When processing online payments through FreshBooks Payments powered by Stripe, there is a transaction fee applied to each payment. Fees vary based on the payment method and card type and are charged only when a payment is processed. The transaction fee is taken out of each payment that is processed before being paid out.
All transaction fees are automatically logged as expenses in your FreshBooks account. You can also review your transaction fees directly in your Online Payments section. Transaction fees are not refunded if a refund is processed. We recommend checking your transaction fees on a regular basis, such as every 60 days.
Transaction Rates
| Payment | Fee |
| Standard credit and debit cards (Visa, Mastercard, Discover, and others) | 2.9% + $0.30 USD |
| Commercial, corporate, business, and American Express | 3.5% + $0.30 USD |
|
Managed Payments: | 3.5% + $0.30 USD |
| Bank Transfer (ACH) | 1% (caps available for Select plans) |
| Buy Now, Pay Later with Affirm | 6% + $0.30 USD |
| Buy Now, Pay Later with Afterpay | 6% + $0.30 USD |
For discounted rates, reach out to our Product Consultants
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Managed Payments - Applies to business-managed payment flows where payment is either processed automatically or initiated by the business rather than paid manually by the client when prompted
- Managed Payments includes additional infrastructure such as secure card storage, automatic card updates, smart payment retries, and stored credential compliance with card network rules
- Managed Payments includes additional infrastructure such as secure card storage, automatic card updates, smart payment retries, and stored credential compliance with card network rules
Associated Fees
| Other | Fee |
| Disputes and Chargebacks | $15 USD per dispute |
| Failed Bank Transfers (ACH) | $4 USD |
| Foreign Exchange Fee | +2% |
| International Card Fee | +1.5% |
| Instant Payouts | +1.5% |
| Refunds | Transaction fees are not refunded back to the owner |
- Foreign Exchange Fee - The invoice’s currency is different from your FreshBooks Payments’ account currency (USD or CAD)
- International Card Fee - The client’s payment is made with an international card issued outside your FreshBooks Payments’ account’s country (United States or Canada)
- Charging the credit card fee / transaction fee back to your clients is against some countries' and state laws (also known as a convenience fee, service fee or surcharge)
- If your business is based in Canada, review What are the transaction fees for FreshBooks Payments? (CAD)
Card Types
The card type used for payments processed through FreshBooks Payments determines which transaction fee is applied:
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Standard - Includes domestic consumer cards issued by Visa, Mastercard, Discover, and others)
- Consumer cards - Credit and debit cards issued to individuals
- Commercial, corporate, and business cards - Includes all card types issued under commercial, corporate and business, these cards are designed for business and organizations for business-related expenses (e.g., supplies, inventory, employee expenses)
