Rules for Processing Credit Cards

Merchants processing credit cards must adhere to certain basic rules for accepting payments, including the ones listed below:

• Taxes. All applicable taxes need to be added to the transaction amount and must never be taken separately in the form of cash.
• Accepting cards. Take all valid bank cards of the brands stated in your agreement for processing credit cards.
• Maximum and minimum payment amount. Verify with your acquiring bank on what is the lower transaction amount that you are allowed to charge. U.S. merchants can establish a minimum payment amount on credit card transactions that should never exceed $10, should not treat various card issuers or brands differently, and shouldn't be applied to sales paid for with a debit card.
• No surcharging. Treat bank card transactions always like any other method of payment. Merchants processing credit cards should not assess any surcharge to a card payment.
• Unallowed uses. Merchants should never use a card to refinance any form of existing debts or for the payment of a debt that is deemed uncollectible (in other words, to recover money for a bounced check).
• Convenience charges. For merchants who offer an alternate payment acceptance method (such as phone, mail, or e-commerce) for customers to pay for products or services, a convenience fee may be added to the transaction amount. If the merchant chooses to asses a convenience fee to their customers, it must comply with applicable Visa and MasterCard rules regulating convenience fees.
• Laundering when processing credit cards. Merchants must only settle payments for their own businesses. Doing it for another merchant is known as laundering and is not permitted.
• Zero-percent tip. For restaurants, taxis, limousines, bars, beauty shop, and health payments with a bank card, the user should request authorization only for the check's amount, without including an estimated tip. Consumers can nowadays check their payment accounts in real time by phone, online, or at an ATM. An authorization request that includes an estimated tip can reduce a customer's available funds or credit line by an amount the consumer may not recognize. This can occur if a consumer leaves a tip in cash or adds one that is less than the estimated amount used for authorization purposes. For example, a restaurant sends an authorization request for a calculated tip of 20 percent of the check amount, however the customer actually leaves only 10 percent instead. Additionally, keep in mind that your restaurant authorization approvals are good for amounts of up to 20 percent on top of the check amount.