Payments Fundamentals
How payments work, including terminology, interchange, authorization, settlement, gateways and the infrastructure behind every transaction.
Processing Costs & Economics
Understand processing statements, pricing models, interchange, effective rates, fees and the true cost of accepting payments.
Fraud, Risk & Security
Understand PCI compliance, chargebacks, fraud prevention, tokenization, identity and protecting payment data.
Payment Technology
Explore POS systems, gateways, APIs, middleware, mobile payments, SoftPOS, omnichannel commerce and payment orchestration.
Growing Your Business
Checkout experience, operational efficiency, customer experience, choosing scalable payment technology
Integrated & Embedded Payments
Understand integrated payments, embedded payments, ISVs, VARs, middleware, APIs and how software and payments increasingly work together.
Fintech & Emerging Payments
Understand stablecoins, real-time payments, digital wallets, account-to-account payments and emerging payment rails.
AI & Future of Commerce
Explore artificial intelligence, agentic commerce, automation and how technologies are changing transactions.
B2B & Global Payments
Understand cross-border payments, AP/AR, payouts, treasury and commercial payment strategies.
Payments Strategy
Explore provider selection, cost optimization, implementation, technology evaluation and building a smarter payment environment.
KNOW YOUR NUMBERS
Do you Know What You're Really Paying To Accept Payments?
Your processing statement contains valuable information about your business-but understanding all of the rates, fees and terminology isn't always easy.
How To Read a Processing Statement
Start by identifying:
Total Processing Volume
The total dollar amount of card transactions processed during the statement period.
Total Transactions
The number of transactions processed
Total Processing Fees
Look beyond the amount deducted from your bank account. Your statement may include interchange, processor fees, monthly fees, PCI-related charges, authorization fees and other costs.
Your Effective Rate
Divide your total processing fees by your total card-processing volume and multiply by 100. This gives you a useful overall percentage for comparing your processing costs over time.
Additional Fees
Look for monthly, annual, CI, gateway, equipment, statement, batch or other recurring charges.
Processing statements can be complicated by design and format. If you're unsure what you're paying for, Kimeris can help you review your statement and explain it in straightforward terms.
Know what you're paying-and why.
What Is an Effective Processing Rate?
Your advertised processing rate doesn't always tell you what accepting cards actually costs your business.
Your effective processing rate provides a broader view.
A simple way to calculate it is:
Total Processing Fees / Total Processing Volume x 100 = Effective Rate
For example, if your business processes $50,000 in card payments and incurs $1,500 in processing costs:
$1,500 / $50,000 = 3.0%
Your effective rate is approximately 3.0%
Why does this matter?
Because two businesses-or even two processing proposals-can advertise similar rates while producing very different total costs.
Your effective rate gives you a useful starting point for understanding what payment acceptance is actually costing your business.
Don't evaluate payments by one advertised rate. Look at the complete picture.
Interchange vs. Processor Fees
Not every fee on your processing statement goes to your payment processor.
Understanding the difference is important.
Interchange Fees
Interchange fees are generally paid by the merchant's acquiring side to the cardholder's issuing bank and are typically incorporated into what the merchant pays to accept card transactions. Rates can vary based on factors such as card type, transaction method and other characteristics.
Processor Fees
These are fees associated with the payment-processing services provided to your business. Depending on your pricing structure, they may include percentage-based markups, per-transaction charges, monthly fees and other service costs.
Why the distinction matters
When evaluating your processing costs, separating underlying card-acceptance costs from provider-specific charges can give you a much clearer understanding of where your money is going.
That's one reason comparing processors based solely on an advertised percentage can be misleading.
Understanding the components of your pricing is the first step toward making an informed decision.
5 Fees Business Owners Should Understand
Payment processing involves more than a single percentage. Here are five types of costs every business owner should understand:
1. Interchange Fees
Underlying card-acceptance costs associated with processing card transactions.
2. Processor Markup
The amount your payment provider charges for its processing services in addition to underlying costs.
3. Per-Transaction Fees
A fixed amount that may be charged each time a transaction is processed.
4. Monthly & Technology Fees
Depending on your provider and setup, these can include account, gateway, software, equipment or other recurring service fees.
5. PCI-Related Fees
Some providers charge fees associated with PCI compliance programs or non-compliance. Understanding what the fee covers-and what is required of your business-is important.
No single fee tells the whole story.
The better question is:
"What is my total cost to accept payments, and what am I receiving for that cost?"
Kimeris helps businesses understand that complete picture.
5. When Should You Renegotiate Your Processing?
Your payment-processing arrangement shouldn't simply be something you set up once and never review again.
As your business changes, your payment needs and processing profile can change too.
Consider reviewing your processing when:
Your processing volume has increased significantly.
your business today may look very different from when your original pricing was established.
Your fees have increased.
If your total costs are climbing, understand what changed and why.
You've added new ways to accept payments.
E-commerce, mobile, contactless and other payment channels can change your technology and processing requirements.
Your current technology no longer fits your business.
Outdated equipment or software can create unnecessary operational limitations.
You're unhappy with your service or support.
Price matters, but responsiveness, reliability and access to knowledgeable support matter too.
You haven't reviewed your processing in a long time.
Even if you're satisfied with your provider, periodic reviews can help ensure your payment solution continues to align with your business.
A processing review isn't necessarily about changing providers.
sometimes the best outcome is simply understanding what you have and confirming that it still makes sense.
That's the Kimeris consultative approach: understand first, recommend second.
Kimeris Perspective
Payment Knowledge That Helps You Make Better Decisions
Understanding your processing costs is only part of the picture. Kimeris helps businesses evaluate payment technology, processing costs, security and strategy so they can make informed decisions about how they accept payments.