What Is Interchange Plus Plus (IC++)?
IC++ is a transparent payment pricing model that lists interchange fees, scheme fees and processor margin as three separate line items. Unlike blended rates, IC++ means you pay exactly what the scheme charges, with a clear, fixed margin on top. PCI Proxy offers IC++ acquiring from 0.45%.
IC++: The Three Components
Interchange plus plus (IC++) separates payment processing costs into three transparent components, each listed independently on your monthly statement.
Interchange Fee (I)
Set by the card scheme (Visa/Mastercard) and paid to the cardholder's issuing bank. Rates vary by card type, region and transaction channel. EU consumer debit is capped at 0.2%, consumer credit at 0.3% by regulation.
Scheme Fee (+)
Charged by Visa or Mastercard for using their network infrastructure. Includes authorisation fees, clearing fees and other scheme assessments. Passed through at cost under IC++.
Processor Margin (++)
The acquirer or payment service provider's profit margin. Under IC++, this is a fixed, disclosed amount. PCI Proxy charges from 0.45% margin, clearly shown on every statement.
IC++ vs Blended Rates
Blended Rate
Simple but opaque- Single flat percentage for all cards
- Hides interchange and scheme fee breakdown
- Processor pockets excess when interchange is low
- No visibility into actual costs
- Often more expensive for debit-heavy merchants
- Harder to benchmark or negotiate
IC++ (Interchange Plus Plus)
Transparent and fair- Interchange passed through at cost
- Scheme fees listed separately at cost
- Fixed, disclosed processor margin
- Lower effective rate for debit and low-interchange cards
- Easy to audit and benchmark
- PCI Proxy from 0.45% margin
PCI Proxy IC++ acquiring from 0.45%
Interchange and scheme fees at cost, fixed processor margin, itemised monthly statements.
IC++ Questions Answered
01 What is interchange plus plus (IC++)?
IC++ is a payment processing pricing model that separates the total cost into three components: the interchange fee (paid to the issuing bank), the scheme fee (charged by Visa or Mastercard) and the acquirer margin (the processor's profit). Each is listed separately on the merchant statement, providing full cost transparency.
02 What is the difference between IC++ and blended rates?
A blended rate bundles all three costs into one flat percentage. IC++ lists them separately. Blended rates are often more expensive because the processor keeps excess when interchange is lower than the blended rate. IC++ aligns the merchant's cost with actual interchange, which means lower costs when customers pay with debit or low-interchange consumer credit cards.
03 What are interchange fees?
Interchange fees are set by card schemes (Visa, Mastercard) and paid by the merchant's acquiring bank to the cardholder's issuing bank for each transaction. In the EU, they are capped at 0.2% for consumer debit and 0.3% for consumer credit cards by the EU Interchange Fee Regulation.
04 Is IC++ always cheaper than blended rates?
Generally yes for merchants processing significant volumes or a mix of card types. The main advantage of IC++ is transparency: you can see exactly what you pay and benchmark it against published scheme rates. PCI Proxy offers IC++ acquiring from 0.45% margin.
05 How does PCI Proxy charge IC++?
PCI Proxy offers optional IC++ acquiring starting from 0.45% processor margin. Interchange and scheme fees are passed through at cost and listed separately on your statement. You can also use IC++ acquiring alongside any other gateway or acquirer, routing tokens from the vault to whichever processor offers the best rate for each transaction.
Switch to Transparent IC++ Pricing
PCI Proxy offers optional IC++ acquiring from 0.45% margin alongside a dedicated EU PCI DSS Level 1 vault with portable tokens for any acquirer.