Rova Payments is Not Passing on Fees Following MasterCard and Visa Announcement

Rova Payments is Not Passing on Fees Following MasterCard and Visa Announcement

Despite the state of the economy and the impact of Covid on small businesses, Mastercard and Visa and the big credit card issuing banks announced they were planning the largest increase ever in interchange this Spring. 

The increase was specifically targeted to affect businesses specializing in eCommerce, take-out, delivery, or any transaction where a credit card is not physically present. This sounds like every business that saw growth during the pandemic, doesn’t it?

Well, there’s good news, sort of. Visa and Mastercard announced in March that they would delay these increases until April 2022.  

So, what do we mean by sort of? Many or most processers had already incorporated these increases into their March statements and announced that they were unable to reverse them in time. The fact is they’ve chosen to keep them going forward in an effort to increase their own profitability.

Take a look at look at your March statement and see if there is a notice about fee increases that will take effect in April. Then take a look at your April statement and see if it’s been retracted. If it’s not retracted and your rates have gone up, you’ll know that your processer kept the increase in place, even though their costs did not go up.

Rova Payments has not increased their rates and will not pass these fees on to our customers until or unless Visa and Mastercard actually increase their costs. Although we are forced to pass on hard costs when increases happen, we never raise your rates just to increase our profits. It’s part of our contract and brand promise. 

Contributing Editor, Robert Montgomery, Rova Payments