Effective Rate

The effective rate shows the amount of volume a business pays in credit card processing fees to process a given amount. It is shown as a percentage, and is calculated by dividing gross processing fees by gross sales. Learn More

Related Terms

  • Authorizations (Card Processing)

    All transactions must be authorized via terminal, cash register, voice authorization, or automated voice response phone system (IVR).

    Learn More

  • Hosted Tokenization

    Hosted tokenization enables payments inside of software applications to be processed without exposing the actual payment information, such as a credit card number. Learn More

    Learn More