Service Fee
The Service fee lets you add a small fee to each transaction which your customers will pay on top of the original amount. This allows you to pass costs such as processing fees, administrative expenses, or operational costs directly to your customers instead of absorbing them as a business expense.
Whether you’re covering the cost of accepting payments, managing service-related expenses, or maintaining profitability, Service Fee gives you more control over your pricing and helps protect your margins.
How Service Fee Works
When enabled, the Service Fee is automatically added to the total transaction amount for Link, In-Person, and Invoice transactions. Customers will see a clear breakdown of the total before completing the payment, ensuring full transparency.
Percentage-based Service Fee
If you set a 2.5% Service Fee on an AED 1,000 transaction, the customer will pay AED 1,025 (AED 1,000 + AED 25 Service Fee).
Fixed Service Fee
If you set a fixed Service Fee of AED 10 on an AED 1,000 transaction, the customer will pay AED 1,010 (AED 1,000 + AED 10 Service Fee).
Enabling Service Fee
Use Service Fee to add a small fee to your customer Invoice, Link, or In-Person payments.
- Go to Settings and tap on your business
- Tap on Manage Service Fee
- Choose where you want to apply a Service Fee: Link, In-Person, or Invoice
- Select whether to apply a percentage-based or flat-rate Service Fee
- Enter the Service Fee amount and tap Save
- The Service Fee will now automatically be applied to all transactions made through the payment type where you enabled it
Important Considerations
Legal and Regulatory Compliance
Some regions have rules governing surcharge practices, so it’s important to confirm that adding a Service Fee is permitted in your jurisdiction. Always ensure that your approach to surcharging aligns with local and network regulations to avoid potential compliance issues.
Customer Experience
While passing on fees can help protect your bottom line, transparent communication with your customers is essential. Make sure they understand why the Service Fee is being added so you can prevent any confusion or dissatisfaction that could arise from unexpected charges.
Pricing Strategy
Deciding how much to charge as a Service Fee can be a balancing act between covering your costs and staying competitive. Experiment with different fee structures—from small flat fees to modest percentages—to find the optimal approach for both your business and your customers.