> For the complete documentation index, see [llms.txt](https://docs.payfacto.com/payfacto-knowledge/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.payfacto.com/payfacto-knowledge/canada-doc-center/general-information/card-brand-network-fee-updates.md).

# Card Brand Network Fee Updates

Last updates

## Changes effective July 2026

<details>

<summary>July 2026 - Update to Acquiring Cross Border Assessment Fees</summary>

Mastercard has announced a change to its Cross-Border Assessment Fees applicable in Canada. Effective July 20, 2026, the assessment rate applicable to certain non-Dynamic Currency Conversion (non-DCC) cross-border Mastercard transactions will increase from 60 basis points (bps) to 100 basis points (bps).

<table><thead><tr><th width="111">Billing Event Number</th><th>Billing Event Name</th><th>Current Rate (bps)</th><th width="211">New Rate May 25 2026</th></tr></thead><tbody><tr><td>2DN1400</td><td>Acquirer Cross-border Purchase</td><td>60 bps</td><td>100 bps</td></tr><tr><td>2DN1401</td><td>Acquirer Cross-border ATM Cash Advance</td><td>60 bps</td><td>100 bps</td></tr><tr><td>2DN5200</td><td>Acquirer Cross-border Mastercard Debit Switch Purchase</td><td>60 bps</td><td>100 bps</td></tr><tr><td>2DN5201</td><td>Acquirer Cross-border Mastercard Debit Switch</td><td>60 bps</td><td>100 bps</td></tr></tbody></table>

</details>

## Changes effective June 2026

<details>

<summary>June 2026 - Upcoming Changes to Network Registration Fee Notice</summary>

Effective June 1, 2026,
&#x20;the following updates will apply:

**Mastercard Specialty Merchant Registration Program Fee**

&#x20;     Current Annual Fee: $500 USD

&#x20;     New Annual Fee:
&#x20;$1,000 USD

This fee will be billed as
&#x20;$1,500 CAD
&#x20;on your account anniversary date.

**Visa Integrity Risk Program Fee**

The following change to the VIRP Fee will also apply:

&#x20;     Current Annual Fee:
&#x20;$1,400 CAD

&#x20;     New Annual Fee: $1,500 CAD

This fee will be billed as
&#x20;$1,500 CAD
&#x20;on your account anniversary date.

</details>

## Changes effective May 2026

<details>

<summary>May 2026 - Updating the Digital Enablement Fee in Canada</summary>

Effective 25 May 2026, the Digital Enablement Fee structure will be changed, the updated Digital Enablement Fee will become effective 25 May 2026 with the first Billing occurring on 31 May 2026:

<table><thead><tr><th width="111">Billing Event Number</th><th>Billing Event Name</th><th>Current Rate</th><th width="211">New Rate May 25 2026</th><th>Frequency</th></tr></thead><tbody><tr><td>2AN3414P</td><td>Acquirer Digital Enablement Fee</td><td>Minimum of 0.02, applicable to transactions less than or equal to 100</td><td>Minimum of 0.02, applicable to transactions less than or equal to 100</td><td>Weekly</td></tr><tr><td>2AN3414</td><td>Acquirer Digital Enablement Fee</td><td>0.0002 times the value of authorization</td><td>0.0002 times the value of authorization, applicable to transactions greater than 100 and less than 10M</td><td>Weekly</td></tr><tr><td>2AN3414Q</td><td>Acquirer Digital Enablement Fee</td><td>0.0002 times the value of authorization, applicable to transactions more than or equal to 1,000</td><td>Fixed fee of 2,000, applicable to transactions greater than or equal to 10M</td><td>Weekly</td></tr></tbody></table>

</details>

## Changes effective April 2026

<details>

<summary>April 2026 - Introduction of New Consumer Visa Infinite Plus Credit Product</summary>

Effective
&#x20;April 18, 2026,
&#x20;Visa is introducing a new consumer
&#x20;Visa Infinite Plus
&#x20;Credit Product.

New interchange program rates will apply.

<table><thead><tr><th width="548">Visa Infinite Plus</th><th>Rates</th></tr></thead><tbody><tr><td>Performance – Card-Present</td><td>1.55%</td></tr><tr><td>Performance Card-Not-Present – Token</td><td>2.20%</td></tr><tr><td>Performance Card-Not-Present</td><td>2.25%</td></tr><tr><td>Small Merchant Electronic</td><td>1.05%</td></tr><tr><td>Industry Fee Programs – Gas Industry</td><td>1.50%</td></tr><tr><td>Industry Fee Programs – Grocery and Food Retail Industry</td><td>1.30%</td></tr><tr><td>Everyday Needs – Restaurant</td><td>1.35%</td></tr><tr><td>Everyday Needs – Other</td><td>1.35%</td></tr><tr><td>Emerging Segments – Preferred</td><td>1.25%</td></tr><tr><td>Emerging Segments</td><td>1.45%</td></tr><tr><td>Electronic</td><td>1.60%</td></tr><tr><td>Recurring Payments – Token</td><td>1.90%</td></tr><tr><td>Recurring Payments</td><td>1.95%</td></tr><tr><td>Small Merchant Card Not Present – Token</td><td>2.15%</td></tr><tr><td>Small Merchant Card Not Present</td><td>2.20%</td></tr><tr><td>Card-Not-Present – Token</td><td>2.25%</td></tr><tr><td>Card-Not-Present</td><td>2.30%</td></tr><tr><td>Standard</td><td>2.35%</td></tr><tr><td>Industry Fee Programs – Utilities Industry</td><td>CAD $0.75</td></tr></tbody></table>

<br>

<br>

</details>

<details>

<summary>April 2026 - Revision of Visa System Integrity Fee</summary>

Effective 25 April 2026
\\

\
Visa will revise the System Integrity Fee (SIF) assessed for noncompliant international authorization reattempts for Category 1 response code declines and excessive reattempts after Category 2, 3 and 4 response code declines.

\
The revised System Integrity Fees are presented in the table below.

<table><thead><tr><th width="361">Description</th><th>Current Fee (per reattempt)</th><th>New Fee (per reattempt)</th></tr></thead><tbody><tr><td>Issuer Will Never Approve - Reattempt(International)</td><td>$0.15 USD</td><td>$0.25 USD</td></tr><tr><td>Excess Reattempted Transactions(International)</td><td>$0.15 USD</td><td>$0.25 USD</td></tr></tbody></table>

<br>

<br>

</details>

## Changes effective February 2026

<details>

<summary>February 2026 -  Introduction of Mastercard Transaction Processing Excellence (TPE) Network Fees</summary>

&#x20;Effective
&#x20;January 2025
, Mastercard introduced Transaction Processing Excellence (TPE) network fees applicable to certain non-compliant transactions (such as excessive authorizations or uncleared pre-authorizations) which are classified as Network Assessment Fees.

These fees are imposed directly by Mastercard at the network level and apply only to transactions that do not meet Mastercard’s processing requirements. They are not PayFacto-imposed fees.

PayFacto will begin passing through these Mastercard network assessment fees
\
effective **February 2026** in accordance with the Interchange Plus (IC+) pricing structure. If your authorization and settlement practices are compliant, these fees will not impact your account.

<table><thead><tr><th width="210">Rule</th><th width="395">Description</th><th>Fee</th></tr></thead><tbody><tr><td>MC CAN Excessive Authorization Attempts</td><td>Fee for each authorization after 10 previously declined attempts on the same account number and card acceptor within a 24-hour period, or exceeding 35 declined attempts (same account, acceptor, and amount) within 30 days.</td><td>USD 0.0035 per excess declined auth</td></tr><tr><td>MC Excessive Authorization Attempts</td><td>Global version of excessive declined authorization attempts beyond Mastercard thresholds.</td><td>USD 0.0035 (where applicable)</td></tr><tr><td>MC Nominal Amount Authorization</td><td>Applied to small-dollar authorization attempts that do not comply with Mastercard’s authorization validity requirements (typically micro-auth misuse).</td><td>Varies (TPE-related)</td></tr><tr><td>MC Undefined Authorization</td><td>Processing integrity fee for transactions ≥ USD 14.29 identified as undefined authorizations (no proper final state).</td><td>USD 0.004</td></tr><tr><td>MC Preauthorization (≥ USD 14.29)</td><td>Applied when pre-authorizations are not cleared or fully reversed within 30 calendar days.</td><td>USD 0.004</td></tr><tr><td>MC Preauthorization (&#x3C; USD 14.29)</td><td>(&#x3C; USD 14.29) Same as above but for transactions under USD 14.29.</td><td>USD 0.10</td></tr><tr><td>MC Final Authorization (≥ USD 14.29)</td><td>Integrity fee for non-compliant final authorizations that do not meet clearing or processing requirements.</td><td>USD 0.004</td></tr><tr><td>MC Final Auth Minimum (&#x3C; USD 14.29)</td><td>Applied when non-compliant final authorization is less than USD 14.29.</td><td>USD 0.10</td></tr><tr><td>MC CA Authorization Validity Usage</td><td>Applied when the acquirer does not submit clearing within 24 hours of final authorization approval. Fee assessed based on delay duration.</td><td>CAD 0.3%</td></tr><tr><td>MC Authorization Validation Fee</td><td>Applied to non-financial ($0 transaction) validation authorizations.</td><td>CAD 0.0339%</td></tr></tbody></table>

</details>

## Changes effective January 2026

<details>

<summary>January 2026 - Card Brand Fee Currency Conversion</summary>

Effective January 22, 2026, our processing partner will implement updates to its billing system. As part of this enhancement, card brand fees assessed in Canada will be converted from U.S. dollars (USD) to Canadian dollars (CAD). This applies only to merchants who are processing in CAD and are on Interchange Plus pricing.

What’s Changing

* Per-item card brand fees assessed in Canada will now be converted from USD to CAD.
* Minimums, maximums, and threshold amounts set by card brands will also be converted.
* This enhancement applies specifically to per-item card brand fees set in USD but applied to Canadian transactions settling in CAD.

How the Conversion Works

* Currency conversion will occur once daily using the most current rates from Visa and Mastercard.
* Mastercard rates will apply to Mastercard transactions.
* Visa rates will apply to Visa, Discover, and American Express transactions.
* The conversion applies only to the calculated per-item card brand fee.

</details>

## Changes effective November 2025

<details>

<summary>November 2025 - <em>Interac</em> Debit Switch Fee Change</summary>

November 1, 2025 - The *Interac* Debit Switch Fee will be increased from $0.019851 to $0.02099, a difference of $0.001139.  This fee is assessed on all *Interac* Debit payments and applies to both chip and PIN and contactless transactions

</details>

## Changes effective October 2025&#x20;

<details>

<summary>October 2025 - Reduction of Visa Small Merchant Electronic Fee</summary>

October 18, 2025, The Visa Small Merchant Electronic Fee Program interchange rate for Visa’s core consumer credit products will be reduced from 0.81% to 0.77% (a reduction of 0.04%). This reduced interchange rate will apply to Visa Classic, Visa Gold, and Visa Platinum products. Note this is a pass-through fee imposed by Visa to all applicable transactions

</details>

<details>

<summary>October 2025 - Introduction of Mastercard Wholesale Travel Program Interchange Rates</summary>

October 18, 2025, Mastercard is introducing new interchange rates for the Mastercard Wholesale Travel Program globally and for intraregional transaction in the U.S. region. The new interchange rates will apply to the following business-to-business (B2B) product codes:

**Global Program Rates**

|                                       |                  |                           |          |
| ------------------------------------- | ---------------- | ------------------------- | -------- |
| **Interchange Rate Designator (IRD)** | **Product Code** | **Product Description**   | **Rate** |
| BB: Commercial Business-to-Business   | MTN              | Mastercard B2B Product 20 | 2.0%     |
| BB: Commercial Business-to-Business   | MTO              | Mastercard B2B Product 21 | 2.0%     |
| BB: Commercial Business-to-Business   | MTQ              | Mastercard B2B Product 22 | 2.0%     |

**Intraregional U.S. Transaction Rates**

|                                          |                  |                           |          |
| ---------------------------------------- | ---------------- | ------------------------- | -------- |
| **Interchange Rate Designator (IRD)**    | **Product Code** | **Product Description**   | **Rate** |
| BU: U.S. Commerical Business-to-Business | MTN              | Mastercard B2B Product 20 | 2.7%     |
| BU: U.S. Commerical Business-to-Business | MTO              | Mastercard B2B Product 21 | 2.6%     |
| BU: U.S. Commerical Business-to-Business | MTQ              | Mastercard B2B Product 22 | 2.5%     |

</details>

## Changes effective September 2025

<details>

<summary>September 2025 – Introduction of Mastercard Acquirer License Fee</summary>

September 1, 2025, PayFacto will begin applying the pass-through Mastercard Acquirer License Fee of 0.0095%. This fee is assessed by Mastercard on all processed transactions.

</details>

<details>

<summary>September 2025 – Introduction of Mastercard Acquirer Clearing Fee</summary>

September 15, 2025, Mastercard is introducing the Mastercard Clearing Fee, which will apply to all Mastercard transactions processed. The fee will be passed-through to all merchants at $0.005 USD for each transaction less than or equal to $25.00 USD, and $0.0195 USD for each transaction that is $25.01 USD or greater.

</details>

## Changes effective July 2025

<details>

<summary>July 2025: Updates to Mastercard Acquirer Assessment Fee </summary>

The Mastercard Acquirer Assessment Fee with increase from 0.087% to 0.09% (a difference of 0.003%) as of July 1*st*, 2025.  Merchants can cancel their agreements related to the provision of Card processing, including Related Service Agreements, without any form of penalty, by September 9*th*, 2025. Contact our Support Team or consult the Merchant Portal for more information on how to cancel your services.

</details>

<details>

<summary>July 2025: Updates to the Mastercard Wholesale Travel Program </summary>

The Mastercard Wholesale Travel Program rates will increase from 0.60% to 0.75% (a difference of 0.15%) as of July 1*st*, 2025. Merchants can cancel their agreements related to the provision of Card processing, including Related Service Agreements, without any form of penalty, by September 9*th*, 2025. Contact our Support Team or consult the Merchant Portal for more information on how to cancel your services.

</details>

## Changes effective April 2025

<details>

<summary>April 2025: Introduction of an Interac Network Access Fee</summary>

As of April 1st, 2025, an “Interac Network Access” fee of $0.0058/transaction will be applicable on Interac Direct Debit and Interac Flash transactions.

</details>

### Changes to Visa Prepaid Interchange structure effective April 2025

<details>

<summary>April 2025: The following Visa Business Interchange rates go into effect April 12, 2025</summary>

| Rate Program                       | Business          | Visa Infinite Business |
| ---------------------------------- | ----------------- | ---------------------- |
| Standard                           | 2.00% (no change) | 2.35%                  |
| Electronic                         | Retired           | Retired                |
| Emerging Segments                  | Retired           | Retired                |
| Industry Program – Gas             | Retired           | Retired                |
| Industry Program – Grocery         | Retired           | Retired                |
| Performance Program – Card-Present | Retired           | Retired                |
| Recurring Payments                 | Retired           | Retired                |

</details>

***

<details>

<summary>Visa Domestic Consumer Purchase Prepaid Rate Program Updates</summary>

| Interchange Program                                     | Current Interchange Rate | Updates effective April 12, 2025 |
| ------------------------------------------------------- | ------------------------ | -------------------------------- |
| Standard                                                | 1.52%                    | No change                        |
| Electronic                                              | 1.42%                    | No change                        |
| Card Not Present                                        | 1.52%                    | Retired                          |
| Recurring Payments                                      | 1.37%                    | Retired                          |
| Emerging Segments                                       | 0.98%                    | Retired                          |
| Everyday Needs Program - Restaurant and Other           | 1.36%                    | Retired                          |
| <p>Industry Program - Grocery and</p><p>Food Retail</p> | 1.23%                    | Retired                          |
| Industry Program - Gas                                  | 1.18%                    | Retired                          |
| Performance Program – Card Present Electronic Program   | 1.32%                    | Retired                          |

</details>

## Visa Debit Interchange rates - changes are effective from January 1st, 2025

| Rate Program                                          | Visa Debit |
| ----------------------------------------------------- | ---------- |
| Electronic                                            | CAD 0.03   |
| Performance Program – Card Present Electronic Program | CAD 0.03   |
| Industry Program - Gas                                | CAD 0.03   |
| Industry Program - Grocery                            | CAD 0.03   |

## October 2024 - Changes to Visa and Mastercard Interchange Programs

Effective October 19th 2024, Visa and Mastercard Small Merchant Interchange Rate Programs for domestic consumer credit transactions will go into effect.  Merchants will be qualified directly by Visa and Mastercard on eligibility for the new rates based on the following criteria:

Merchants processing up to $175,000 in annual Mastercard credit-only volume.

Merchants processing up to $300,000 in annual Visa credit, debit, and prepaid volume.

A merchant that processes both Visa and Mastercard may qualify for reduced rates on one or both card brands.  The Initial qualification period for Visa and Mastercard will be Apr 1, 2023, to Mar 31, 2024, and the subsequent qualification periods will be October 1 to September 30 each year.

***For the rates, see the tabs below***

For more details and exceptions visit Visa.ca and Mastercard.ca

{% tabs %}
{% tab title="Visa Small Business Interchange Program Rates" %}
Visa Small Business Interchange Program Rates

| Rate Program                 | Classic, Gold, Platinum | Infinite | VISA Infinite Privilege |
| ---------------------------- | ----------------------- | -------- | ----------------------- |
| Card Present                 | 0.81%                   | 0.99%    | 1.80%                   |
| Card Not Present (Tokenized) | 1.25%                   | 1.50%    | 2.25%                   |
| Card Not Present             | 1.30%                   | 1.55%    | 2.30%                   |
| {% endtab %}                 |                         |          |                         |

{% tab title="Mastercard Small Business Interchange Program Rates" %}
Mastercard Small Business Interchange Program Rates

| Interchange Program Type | Core  | World | World Elite | Muse  |
| ------------------------ | ----- | ----- | ----------- | ----- |
| Card Present EMV         | 0.72% | 0.95% | 1.22%       | 1.29% |
| Unsecure Card Present    | 0.95% | 1.19% | 1.45%       | 1.52% |
| Digital Commerce         | 1.57% | 1.80% | 2.03%       | 2.15% |
| Contactless              | 0.72% | 0.95% | 1.22%       | 1.29% |
| 3DS                      | 1.40% | 1.60% | 1.80%       | 1.93% |
| Card Present Refund      | 0.43% | 0.57% | 0.73%       | 0.77% |
| Card Not Present Refund  | 0.96% | 1.10% | 1.24%       | 1.33% |
| {% endtab %}             |       |       |             |       |
| {% endtabs %}            |       |       |             |       |

<details>

<summary>November 2024: Interac Debit Switch Fee Change</summary>

November 1, 2024 - Notice of Interac Debit Switch Fee Change Effective November 1, 2024, the Interac Debit Switch Fee will be increased from $0.018380 to $0.019851.

</details>

<details>

<summary>April 2024: Interac Debit Switch Fee Reduction</summary>

Effective April 1st 2024 the Interac Switch Fee for all Interac Debit card present transactions will be lowered from $0.01985 to $0.01838.&#x20;

The new rate will appear on the April merchant statements.

</details>

<details>

<summary>April 2024: New Visa CVV2 - Fee</summary>

Effective April 1, 2024, Visa will begin charging a Card Verification Value 2 (CVV2) fee of 0.0028 USD for every CVV2 result that receives an M (Match) or N (No Match). Positive matches may result in a higher approval rate, reduced chances of fraud, as well as fewer disputes.

The CVV2 fee will not apply to the following conditions:

·       Verification results not received by the bank due to an error

·       Returned values that are not M or N

·       Successful 3DS verifications

·       Zero-amount account verification messages

</details>

<details>

<summary>January 2024: New Interac Surcharge Cap Maximum</summary>

***Important Notice:**  New Interac Surcharge Cap Maximum Effective January 26th, 2024*

*Effective January 26, 2024, Interac is introducing a surcharge cap maximum of$0.25 per transaction on point-of-sale transactions and is prohibiting the capability to impose a surcharge on remote transactions using the Interac Mobile Debit (In-App/In-Browser). Interac Debit surcharge continues to be unavailable in Quebec.*

</details>