However, the small business group noted that not all processors were clear that they’d pass on the savings, pointing to Stripe, for instance, where not all customers will see a change.
Kelly said Stripe’s decision means the corporate will keep the savings intended for small business customers.
“It is extremely disappointing to see a large company taking this approach,” he said.
Stripe said customers will profit from fee reductions under the Interchange Plus plan, where costs vary depending on transaction type, similar to other network costs and fee changes.
However, nothing will change for those on the flat rate plan, as the corporate says other costs and costs have increased, which add up beyond the reduction in interchange fees.
Other processors resembling Moneris have stated that qualified corporations will see a decline in each the Interchange Plus and Flat Rate models.
The government expects processors to pass on the savings
Treasury spokeswoman Marie-France Faucher said the fee cut is anticipated to profit about 90% of companies that accept bank cards, and the ministry expects businesses to pass on the savings.
“The federal government is closely monitoring the implementation of the reduction in credit card fees and strongly expects that all payment processors like Stripe will pass on the savings to small businesses.”
