Tiered-Pricing Statement Example

Understanding a tiered-pricing statement is crucial for merchants looking to optimize their payment processing fees. Tiered pricing structures categorize transactions into different tiers—such as qualified, mid-qualified, and non-qualified—each with varying rates. This guide explains how to read a tiered-pricing merchant statement and highlights how Merchant Statement Scanner can help simplify the analysis.

What Is a Tiered-Pricing Statement?

A tiered-pricing statement breaks down your credit card processing fees into multiple tiers based on transaction types and card qualities. Typically, the tiers include qualified rates for standard transactions, mid-qualified for certain rewards or business cards, and non-qualified for transactions that don’t meet specific criteria. This structure can make it challenging to identify exactly how much you’re paying per transaction.

Common Elements of a Tiered-Pricing Statement

• Transaction volume and amounts per tier
• Discount rates applied to each tier
• Per-transaction fees or flat fees
• Monthly statement fees and assessments
• Summary totals for fees and charges

Because tiered pricing can be complex, many merchants find it difficult to spot unnecessary fees or better pricing options. Using a tool like Merchant Statement Scanner can help by automatically analyzing your statement, identifying cost-saving opportunities, and providing clear insights.

How to Analyze Your Tiered-Pricing Statement

Start by reviewing each tier’s volume and rates to understand where most fees are coming from. Look for high non-qualified transactions, as these often carry the highest costs. Compare the discount rates and per-transaction fees against industry averages. If you have a PDF of your statement, Merchant Statement Scanner allows you to upload and scan it directly, simplifying your review process.

Next steps include consulting with your payment processor about your pricing tiers or considering alternative pricing models such as interchange-plus pricing. Regularly analyzing your statements ensures you stay informed and avoid overpaying.

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• Subscription-Pricing Statement Example
• Merchant Statement Terminology Guide