Why Businesses Are Surcharging Credit Cards

Credit card processing fees eat into margins, typically 2-3% on every transaction. For years, merchants had no choice but to absorb those costs. That changed in 2013 when a landmark legal settlement gave businesses the right to pass credit card fees back to customers through surcharging.

Today, more businesses are implementing surcharge programs to recover some or all of their processing costs. When done correctly, surcharging can add thousands of dollars back to your bottom line each year without raising prices across the board.

The Compliance Requirements You Can’t Ignore

Surcharging isn’t as simple as adding a fee at checkout. Visa and Mastercard have strict rules, and violating them can result in fines or losing your ability to accept cards altogether.

Here’s what compliance actually requires: You must notify the card networks at least 30 days before you start surcharging. You need signage posted at your entrance and point of sale. The surcharge has to appear as a separate line item on receipts. You can’t surcharge debit cards, ever. And you can’t charge more than your actual processing cost or 3%, whichever is lower. Some states prohibit surcharging entirely.

It’s a lot to keep track of, which is exactly why we built this kit.

What’s Inside the Compliance Package

This free download includes four ready-to-use resources:

Surcharge Email Templates: Four customizable emails to notify customers about your surcharge program, including an initial announcement, invoice reminder, FAQ email, and a version specifically for B2B accounts.

Physical Notice Templates: Print-ready signage for your entrance, register, and countertops, plus compliant language for receipts, invoices, and your website checkout page.

Surcharge Calculator Spreadsheet: Calculates your maximum allowable surcharge, projects monthly and annual revenue impact, and includes a state-by-state regulation reference.

Card Network Notification Letters: The exact letters you need to send to Visa, Mastercard, and your payment processor, with a submission checklist so nothing slips through the cracks.

Get It Right the First Time

Implementing a surcharge program without the right documentation puts your business at risk. Non-compliance can mean fines from card networks, customer disputes, or even termination of your merchant account.

This kit gives you everything you need to launch correctly, written by payment processing experts who help businesses navigate surcharging every day. Download it, fill in your details, and start recovering your credit card processing fees with confidence.