There are two types of credit card processing fees:
- Payment processor fees.
For Stripe these range from $0.30 + 2.9% per transaction in North America. However, Stripe has some discounts for 501(c)3 organizations, and if you qualify for these it would reduce this portion of the fees. See Does Stripe offer a fee discount for non-profit organizations? for more details.
- Auctria processing fee.
These range from 0.2% to 0.5% depending on your Auctria license level.
This means, in total, credit card processing fees when using Stripe (excluding any possible non-profit discounts from the processor) are:
- $0.30 + 3.1% per transaction (Lite, Bronze, and Silver subscriptions);
- $0.30 + 3.2% per transaction (Gold subscription); or,
- $0.30 + 3.4% per transaction (Platinum subscription).
Fee deductions will automatically be taken prior to the Stripe deposit into your bank account. You can review the corresponding fee levels for each credit card transaction in the Details section accessible from the Credit Card Reports.
Credit Card Fees Handling
The default credit card fees handling mode is set to Normal, which means the organization will absorb external credit card processing fees and not pass these fees onto the purchaser. If a bidder owes $100, they are charged $100 and you will receive a deposit of less than $100 ($100 minus the processing fee which will be taken out when the funds are deposited into your auction bank account).
You can change the fee handling mode to Surcharge, which will pass the processing fees on to bidders and show processing fees in the overall bid as a surcharge. See Credit Card Settings.
Adding credit card fees
When the credit card fees handling mode is set to normal you will see a button to add in credit card fees on a per-charge basis in the payment forms.
There is an option on the Credit Cards page that can be used to control whether these buttons are shown and also whether bidders are given the option of covering credit card costs online.
If the option is turned on to give bidders the option to pay the fees, they will see a similar button on the online payment pages.
Surcharge Fees example
Assuming you have a Silver license with a 0.5% Auctria fee and the bidder owes $100.00.
- In Surcharge mode, an extra $3.81 is added to the charge and the bidder will see $103.81 on their statement. The surcharge of $3.81 is slightly higher than the original fees of $3.70 in order to cover the extra fees charged on the surcharge.
- $103.81 - $0.30 - ($100 x 3.4%) - ($3.81 x 2.9%) = $103.81 - $0.30 - $3.40 - $0.11 = $100.00
So, by charging the bidder $103.81 you will receive a deposit of $100.00.
The reason for the 3.4% charge on the first $100 vs the 2.9% charge on the next $3.81 is we do not charge our fees on the extra surcharge portion (but have no control over the processor's fees).
Configuring Credit Card Fees
By default Auctria will assume you are paying $0.30 + 2.9% to your credit card payment processor and will calculate the surcharge based on that amount.
If your organization qualifies for a discount from Stripe, you may pay a reduced rate. In this case, you can configure Auctria with a custom amount. Click on Credit Cards from the main Auction Dashboard menu and modify the values in the Surcharge Settings section.
You can configure the fee as a Fixed cost + Percentage cost calculation (only a single value can be defined for each). If you pay tiered rates, or different rates for different card types, we cannot cover those situations precisely and you would need to choose representative cost values for the calculation. For example:
If the surcharge settings are configured above what you pay, then your bidders will be charged too much for the surcharge, but that extra amount will be included in your deposit (we don't benefit from it).
If you issue a Credit Card Refund via the refund link from the bidder ACTIVITY tab, all what happens with the fees associated with that charge will depend on when you opened your account.
- The Auctria fees are always refunded.
- If your Stripe account was opened before September 14, 2017, the Stripe fees are also refunded so there is no net cost.
- Stripe accounts opened after September 14, 2017 do not have the Stripe fees refunded when a charge is refunded.
- If you are using Authorize.Net, contact your merchant account provider to see what their policy is.