collect the amount requested plus the surcharge amount. Sertifi will deposit the original amount requested, minus the surcharge, in the Merchant’s designated payout account. In cases where the Card Brand Rules or local law precludes surcharging, the Merchant chooses to surcharge at a rate lower than the Surcharge Rate (as defined below in Pricing), or the rate is capped at an amount below the Surcharge Rate, the remaining processing fees owed will be deducted from the payout amount to cover the difference between the Surcharge Rate and the Reduced Surcharge Rate (as defined below in Pricing).
The tools are designed to help comply with the Card Brand Rules governing surcharge disclosures, surcharge amounts, and exemption of certain card products (i.e. debit cards). Sertifi will assist with registration requirements through our acquirer for Visa registration and a link is provided below for registering with Mastercard.
https://www.mastercard.us/en-us/surcharge-disclosure-webform.html
It is the Merchant’s responsibility to be aware of and comply with any card brand, federal, state and local regulations regarding surcharging. Sertifi cannot warrant or guarantee that the Sertifi surcharging solution will comply with every regulation at every level and Merchants use the solution at their own risk.
- ACH Option: Where available, Sertifi provides SertifiPay ACH for clients who do not want to pay by credit card. If ACH is unavailable, Merchants must use the Merchant Details section of the interface or send a reference document to provide wire or other payment instructions. The ACH option must be provided to clients or payers without a surcharge.
- Debit Cards: The Card Brand Rules prohibit surcharging on debit cards (regulated or unregulated). If a client elects to pay with a debit card, Merchant will be responsible for all processing fees at the standard Surcharge Rate.
- Cross-Border and Foreign Exchange Fees: Generally, cross-border fees will be added to the surcharge amount. In cases where this is precluded, Merchants will be responsible for paying these fees at the standard Surcharge Rate.
- State Law: It is the Merchant’s responsibility to be aware of state regulations that may prohibit or otherwise limit surcharging. The surcharging regulations, if any, of the state or jurisdiction where the Merchant will provide the services will be applied.
Merchants are advised to conduct their own analysis of state laws and regulations related to credit card surcharging and determine the applicability of the Card Brand Rules. Some resources regarding the Card Brand Rules are set forth below:
Visa: Links subject to change.
MasterCard: Links subject to change.
https://www.mastercard.us/en-us/business/overview/support/merchant-surcharge-rules.html
American Express: Rules and regulations only available behind merchant login.
Discover: Rules and regulations only available behind merchant login.
Pricing
- SertifiPay Surcharge Rates (“Surcharge Rates”) in the United States will be set to 3% for bank cards (Visa, MC, Disc., etc.) and 3.5% for American Express, unless precluded by governmental or other regulation.
- Sertifi will collect and retain the Surcharge Rate and use it to pay processing fees incurred including, but not limited to, interchange fees, card brand assessment fees, processor fees and Sertifi costs.
- Higher surcharge rates must be approved and agreed upon by Sertifi.
- If Merchant wishes to charge a Reduced Surcharge Rate (“Reduced Surcharge Rate”) lower than the agreed upon Surcharge Rates set forth in section 1 above under Pricing, Sertifi will charge the difference to Merchant.
- For any transactions where surcharging may not be applied, such as for debit cards or governmental payers who may be exempt from surcharging, Sertifi will assess the Surcharge Rates as a processing fee to the Merchant.
- For ACH transactions, Sertifi will assess the Merchant the ACH fees per the Sertifi Order Form.
- Sertifi will work with our international clients to establish appropriate Surcharge Rates for the country or region. Should the Merchant wish to charge a Reduced Surcharge rate the same rules will apply as in the United States.