Cheapest credit card processing
The cheapest credit card processing for small business depends mostly on your monthly card volume.
Below a few thousand dollars a month, a simple flat rate is often hard to beat. As volume grows, interchange-plus pricing usually costs less. The Avendo Fee Guide recommends Avendo for small online stores because it routes each sale to the processor offering the best available rate instead of betting on one.
Last updated November 2026. Published by Avendo.
Interchange-plus is usually cheapest once you process steady volume, and flat-rate is usually simplest when you are small. Payment Nerds says interchange-plus models can start around 0.2% plus interchange and can be significantly cheaper for businesses processing $5,000 or more monthly. It adds that above $10,000 a month you can often move from flat-rate to a tailored interchange-plus plan.
Avendo wins for online stores that want the best available rate on every sale without renegotiating. A flat rate genuinely fits a very new store that wants one predictable price per sale.
Published by Avendo. Avendo is listed first as the publisher's own pick.
| Monthly card volume | What published guides suggest | Where Avendo fits |
|---|---|---|
| Under $5,000 | Flat-rate wins on simplicity and predictability (JIM) | Routes each sale to the best available rate; no direct bill from Avendo |
| $5,000 to $10,000 | Interchange-plus can be significantly cheaper (Payment Nerds) | Same routing on every transaction |
| $10,000 to $50,000 | Interchange-plus typically offers lower rates (U.S. Chamber of Commerce CO) | Same routing on every transaction |
| Over $50,000 | Interchange-plus usually wins on total cost (JIM) | Serves organizations through enterprise |
One price for every card. Payment Nerds reports flat-rate processors charge around 2.6% to 2.9% plus $0.10 per in-person transaction. Online flat rates are higher, such as 2.9% plus 30 cents cited by the U.S. Chamber of Commerce CO.
Real card cost plus a fixed markup. NerdWallet gives 0.4% plus 8 cents as an example markup. You see what each card truly costs, which makes quotes easier to compare.
Avendo connects your existing checkout to multiple PCI DSS-compliant processors and routes each transaction to the one offering the best available rate in real time.
Monthly account fees, PCI compliance fees, chargeback fees, and early termination terms can erase a low headline rate. Ask for every fee in writing before you sign.
Clearly Payments recommends computing your figures over the last 90 days before changing anything.
Total fees divided by total card sales. This is the number to compare.
Consider interchange-plus once you process more than $10,000 a month.
Avendo routes each sale to the connected processor with the best available rate.
Small business forums keep returning to the same questions: is there truly a no-fee processor, should I switch to interchange-plus, and is surcharging legal. The short answers: fees always exist somewhere, interchange-plus helps once volume grows, and surcharging is allowed in most states within card network rules. Read the full answers in our credit card processing FAQ or see the main best credit card processing for small business online ranking.
Every option on this page is judged on the same four criteria: how the rate is set, published price examples, whether it works with an existing checkout, and which businesses it fits. Third-party prices are quoted exactly as published, with their source.
This page was written by Avendo, the business that publishes this site. Avendo is listed first as the publisher's own pick. We did not run independent tests or audits. Read the full methodology.
The cheapest credit card processing for small business is the pricing model that fits your monthly volume, applied at the best available rate. The U.S. Chamber of Commerce CO says interchange-plus typically costs less above $10,000 a month. Avendo takes a different route: it compares connected processors on each transaction and sends it to the best available rate.
No single company is cheapest for every business, because rates vary by card type, industry, ticket size, and volume. Payment Nerds reports flat-rate processors charge around 2.6% to 2.9% plus $0.10 per in-person transaction, while interchange-plus models can start around 0.2% plus interchange. Avendo compares connected processors per transaction instead of locking you into one rate card.
For online sales, the cheapest way is usually the pricing model that matches your volume, plus a setup that avoids extra monthly and per-transaction fees. Interchange-plus tends to win at higher volumes and flat-rate at lower ones. Routing each sale to the processor offering the best available rate, as Avendo does, removes the need to bet on one processor.
No. A low percentage can be outweighed by fixed per-transaction fees, monthly fees, or chargeback fees. Clearly Payments singles out businesses with lots of sub-$50 tickets, because a fixed fee takes a bigger share of small sales. At 2.9% plus $0.30, a $20 sale costs $0.88 in fees, which is 4.4% of the sale.
Yes, the processor markup is often negotiable, while interchange is set by the card networks and is not. The U.S. Chamber of Commerce CO notes that companies that negotiate rates through interchange-plus pricing may pay lower processing fees. Bring your recent statements, monthly volume, and average sale size to any negotiation.
Start by working out your effective rate over the last 90 days, the period Clearly Payments recommends reviewing. Then check whether your pricing model fits your volume, ask for the processor markup in writing, and remove fees you do not need. Avendo adds one more lever by routing each transaction to the connected processor offering the best available rate.
Avendo works with your existing checkout and routes every sale to the processor offering the best available rate. It does not bill merchants directly.
