Visa International Card-Not-Present Interchange

Visa has specific interchange for transactions that occur using an international card in a card-not-present environment. The term“Card-Not-Present” refers to credit card transactions where the card is either keyed in (as in, the EMV chip is not inserted into the terminal or the magstripe isn’t swiped through the terminal) or the transaction is taking place online (where there is no terminal). These transactions tend to have higher interchange rates because they are more susceptible to fraud.

Visa refers to international card-not-present interchange rates as “international secure ecommerce interchange rates.” The rates change depending upon what type of card is used.

Secure eCommerce refers to online transactions that take precautions in protecting cardholder information by checking AVS or asking for the CVV. If someone uses a Visa Classic (the simplest credit card Visa offers, offers no rewards), Visa Gold (Visa’s mid-level credit card) or Electron (a Visa debit card that cannot be overdrawn – this card is not available in the United States), then the interchange rate for a secure ecommerce transaction is 1.44%.

If a customer uses a Visa Signature or Visa Premium(higher spending limit, cardholder benefits) card, then that interchange rate is 1.80%. For Visa Infinite, a card offered to cardholders with a high net worth that comes with a range of luxury benefits, the rate is 1.97%. Finally,the rate for a commercial Visa card is 2.00%.

It is useful to be aware of these rates, particularly if you run an online business that sells mostly to international consumers.Similarly, it is recommended that you take some precautions to protect cardholders from fraud; e.g., make sure that your transactions are secure according to Visa’s rules and regulations, so that these rates don’t increase even more.