Similar to Merchant Interchange Plus, Partner Interchange Plus (IC+) is a way for WePay to offer you a more transparent pricing structure. Partner Interchange Plus calculates the wholesale cost of payment processing and our processor markups. In pricing models such as blended pricing (e.g.: 2.9% + $0.3); you don't get that level of visibility.
Partner IC+ is a negotiation between you and WePay, whereas Merchant IC+ is a negotiation between you and your merchant.
Use this guide if your signed contract with WePay indicates that your platform has access to the Partner IC+ feature.
With blended rate pricing, we charge you a standard fee across all transactions. Instead, Partner IC+ is based on the exact interchange fees per transaction plus our processing fees.
Partner IC+ breaks down fees into the following categories:
- Interchange fees from issuing banks
- Fees & assessments charged from the card network
- Processor Markup where Markup = X% + Y¢ (a percentage fee and a per transaction fee)
Interchange and assessment fees are calculated directly by card networks and banks.
The pricing of markup fees will be defined in your contract with WePay.
Once your contract has been signed with the appropriate pricing details, that pricing will be applied to your WePay application and Partner IC+ will go into effect.
For the first few billing cycles, we will manually monitor and validate your pricing. During this time, work with your WePay integration team or technical account manager to resolve any questions that may come up.
The below sections outline how Partner IC+ works with merchants on blended pricing and merchants on Merchant IC+.
When you have merchants on blended pricing, you will be charged an estimated individual transaction fee at the time of the transaction. Each month, we will then calculate the actual IC+ fees and settle any differences between the estimated fees and the actual fees.
When you have merchants on Merchant IC+, we will bill your merchant according to the actual transaction fees. We will then subtract your Partner transaction fees from the total fee amount, and you will pocket the difference at the end of the billing cycle.
Unlike when your merchants are on blended pricing, you will not be charged any fees or receive any profit at the time of each individual transaction. Instead, you will receive revenue from your platform fees at the end of each billing cycle.
For example, let's say your merchant had a $100 transaction in Tier One (T1). This transaction had interchange and assessment fees of $3, and your platform's processing fee markup was $2. At the beginning of the next month, we will debit $5 from the merchant's bank account.
On the Partner IC+ side of this same transaction, your bill would contain the same $3 fee for interchange and assessments. If WePay's processing markups were $1, then that would bring your total Partner IC+ bill to $4.
Finally, we would subtract the $4 Partner IC+ bill from the $5 Merchant IC+ bill, leaving $1 in revenue for your platform. You would see this amount settled in your monthly billing statement.
We evaluate your average total processing volume based on the time period determined in your contract. For example, if your contract states a 3 month period, we will evaluate your total processing volume over the past 3 months to determine the tier you fall into for the current month's billing cycle.
We will provide a transaction level report for each billing cycle in Partner Center on the 5th of the following month. We will store reports for up to 24 months. If a reporting error occurs, the remedial report will replace the incorrect report, which can then be re-downloaded.
Your billing statement will look something like this: