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Nine Ways to Reduce Card Processing Costs Without Losing Sales

Practical levers that cut merchant fees — from routing and terminal contracts to surcharging rules and settlement timing.

21 July 2026 7 min read

Review the contract you actually have

Most merchants have never re-read their merchant services agreement. Rates drift upward through annual adjustments, and terminal rental often continues on contracts that ended years ago.

  • Request a full fee schedule including all ancillary charges
  • Check terminal rental end dates and auto-renewal terms
  • Challenge PCI non-compliance fees — they are avoidable by completing the SAQ
  • Consolidate multiple providers onto one agreement for volume pricing

Operational changes that move the needle

Encouraging contactless for low-value sales reduces authorisation time and, in some pricing models, cost. Making sure staff never key in card details manually avoids the far higher card-not-present rate.

Surcharging and minimum spends

Surcharging consumer debit and credit cards is banned in the UK. A minimum card spend is legal but risks losing sales. Adjusting pricing is usually the better route to protecting margin on small transactions.

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