International Monthly Minimum Fee FAQ
Availability: Austria, Belgium, Denmark, Finland, Germany, Ireland, Italy, Lithuania, Luxembourg, Netherlands, Portugal, Spain, Sweden, United Kingdom
What is the Monthly Minimum Fee (MMF)?
The Monthly Minimum Fee is the minimum amount a merchant must pay in processing fees each month. If their processing fees fall below this amount, they will be billed the difference.
How much is the Monthly Minimum Fee?
The Monthly Minimum Fee is set at:
- £25 for GBP accounts
- €25 for EUR accounts (Or an equivalent amount for other supported currencies)
Note: The amount is not based on a daily FX conversion but on the predefined currency equivalents.
How will the fee appear to merchants?
The charge will be displayed as Monthly Minimum Fee (MMF).
Additional validation is still underway to determine exactly how the fee will appear across statements, Customer Hub, and reporting tools.
When will the Monthly Minimum Fee be charged?
The fee will be calculated after month-end. The intention is to post the adjustment within the first few days of the following month, subject to operational processing volumes.
How is the fee calculated?
The fee is calculated based on the difference between the processing fees generated minus the minimum threshold.
Example:
- Monthly processing fees generated: €10
- Minimum threshold: €25
- MMF charged: €15
If a merchant generates €25 or more in eligible processing fees, no MMF is charged.
Is the calculation based on merchant sales volume?
No. The Monthly Minimum Fee is based on the processing fees generated by the merchant and not on the merchant's sales turnover or transaction volume.
Which processing fees are included in the calculation?
The calculation includes following transaction-related processing fees for Visa, Mastercard, Amex, Girocard, and Local Payment Methods (LPMs):
- Authorization Fees
- Decline Fees
- Purchase, Refund and CFT per-transaction fees
- Purchase, Refund and CFT Discount Rates
- Interchange and Card Scheme Fees (IC++ merchants only)
Which processing fees are excluded from the calculation?
The following fees are not included:
- Chargebacks
- Pass-through scheme fees
- Registration fees
- Integrity fees
- Monthly base fees
- Device fees
- Gateway-only services that do not generate acquiring revenue
- Value added services fees (Gift Cards/ Delivery Management)
Is the Monthly Minimum Fee charged per terminal?
No. The Monthly Minimum Fee is charged once per merchant account (CEID), regardless of how many terminals or locations are linked to that account.
Is there a grace period for new merchants?
Yes. All new merchants receive a 90-day ramp-up period. During this period, the Monthly Minimum Fee will not be charged.
After the grace period ends, the Monthly Minimum Fee may become applicable from the following billing cycle.
How will seasonal businesses be handled?
Currently, there are no plans for an automated pause or suspension of the Monthly Minimum Fee for seasonal merchants. Exception handling or refund processes may be considered where appropriate.
How are multi-location merchants handled?
Calculations for multiple locations under the same merchant account are aggregated together. Only one Monthly Minimum Fee assessment is performed per account.
What happens if a merchant meets the threshold?
If the merchant generates eligible processing fees equal to or greater than the minimum threshold, no Monthly Minimum Fee will be charged.
Do partners receive commission on the MMF?
No. Partners receive commission only on the actual processing revenue generated by the merchant. Any amount charged as a Monthly Minimum Fee is not commissionable.