Pay Advantage Fees Explained

Pay Advantage offers a range of payment methods, each with its own processing fees.

This article explains the different fees you may encounter, how they're calculated, and where you can view a breakdown of the fees applicable to your account.

How Do I See What I'm Paying?

You can view a full breakdown of your current rate plan and applicable fees directly within your Pay Advantage account.

To do this:

1. Log in to your Pay Advantage account.

2. Navigate to Account > Subscription Plan.

3. Review your rate plan, including transaction fees and any applicable monthly account charges.

All transaction fees displayed in your rate plan are inclusive of GST.

Your rates may vary depending on your rate plan, payment methods and any individually agreed pricing arrangements.

What Is an MSF?

MSF stands for Merchant Service Fee.

This is the percentage-based processing fee charged when a customer makes a payment using a credit or debit card.

For example, if your domestic card processing rate is 1.45% + $0.28, the fees are calculated as follows:

In this example, the total processing fee would be $1.73.

The MSF only refers to the percentage-based component of the card processing fee.

Bank account Direct Debits and PayID payments do not have an MSF, as these payment methods are generally charged a fixed transaction fee instead.

What Is a Transaction Fee?

A transaction fee is the processing fee charged when a payment is made through Pay Advantage.

The amount depends on the payment method used and your applicable rate plan.

Different payment methods have different fee structures:

• Credit and debit cards: Generally include a percentage-based Merchant Service Fee (MSF) plus a fixed transaction fee.

• Bank account Direct Debit: Generally charged at a fixed amount per transaction.

• PayID: Generally charged at a fixed amount per transaction.

• PayTo: Charged according to the PayTo rates applicable to your account.

• BPAY: Generally charged at a fixed amount per transaction.

You can view the exact rates applicable to each payment method under Account > Subscription Plan.

What Is a Minimum Monthly Spend?

Some Pay Advantage rate plans include a minimum monthly spend requirement.

This is the minimum amount your business is required to spend on eligible Pay Advantage fees each month.

If your eligible fees for the month are below the required minimum, the difference may be charged to your account.

For example, if your minimum monthly spend is $49:

If your eligible fees meet or exceed the minimum monthly spend, no additional minimum spend adjustment is required.

Your applicable minimum monthly spend can be viewed under Account > Subscription Plan.

What Is a Dishonour Fee?

A dishonour fee may apply when a bank account Direct Debit is unsuccessful.

This can happen for several reasons, including:

• Insufficient funds in the customer's bank account

• Incorrect or invalid bank account details

• A payment stop or restriction placed by the customer's bank

• The bank account being closed

The applicable dishonour fee will depend on your rate plan.

You can view this fee under Account > Subscription Plan.

Who Pays the Transaction Fees?

By default, transaction fees are charged to your business and deducted from your settlements.

However, depending on the payment method, you may have the option to pass eligible processing fees on to your customers.

Card Payments

Card processing fees cannot be on-charged to customers under the current Australian card surcharging requirements.

This means your business is responsible for absorbing the applicable card processing fees.

Bank Account Direct Debit, PayID and PayTo

You can choose to on-charge eligible processing fees for these payment methods to your customers.

To review your settings, navigate to:

Settings > Payment Settings > On-Charge Fees

Related articles

• Payment Methods and Fee Settings

• Dishonours & Fee Settings

• Viewing Your Transaction Fee Summary

• Why Is the Amount Settled Less Than the Amount My Customer Paid?