Fixed Acquiring Network Fee (FANF)

The Fixed Acquiring Network Fee (FANF) — also known as the Visa Acquirer Processing Fee — is a unique, recurring fee introduced by Visa in April 2012.

The FANF is designed to help offset the costs associated with upgrading and maintaining the extensive, robust Visa network that underpins millions of financial transactions every day.

This fee applies universally to all merchants that accept Visa cards, regardless of their size, industry, or the number of transactions they process. It’s important to note that the FANF varies and is calculated based on multiple factors. These factors include the following:

  • the merchant’s business size
  • the number of business locations
  • the volume of Visa transactions processed each month

The application of the FANF can sometimes be complicated, especially for large businesses with multiple locations, and can significantly impact the overall costs of accepting card payments, making it a crucial consideration for businesses.

Visa FANF Fees

In addition to the Fixed Acquiring Network Fee (FANF), merchants accepting Visa cards are also subject to various Visa network fees, further impacting the overall cost of card payment acceptance. These network fees are critical for maintaining the security, efficiency, and reliability of the Visa payment system. Among these, the Visa Acquirer Processing Fee and the Visa Assessment Fee are particularly notable.

The Visa Acquirer Processing Fee is charged for each transaction processed, depending on the method of transaction (e.g., swipe, chip, or online). This fee compensates for the direct costs associated with the technological infrastructure required to process card transactions safely and securely.

On the other hand, the Visa Assessment Fee is calculated as a percentage of the total transaction volume. This fee is designed to cover a broader range of services provided by Visa, including access to the Visa network, fraud monitoring, and the development of new technologies.

Both fees are integral components of the Visa ecosystem, ensuring that merchants can offer secure, reliable card payment options to their customers. Understanding these fees is crucial for businesses to manage their expenses effectively and make informed decisions regarding their card payment strategies.