Saturday, April 28, 2012

Visa FANF Fee



Starting April 1, 2012, Visa® implemented a new Fixed Acquirer Fee (FANF), a monthly per location  and/or volume based fee charged to each merchant.

What does FANF mean to the average business?  They have to pay an additional fee paid for each transaction.  Depending on the volume, it could be thousands of dollars in extra fees paid to Visa .

What does FANF mean for the consumer?  Higher prices :(

There is something that you can do.  Setup a Paypal account and only purchase from online merchants that accept Paypal.  Most do.  In fact, I was in Home Depot today and they even accepted Paypal at the self checkout.  Using payal is also a lot more secure for consumers, because you never give the credit card number to the online merchant - so it is a lot safer for you when shopping online.  

Michael Ginsberg
President, 3Gstore.com