What are acquirer fees in payment processing?

Acquirer fees are the charges that a merchant pays to the acquiring bank or payment service provider for processing card transactions. These fees often include markups on top of interchange, scheme, and gateway fees, and they can vary by provider, region, and payment method.

Why do acquirer fees vary so much between transactions?

Several factors influence acquirer fees, including the card type used, whether the transaction is domestic or cross-border, the payment method selected, and the level of risk or fraud associated with the transaction. Fees also differ by provider and pricing model.

How can payment orchestration help reduce acquirer fees?

Orchestration platforms like Gr4vy give merchants the ability to route payments based on real-time cost and performance data. This allows businesses to prioritize lower-cost acquirers, avoid unnecessary FX fees, retry failed transactions, and access local providers without maintaining multiple integrations.