The small business group has, however, noted that not all processors have been clear that they’ll pass on the savings, pointing for example to Stripe where not all customers will see a change.
Kelly said Stripe’s decision means the company would keep the savings that were intended for small business customers.
“It’s extremely disappointing to see a big company take this approach,” he said.
Stripe says customers on its Interchange Plus plan, which sees costs vary by transaction type, will see the fee reductions passed through, just like other network cost and fee changes.
But those on its flat-rate plan won’t see a change, because the company says it has seen other costs and fees rise that add up to more than the reduction in interchange fees.
Other processors such as Moneris have said that qualifying businesses on both its interchange plus and flat rate model will see a reduction.
Government expects processors to pass on savings
Finance Ministry spokeswoman Marie-France Faucher said the fee reduction should benefit about 90% of businesses that accept credit cards, and the department expects companies to pass on the savings.
“The federal government is closely monitoring the implementation of the credit card fees reduction, with the strong expectation that all payment processors like Stripe will pass the savings on to small businesses.”
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