Worked example
How a quote works, step by step.
An example restaurant, three months of statements, and the same activity repriced with an example program. Every number here is made up to show the method; your quote uses your own statements.
Example only. Not a real merchant, and not an offer of these rates.
Step 1
Your activity, read from your statements
First we measure what you actually do each month: how much, how often, on which cards, and what interchange cost you. Pricing comes after.
| From the statement | July | August | September |
|---|---|---|---|
| Card sales | $58,420 | $61,880 | $57,310 |
| Number of sales | 1,402 | 1,488 | 1,371 |
| Average sale | $41.67 | $41.59 | $41.80 |
| Visa, Mastercard, Discover | $50,950 · 1,190 sales | $54,010 · 1,262 sales | $49,920 · 1,165 sales |
| American Express | $4,180 · 72 sales | $4,520 · 78 sales | $4,060 · 70 sales |
| PIN debit | $3,290 · 140 sales | $3,350 · 148 sales | $3,330 · 136 sales |
| Authorizations | 1,430 | 1,515 | 1,398 |
| Batches | 31 | 31 | 30 |
| Interchange & card-brand fees | $1,061.40 | $1,124.65 | $1,040.20 |
| Total fees today | $1,869.96 | $1,977.67 | $1,829.70 |
| Effective rate today | 3.20% | 3.20% | 3.19% |
Step 2
The rates: today's, and an example program
These are the fields of a Mojo Payments quote. Most volume here is Visa, Mastercard and Discover in small tickets, so that markup and the per-authorization fee get the lowest prices. Interchange isn't on this list: it passes through at cost.
| Quote field | Today | Example program | Charged |
|---|---|---|---|
| Visa / Mastercard / Discover markup | 0.69% | 0.25% | of Visa, Mastercard and Discover sales |
| Amex markup | 0.75% | 0.30% | of Amex sales |
| Transaction & authorization fee | $0.15 | $0.08 | per authorization |
| PIN debit fee | $0.45 | $0.15 | per PIN debit sale |
| Batch fee | $0.25 | $0.10 | per batch (end of day) |
| Monthly service | $24.90 | $10.00 | a month |
| Payment gateway | $0 | $0 | a month |
| PCI compliance | $19.95 | $0 | a month |
| Annual fee | $99.00 | $0 | a year |
| Equipment rental | $39.00 | $15.00 | a month |
| Non-qualified surcharges | Varies by month | None | Cost-plus has no tiers to fall out of |
Step 3
One month, line by line: August
The same activity, priced twice. Each Mojo Payments amount shows how it was worked out, so you can check it with a calculator.
| Line | Today | Example program | How it's worked out |
|---|---|---|---|
| Visa / Mastercard / Discover markup | $372.67 | $135.03 | 0.25% × $54,010 |
| Amex markup | $33.90 | $13.56 | 0.30% × $4,520 |
| Transaction & authorization fees | $227.25 | $121.20 | $0.08 × 1,515 authorizations |
| PIN debit fees | $66.60 | $22.20 | $0.15 × 148 PIN debit sales |
| Batch fees | $7.75 | $3.10 | $0.10 × 31 batches |
| Monthly fees | $24.90 | $10.00 | Now: statement fee $14.95 + regulatory fee $9.95 |
| PCI compliance | $19.95 | $0.00 | Not charged in this program |
| Annual fee (a month's share) | $8.25 | $0.00 | $99 a year now, $0 in this program, ÷ 12 |
| Equipment rental | $39.00 | $15.00 | Terminal rental at a lower monthly rate |
| Non-qualified surcharges | $52.75 | $0.00 | None with interchange-plus |
| Interchange & card-brand fees | $1,124.65 | $1,124.65 | Passed through at cost: the same on both sides |
| Total | $1,977.67 | $1,444.74 | Saves $532.93 (26.95% of the bill). Effective rate 3.20% → 2.33% |
Step 4
Every month, repriced
Interchange is the same height on both sides. Everything above it is where the program works.
Three months, same activity
$5,677$4,147
$1,530 less, or 26.96% of the bill. About $6,121 a year at this pace. Effective rate 3.20% → 2.33%.
Where the reduction comes from
Step 5
Then the tools lower the cost itself
This example only reprices the same activity, so interchange stays put. In a real program the tools work on that bottom gray bar too: a PIN debit prompt moves debit off credit interchange, Level 3 data lowers business-card interchange, and tapping instead of keying avoids card-not-present rates. Those savings come on top, and your quote shows them separately.
Your quote
Your numbers, the same way.
Apply online and upload your statements. Your quote follows these steps with your own activity, every line shown next to what you pay today.