Loading
Payment gateway costs: compare fees and cash you can actually use
TrustFinance Research Team
Oct 09, 2026
3 min read
6
A payment gateway with the lowest advertised percentage may not have the lowest total cost for your store. Compare the same sales basket, identify which fees survive a refund, and calculate spendable cash separately from permanent costs. A reserve can reduce cash available today without automatically becoming an expense.
Start with your order mix
Write down expected monthly sales, number of successful payments, average order size, currencies and refund volume. A fixed charge matters more for small orders: the percentage alone hides that effect. Ask whether cross-border cards, conversion, subscriptions, payout requests or account maintenance create additional charges. Separate optional products from the basic payment service. Do not treat a country-specific price page as a quote for every business.
A hypothetical calculation
Assume 100 successful payments of 100 currency units each, a 2% processing rate and a fixed charge of 1 per payment. Assume 5 orders are fully refunded, original processing fees are retained, and the provider holds 10% of gross sales in reserve. There is no additional refund fee, tax, currency conversion or dispute in this simplified example. These figures are invented for explanation, not any provider's tariff.
In this model, refunds are paid from unrestricted funds and the reserve remains 1,000. If a refund is funded from the reserve, reconcile the remaining hold instead of deducting the same amount twice.
| Item | Calculation | Units |
|---|---|---|
| Gross sales | 100 × 100 | 10,000 |
| Percentage fees | 10,000 × 2% | 200 |
| Fixed charges | 100 × 1 | 100 |
| Customer refunds | 5 × 100 | 500 |
| Reserve held | 10,000 × 10% | 1,000 |
| Cash available before other adjustments | 10,000 − 200 − 100 − 500 − 1,000 | 8,200 |
Processing cost is 300, or 3% of gross sales. Relative to 9,500 of sales remaining after refunds, it is approximately 3.16%. The 500 refund reverses sales and is not a separate gateway fee. The 1,000 reserve is unavailable cash; it is not automatically a permanent cost. Its eventual release depends on the contract and any deductions.
Questions for a written quotation
- Which payment methods and countries does the price cover?
- Is the fixed fee charged on attempts, successful payments or both?
- Which original fees are returned after a refund?
- How is the reserve base calculated, and when is each hold released?
- Can refund or dispute liabilities be deducted from reserves?
- What are termination, data export and reconciliation costs?
Repeat the model with your own low, normal and high refund scenarios. Compare both fee totals and the amount you can use to pay suppliers. Keep the provider's answers beside your calculation so a later change in terms is visible.
Frequently asked questions
Is a lower percentage always cheaper?
No. More fixed charges or a different order mix can reverse the comparison. Calculate the entire basket.
Should I add the reserve to processing fees?
Track it separately as a cash restriction. Ask an accountant how your specific agreement should be recorded, especially if amounts are later deducted.
Before acting
This guide explains a decision process, not a recommendation of a provider or an investment. Products, fees, eligibility, tax treatment and consumer protections differ by country and can change. Confirm the current contract and official documentation that apply to your own account. Keep dated copies of the terms and written responses. Reviews can help you identify questions, but a positive review does not establish solvency, security or suitability. Never share passwords, private keys or recovery phrases when seeking help.
Sources
Settlement, refunds and chargebacks: three different cash-flow events
Written by
TrustFinance Research Team
Official TrustFinance research and editorial team, sharing insights, analysis, and best practices to help financial companies and traders build transparency, credibility, and growth.
