A card issuer is the third, usually a bank that has lent to consumers. If you use your card, the issuer will pay for the transaction. It will be refunded once you have paid what you have calculated. OptBlue allows a processor to perform the processing volume of American Express with the volume of Visa, Mastercard and Discover. Instead of getting a separate, late deposit for American Express transactions, all credit card sales are sent as a single deposit within the time needed to settle Visa and Mastercard volumes. This means that American Express volume goes through OptBlue about one to four days faster than for a traditional American Express reseller account. It wouldn`t be fair to compare American Express vs Visa without mentioning customer service. This is one of the great advantages of American Express cards. In the past, high discount rates and billing delays have led many companies to carefully reduce the costs and benefits of accepting American Express credit cards. In fact, we help a lot of companies here at CardFellow who decide not to accept American Express, citing costs. OptBlue has the potential to keep the Amex cost low, but it usually costs more than Visa or Mastercard transactions. In addition, processing rate structures differ from other networks because the type of card has no influence on the processing rate. With Visa and Mastercard, premiums or commercial cards cost more than regular debit or credit cards.

Not with Amex. However, sectors and dealer categories play a critical role, and the popularity of the Amex brand in some of these more expensive sectors also leads to increased fees for merchants. American Express and Visa cards serve the same fundamental purpose. You can make a purchase with both types of cards. But they are not quite the same. Understanding how they differ could help you choose between the two. This is comparable to how Visa and Mastercard work. There are basic rates (Interchange, Visa and Mastercard rates) and the processor adds its mark-up to these rates.

The base rates are the same for each processor — and non-negotiable — and the marker is the only component that varies. We don`t set the fees, the processors do. You can fill out a short form to see the prices and fees you would pay with different processors by going here: www.cardfellow.com/sign-up. Before we dive into the peculiarities of American Express card processing, it`s good to understand some of the basics of payment processing. If you`re not familiar at all, I suggest you take a few minutes and read these helpful payment instructions: An American Express card is very different from other payment cards used by consumers…