The Payment Aggregator can quickly onboard a new merchant (typically a user of the SaaS offering) and they can begin. PayFac-as-a-Service helps you hit the ground running and quickly onboard customers while adhering to compliance standards. 1. THIRD PARTY AGENT An entity that provides payment related services on behalf of a Visa Client. A PayFac services a portfolio of sub-merchants under a unified master merchant account. MyVikingCloud. Enabling businesses to outsource their payment processing, rather than constructing and maintaining their own. To be clear: this means you get the money directly into your own account, NOT like PayPal. But that’s where the similarities end. What is a payment facilitator? A payment facilitator, also known as a “payfac” or payment aggregator, is a payment model that has grown tremendously over the past few years. Your Header Sidebar area is currently empty. Another option to generate a profit from payments is to consider becoming a referral partner for an existing payment facilitator. One classic example of a payment facilitator is Square. This, in turn, gave way to re-bundling, as these services were aggregated into a single vendor for online and offline transactions. Hybrid PayFac or Hybrid Payment Facilitation. This hybrid. Supports multiple sales channels. Resellers need capital to buy products and services from the business, but referral partners don't. Instead, in the PayFac model, a small business gets a submerchant account under the master merchant. 6 Differences between ISOs and PayFacs. Authorize. PAYMENT FACILITATORWhat is a payment facilitator? A payment facilitator, also known as a “payfac” or payment aggregator, is a payment model that has grown tremendously over the past few years. On the other hand, a PayFac is a company that simplifies the payment process for sub-merchants by providing a. It would register the merchant on a sub-merchant account and it would have a contract with the acquiring bank. In other words, ISOs function primarily as middlemen (offering payment processing), while PayFacs are payment facilitation. Sony. Retail payment solutions. Many large banks, for example, issue credit. Merchants onboarded by a payfac are called "sub-merchants". PayFacs offer greater risk management abilities and impose stringent underwriting controls. There are several ways for businesses to go about accepting payments, and two of the most popular provider options are PayFacs and Independent Sales Organizations (ISOs). By dividing the LTV of $1. 7shifts is an all-in-one restaurant team management platform that helps operators manage work schedules, time clocking, team communication, labor compliance, payroll, tips and more, all from one single place. k. Unlike payfacs, ISOs set up individual merchant accounts for each business they service. ISOs often provide a range of services, including equipment sales or leasing—for example, point-of-sale (POS) terminals —transaction processing, and customer service. The term “merchant of record” refers to the entity that is legally authorized and responsible for processing customer payments —including credit and debit card transactions and digital wallet transactions —for goods or services on behalf of a business. Thus, it. What’s the distinction between Payfac and PSP? A payment Facilitator is a third-party payment service provider (PSP). PayFac or payment facilitator model allows you to add a new revenue stream to the profit you get from selling your core product. It is generally considered the best of the PSP models overall, though if you're looking for homebrew capability, the PSP-1000 is still superior. When you swipe a credit card, transfer money, or make an online purchase, there’s an inherent belief that the system will handle these transactions efficiently and accurately. In a traditional onboarding process with an Independent Sales Organization (ISO), the merchant must first. For large payment facilitators. Instead, all Stripe fees. Managed PayFac. They have to support slightly different feature sets. PayFacs take care of merchant onboarding and subsequent funding. It needs to obtain a merchant account, and it must be sponsored into the card networks by a bank. On the other hand, a PayFac is a company that simplifies the payment process for sub-merchants by providing a. A Payfac provides PSP merchant accounts. Several viable business models can make this happen: referral partnerships, becoming a PayFac or becoming an ISO. The main difference between payfac and payfac-as-a-service is the ownership of the payment processing systems and level of control the business has over. Compare PayFast vs. PayFac vs ISO: 5 significant reasons why PayFac model prevails. Stand-alone payment gateways are becoming less popular. They will often provide merchant services and act as a payment. PSPs act as. Payments facilitator or payfac are in essence a third-party entity which operates as a payment services provider (or PSP). Hurry up and add some widgets. Option 3: Becoming a referrer for an existing PayFac. Types of merchant of recordIn the current downturn, said Mielke, the PayFac or ISV that is diversified will be better positioned to weather the storm. PayFac) in order to stay competitive and capture the revenue. ISOs may be a better fit for larger, more established businesses. The most trusted payment integration. A payfac vs. The difference between a card acquirer, a PSP and a payment processor is that these entities perform different tasks. 11 + 4%. I SO An ISO works as the Agent of the PSP. Avoiding The ‘Knee Jerk’. Payfac可以对接一些子商户. Visa, Mastercard) around 2011 as a way for aggregators to provide more transparency into who their sub-merchants were. LTV/CAC ratio = $80 / $10 = 8. Nice to be able to offer “Either Or” to merchants, tho the subscription side DEF more lucrative in the long-term. The Visa® merchant aggregation model covers all commerce types, including the face-to-face and e-commerce environments, and helps to increase electronic payment acceptance for merchantsFast, efficient boarding solutions that orchestrate third-party and internal systems to help you turn prospects to customers – face-to-face, on the phone, or online. Blog. United States. LTV = $20 / (1 – 75%) = $80. Proven payment technology helps businesses pay and get paid so they can focus on what matters most. subscribing, and for some of these “old heads” (I’m in that group…. As intermediary technologies between a payment system and merchant, Independent Sales Organizations (ISOs) and Payment Facilitators (PayFacs) serve a very similar purpose. e. For financial services. They. Braintree became a payfac. June 26, 2020. What many don’t know, however, is that merchant service providers (MSPs), payment facilitators (PayFacs), and payment service providers (PSPs) can benefit from opting for custom Clover POS integration solutions as well. “Plus, you have a consumer base that is extremely savvy when it. Also, it’s essential to mention that PayFac is a Mastercard model, while the one for Visa is a payment service provider. The sole/first holder must be one of the holders in the bank account. Our Solutions. Last updated August 17, 2023 US retail ecommerce sales are expected to reach $1. A payment facilitator (or payfac) is the owner of a master merchant identification number who registers merchants as sub-merchants and enables their payment acceptance. A large-size ISO can turn wholesale. A payment processor executes the money transfer by exchanging data between the merchant, the issuing bank and the acquiring bank. . A payment facilitator is a company that allows their customers to accept electronic payments using the payment facilitator’s infrastructure. Vantiv. ISO or PayFac: What’s the difference? There are two types of merchant account providers: independent sales organizations (ISO) and payment facilitators (PayFac), also known as payment service providers (PSP). Payfac solutions can also add value by improving the overall customer experience by offering solutions that meet a merchant's needs with an all-in-one integration, creating a seamless and. PayFac or the Payment Facilitator is the third-party payment services provider (PSP). On the other hand, a PayFac is a company that simplifies the payment process for sub-merchants by providing a. ISO does not send the payments to the merchant. You own the payment experience and are responsible for building out your sub-merchant’s experience. A PayFac is one of the types of a payment service provider (PSP). A PSP is a company that offers merchants a range of payment processing solutions. Many ISVs are moving towards the value of Payfac by actually becoming Payfacs themselves. Blog. Get your business in order. responsible for moving the client’s money. In contrast, PayFacs have one or two processor relationships and onboard ISVs as referral agents. a ‘traditional’ acquirer? As stated earlier, by enabling a PayFac, the acquirer ceases to provide a number of acquiring functionalities such as conducting a due diligence of sub-merchants, setting up an appropriate onboarding process, monitoring sub-merchants’. Reduced cost per application. Become your customer’s single provider for software and payments processing. A PayFac assumes all the risk involved in payment processing – including fraud loss, chargebacks, and non-payment. What is a merchant of record? Read article. Blog. Another way to think about this result is that for every $1 spent on sales and marketing, the company generated $3. The control over the flow of funds is somewhat limited to what the partner allows you to do but time to market is. In essence, they become a sub-merchant, and they face fewer complexities when setting. And like our technology, our approach to partnership scales up or down as your business grows. One major advantage the Nintendo DS and 3DS have over the PSP is touchscreen support. Evaluate how your customers experience your AR process. CAC = $10,000 / 1,000 = $10. But regardless of verticals served, all players would do well to look at. While both services provide the same basic. Independent Sales Organization (ISO) Provides specific services directly or indirectly to issuing and/or acquiring clients. Marketplace vs ecommerce platform: What's the difference? Read article. Anyway, the three different concepts do exist, no matter how you might call them. We support a variety of payment channels, so your customers can pay with the method of their. An MoR acts as a payment processing service that is essentially a reseller of the merchant’s goods or services, and a payfac assumes responsibility for establishing and managing the relationships that the merchant needs to start taking payments. The average revenue per customer is $50, and the direct cost of filling each order is $30. Generate your own physical or virtual payment cards to send funds instantly and manage spending. Love this new series on Embedded Commerce and debunking the PayFac myth. Payfacs have continued to gain prominence and have been adopted by ISVs to create a more dynamic user experience. What is a payment facilitator? A payment facilitator, also known as a “payfac” or payment aggregator, is a payment model that has grown tremendously over the past few years. ISOs. Prepare your application. With an integrated payments partnership, you don’t need endless development hours or a huge IT staff to get started. Mastercard PayFac Models: The Ins and Outs of the “Big Two” Payment Facilitator Programs. Skaleet's Core Banking Platform helps marketplaces launch their PayFac solution by opening a merchant bank account and receiving a merchant category code (MCC) to acquire and aggregate payments for a group of smaller merchants, typically called sub-merchants. Until then, PSP is still PSP. External applications, such as payment gateway software, can use it for these. Payment Service Provider (PSP) is like a Pay-Fac, but where you get your own Merchant Account (meaning your business passes credit check / underwriting process). The ISO acts as an intermediary between the merchant and the payment processor, taking care of merchant recruitment, sales, and. Your provider should be able to recommend realistic metrics and targets. PSP & PayFac 102. It would open a sub-merchant account for the merchant and have a contract with the acquiring bank. Cons. Sophisticated merchants need dedicated human experts. PSP is a clinical diagnosis; imaging helps to differentiate mimics. May 24, 2023. It used to take weeks to get a merchant account, but then Payfacs came around and simplified the enrollment process by. Instead of each individual business. The Payfac Solution Provider (PSP) handles all of the underwritings, setting up of accounts, development of integrations with processors, connections with gateway partners (if applicable), the. PayFacs provide a similar service to standard merchant accounts, but with a few important differences. And this is, probably, the main difference between an ISV and a PayFac. Higher fees: a payment gateway only charges a fixed fee per transaction. There are some native RetroArch cores for vita. This is a clear indicator that fraud monitoring should be a priority in 2022 and beyond, and why it’s vital to work with a PayFac like. Here are the main considerations when deciding between a PayFac and an ISO: Onboarding - the ISO onboarding process is usually. A Quick Overview of What Provisional Credit Entails. Premier Payments Online · June 26, 2020 · June 26, 2020 ·Descriptor definition. The PlayStation Portable was Sony's first handheld gaming console. PayFacs have the master merchant account (or MID) as they register merchants on sub-merchant accounts while having a contract with the acquiring bank. multiple times a day within fixed settlement windows. Companies like NMI and Spreedly are. PAYMENT FACILITATOR What is a payment facilitator? A payment facilitator, also known as a “payfac” or payment aggregator, is a payment model that has grown tremendously over the past few years. Supranuclear refers to the region of the brain affected by the disorder — the section above 2 small areas called nuclei. The smartest way to get you paid. And that PlayStation handheld has now been officially named as the PlayStation Portal, which Sony calls a ‘remote player’ owing to its reliance on the PS5 itself – read on and we’ll tell you more about that. Management of a reporting entity that is an intermediary will need to determine. But regardless of verticals served, all players would do well to look at. If the intermediary entity, which funds the sub-merchants, uses different MID for each merchant, it is called a payment facilitator. PSP-1000. Marketplace vs ecommerce platform: What's the difference? Read article. The Job of ISO is to get merchants connected to the PSP. In almost every case the Payments are sent to the Merchant directly from the PSP. Though existing since the 1990s, the number of payment facilitation platforms has recently soared to become an essential link in the ecommerce chain. If your sell rate is 2. The acquirer will then pass the information to Mastercard to run the check, and the results will be passed back to the Payfac. Some vita games run better as their ps4 ports. Payment aggregator vs. 3. e. PayFac Alternative: PayFac-as-a-Service Fortunately, there is a quicker and less complicated path to becoming a payment facilitator, which also mitigates many of the risks and costs mentioned above. Optimize your finances and increase automation with our banking infrastructure. PayFac vs ISO: which one to choose for your business? Read article. Whether to become a Payment Aggregator or Payment Facilitator has far reaching implications for a SAAS application provider. transaction execution. Use a walker that is weighted, to help prevent. Furthermore, segregated accounts secure the client's funds if the firm goes bankrupt, shuts down, or any other unfortunate event that prevents them from doing business. Established acquirers will likely have a process for passing the data; implementing what is needed to make that happen is the responsibility of the Payfac. The payment processor also typically provides the credit card. We help managers: 1) Make more profitable decisions. The PayFac would also need to hire a FTE to take exceptions and review these exceptions for risk. They’re also assured of better customer support should they run into any difficulties. ISOs mostly resell merchant accounts, issued by multiple acquiring banks. A PayFac, or payment facilitator, is a merchant services model that streamlines the merchant account enrollment process by onboarding a merchant as a sub-account under the PayFac’s master account. One classic example of a payment facilitator is Square. on demand when end-of the day settlement message is received. Square has been one of the most disruptive technology companies in the past decade, yet they recently caught the media’s attention for the wrong reason. That means they have full control over their customer experience and the flexibility to. Those sub-merchants then no longer have. In other words, processors handle the technical side of the merchant services, including movement of funds. In this article we are going to explain why payment facilitator model is becoming so popular (attracting more and more entities) while ISO model is gradually dying out, vacating the space for new payment facilitators. @wepay. Loss of interest in pleasurable activities. The payfac has a more specific focus on the payment processing element. PIP vs PSP . Sometimes a distinction is made between what are known as retail ISOs and. ISOs never directly touch a merchant’s money as the money will flow directly from the payment processor to the merchant’s merchant. The capacities in which a business might be acting that could bring it within the definition of an MSB are:PayFacs operate as a master merchant that facilitates credit and debit card transactions for sub-merchants (the PayFac customers) within their payments ecosystem. Risk management. 5%) and PGA values (41% vs 21%) In PSP cohort: Yes: NA a: Ryan et al. And the cameo makes it all come together! Thanks, Timmy Nafso for having me. That said, some organizations, like Stax, don’t differentiate between the two. Some stay where they are (like, again, Uber or Amazon), while others decide to implement the PayFac model. These include SaaS providers, investment firms, franchise owners, online marketplaces, and others. This solution involves you partnering with either (1) an acquiring bank or (2) an acquirer and a payment facilitator vendor. It used to take weeks to get a merchant account, but then Payfacs came around and simplified the enrollment process by creating a sub-merchant platform. Selecting the suitable operating model and payment service provider (“PSP”) partner is at the core of a payfac strategy. Here’s how Visa defines payment facilitators and sponsored merchants: “PayFac or merchant aggregator, a payment facilitator is a third party agent that. However, payment processing can quickly become overwhelming and complicated, often leaving businesses feeling unprepared and doomed to failure. Consequently, only the PSP’s payment application (which does have the encryption key) is capable of decrypting the swipe. A PSP is a company that offers merchants a range of payment processing solutions. Who Gets Involved in the PayFac Scene? There are five main elements which compose the payment facilitator landscape. 7-Eleven Malaysia. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. For retailers. “A payments facilitator (or PayFac) allows anyone who wants to offer merchant services on a sub-merchant platform. Descriptors are fixed in length. The contract is typically between the sponsor and the merchant, but the ISO may sometimes be included in a three-party agreement. These nerve nuclei are often found in the brainstem and can impact vision, swallowing, speech, and more. It would open a sub-merchant account for the merchant and have a contract with the acquiring bank. With the payment facilitator or PayFac model, every user gets a sub-merchant ID. To your customers, the payments experience is seamless and fully integrated with your SaaS platform. With the growth of off-the-shelf PayFac offerings known as PayFac-as-a-Service (PFaaS) solutions, ISVs or VARs can get up-and-running fast with. Put our half century of payment expertise to work for you. The Different Payfac Models. We would like to show you a description here but the site won’t allow us. This means the PSP has one main merchant account for all its users and assumes the risk the merchant acquiring bank would usually. This was around the same time that NMI, the global payment platform, acquired IRIS. So, make sure you choose a PSP that performs underwriting at the time of application. This provides greater ease-of-use, but the PSP charges more per transaction in exchange. Connecting customers to trustworthy payment options is a win-win for you and your customers. Generally speaking, a PayFac might be suitable for bigger businesses that need to process a large volume of transactions, and an ISO might be more suitable for smaller businesses. Both ISVs operating as ISOs and PayFacs provide a way for companies to accept payments and serve as intermediaries between their customers and the payment processors and banks. We understand the details of embedded payments and the options for building a solution that is secure, scalable and compliant. €0. 1. A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. Technology used. If necessary, it should also enhance its KYC logic a bit. Payment facilitation helps you monetize. PayFac vs. Payment facilitation helps you monetize credit card payments by helping you bring payments in-house. There's not a huge amount to look at on the back of the PSP and PS Vita. If the merchant fits the requirements, PayFac onboards is a sub-merchant under the master MID. It provides a technology, allowing to authorize transactions and, potentially, receive transaction settlement information. Software Platform as the Payfac. In the UK, however, workers have the right to one uninterrupted 20-minute rest break during the work. PayFacs are generally more suitable for smaller businesses or those looking for a streamlined, integrated payment platform with faster funding times. It is when a business is set up as a primary merchant account and provides payment processing to its sub-merchants. The quantitative content and the level of detail of the PIP vs PSP documents may be different in the two regions. As well as reducing the administrative burden for sub-merchants, PayFacs have the flexibility to completely customize their payments program. Settlement is generally done: once a day at a fixed time. A payment processor receives the initial authorization request when the card is swiped to make a purchase. To be clear: this means you get the money directly into your own account, NOT like PayPal. This can include card payments, direct debit payments, and online payments. However, they do not assume. 支付服务商 (PSP): 商户的支付对接合作伙伴。. A PayFac handles the underwriting. Request a Demo. So, when the swipe is read, neither the merchant, nor the business-specific software. the PayFac Model. By Drew. Our suite of tools and services offers a choice of funding options, settlement, revenue generation, and risk management capabilities for payment facilitators. Stripe provides a way for you to whitelabel and embed payments and financial services in your software. retailers. The ISO, on the other hand, is not allowed to touch the funds. Read article. 3. It also means that payment risk is moved from individual merchants to the PayFac, as they own the master merchant account. Our white label solution. This means that a SaaS platform can accept payments on behalf of its users. On the other hand, a PayFac is a company that simplifies the payment process for sub-merchants by providing a. Instead of going through the lengthy and expensive process of setting up multiple integrations, you can save time and money by using MONEI to accept all the payment methods you’ll ever need. It also needs a connection to a platform to process its submerchants’ transactions. In the PayFac model, banks that monitor PayFacs are called Acquiring Banks. Using this token in place of the actual data during a transaction greatly reduces the risk of that data being compromised. The first thing to do is register. A PSP is a company that offers merchants a range of payment processing solutions. A Payment Facilitator, commonly known as, a Payfac, has one master merchant account under which all the merchants join as sub-merchants. Coinbase Commerce: Best For Integrations. But for this purpose, it needs to build a strong relationship with an acquirer that will underwrite it as a PayFac. Is a Payment service provider and payment gateway the same? Both ISOs and PayFacs make payment processing more accessible for small and high-risk businesses by acting as intermediaries. A payment processor sits at the center of the payment cycle. Payments is an expert in embedded payment solutions, enabling SaaS businesses to monetize payments through its turnkey PayFac-as-a-Service solution. ; Within 61 - 90 days upon expiry of the validation documents, the service provider will be identified by. Introduction. The PayFac aggregates transactions and sends them to its processor, keeping operations streamlined. Progressive supranuclear palsy, or PSP, is a rare neurodegenerative disease that is often misdiagnosed as Parkinson's disease because its symptoms are similar. It doesn’t have to be this complex and expensive. Cincinnati, Ohio Area. When you are listed, you help secure the promise of a trusted payment system by highlighting your investment in data security and the. The payment facilitator, or “PayFac”, model of merchant acquiring is growing extremely rapidly. Payment Facilitator. What is a payment facilitator? ISO vs PayFac . Blog. A Managed PayFac is a payment monetization model in which a company gets most of the benefits of a full Payment Facilitator but without the same level of liability or risk. PayFac is software that enables payments from one vendor to one merchant. Amazon Pay. An MoR acts as a payment processing service that is essentially a reseller of the merchant’s goods or services, and a payfac assumes responsibility for establishing and managing the relationships that the merchant needs to start taking payments. But size isn’t the only factor. a Payment Service Provider (PSP), aka a Payment Facilitator (PayFac). Technology has fundamentally changed how businesses, acquiring banks, and card networks work together. GETTRX absorbs the stress of fraud monitoring and compliance reporting while you focus on your business. See our complete list of APIs. If necessary, it should also enhance its KYC logic a bit. The ISVs that look at the long. The payment facilitator model was created by the card networks (i. e. 2 million annually. MSP = Member Service Provider. Sooner or later, most vertical SaaS companies will have to become some form of a payment facilitator (a. What’s the distinction between Payfac and PSP? A payment Facilitator is a third-party payment service provider (PSP). Stripe provides a way for you to whitelabel and embed payments and financial services in your software. A payment gateway on the other hand is technology that verifies payments between merchants or vendors. PayPal using this comparison chart. Merchants can get the PSP reference from the Customer Area, webhooks, the API response, and our reporting. Becoming a Hybrid PayFac can offer the vast majority of the benefits without the time, money and compliance requirements. 1 Overview–principal versus agent. Akurateco’s gateway is a fully brandable, white-label solution allowing you to own the end-to-end ready-to-use, PCI DSS gateway with zero development cost. With BlueSnap Embedded Payments, you can own the payments experience, improve customer satisfaction, increase your revenue and get to market fast. Discover Adyen issuing. PayFacs have the master merchant account (or MID) as they register merchants on sub-merchant accounts while having a contract with the acquiring bank. Asgard Platform. We're here for you 24/7, and offer guidance with even the most complex payment stack. A PSP, on the other hand, charges a variable fee in addition to the fixed fee. A payment service provider (PSP) is a third-party company that allows businesses to accept electronic payments, such as credit cards and debit cards payments. However, since PayFacs perform activities like application. Not only does the PS Vita have a touchscreen for its main display, but it also has a touchpad. net is owned by Visa. However, it’s important to remember that merchant service providers (MSPs), payment facilitators (PayFacs), and payment service providers (PSPs) leverage this service as well. Payment is becoming more cashless than ever now as a massive number of transactions are digitally carried out through credit cards and e-wallets. ISO = Independent Sales Organization. The PSP-3000 was released in 2008, following closely after the PSP-2000. Very rarely, said Mielke, do ISVs win with the “knee-jerk reaction of becoming a PayFac and capturing those additional revenues. In simple terms, the MOR is the name that the customer (cardholder) sees on the receipt. The merchant obtains a gateway system, its supplementary APIs and the various forms of payment as a bundle and only has to sign one contract. This model is ideal for software providers looking to. With a nod to Visa’s own efforts, he said that the company is forging what he called a “clear path” approach that offers a turnkey solution as PayFacs contract with acquirers to provide Visa. Incorporated in 2017, Varanium Cloud Limited, previously known as Streamcast Cloud, is a technology company focused on providing services surrounding digital audio, video, and financial blockchain (for PayFac) based streaming services. Whatever works best for them. UK domestic. Progressive supranuclear palsy (PSP) is very different to Parkinson’s disease with readily distinguishable features. A PayFac is a third party services provider that acts as an intermediary between merchants and payment processors. However, if the business experiences rapid growth and needs to onboard a large number of merchants, the payfac may face scalability challenges. For larger businesses, however, working directly with a payment processor/acquiring bank is likely best. ) paying Toast, or Revel, or Clover FOREVER is a tough pill to swallow. A payment service provider (PSP) is a third-party company that allows businesses to accept electronic payments, such as credit cards and debit cards payments. Payment facilitation helps. A Payment Facilitator, PayFac for short, is simply a sub-merchant account for a merchant service provider. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. In each episode, we bring togeth…IXOPAY’s payment platform offers White Label solutions for PSPs, ISOs and sales agents, allowing them to manage payment flows, provide modern centralized merchant services and accurate reporting to their global online merchants. (GETTRX) is a registered ISO/MSP/PSP/Payment Facilitator for Merrick Bank, South Jordan, UT, FDIC insured. 9% and 30 cents the potential margin is about 1% and 24 cents. BOULDER, Colo. So, the main difference between both of these is how the merchant accounts are structured and organized. 8–2% is typically reasonable.