this post was submitted on 07 Jul 2025
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[–] howrar@lemmy.ca 3 points 8 hours ago* (last edited 8 hours ago)

What's the hidden tax? So many smaller businesses here refuse credit because of their fees but will take Interac.


Edit: The search term just came to mind right after posting this.

https://www.interac.ca/en/payments/business/understanding-fees/#interac-e-transfer-current-transaction-fees

Interac e-Transfer Send Money & Retail Request Money:

  • Tier 1, ≤6MM transactions: $0.43 / transaction
  • Tier 2, >6 – 30MM transactions: $0.09 / transaction
  • Tier 3, >30MM transactions: $0.06 / transaction
  • Fulfillment Fee – For Request Money transactions, the Requestor Participant will be required to pay the Responder Participant with an additional $0.10 per fulfillment

So it looks like it's a higher base rate compared to credit cards, but they don't take a percentage of the transaction.

In any case, I don't know enough about running a business to know how this compares to the cost of handling cash.