Zero Fee payment processing is a payment processing model in which the merchant passes on the cost of the transaction to the customer, rather than absorbing the fees themselves. In this model, the merchant typically advertises prices that include the processing fee, and then offers a discount to customers who pay with cash or a debit card. This means that customers who pay with a credit card would pay slightly more to cover the cost of the processing fee, while those who pay with cash or debit would pay the advertised price minus the processing fee.

Cash Discount processing is a similar payment processing model in which the merchant offers a discount to customers who pay with cash, check, or debit card, while charging a higher price to those who pay with a credit card. The difference is that in Cash Discount processing, the merchant sets the advertised price to be higher to cover the processing fee, and then offers a discount to those who pay with cash or debit.

Both Zero Fee and Cash Discount processing are legal and have been growing in popularity among merchants, particularly in small businesses. However, merchants must be careful to comply with card network rules and regulations, and to ensure that their pricing practices are transparent and clear to customers. It is important for merchants to understand the potential impact on their revenue and customer relationships before implementing either model. Thas is where MRI Payment Solutions comes in. We help you navigate these waters.