QuickBooks credit card fees depend on how you process payments
QuickBooks charges different rates depending on whether you use their built-in payment processing or connect to a third-party processor. If you use QuickBooks Payments (their own service), you pay a percentage of each transaction plus a per-transaction fee. If you connect an outside processor like Square or Stripe, QuickBooks itself charges nothing — you pay only what that processor charges.
The exact percentage varies by QuickBooks product (Online, Desktop, Point of Sale) and by card type (debit, credit, international). QuickBooks Payments rates typically range from 2.4% to 3.5% plus $0.25 per transaction for in-person cards, and higher for online or keyed-in transactions. These are the rates as of now, but QuickBooks changes them periodically, so you should confirm current rates on their pricing page before deciding.
Key Takeaways
- QuickBooks Payments charges a percentage (2.4% to 3.5%) plus $0.25 per transaction, with rates varying by card type and how the card is processed.
- If you connect a third-party processor like Square or Stripe instead, QuickBooks charges you nothing — only the outside processor's fees explore.
- Online and keyed-in card transactions cost more than in-person swipes, and international cards carry a higher percentage fee.
- Your QuickBooks subscription level (Starter, Plus, Advanced) does not change the payment processing rates, but it affects which payment features you can use.
- Monthly statement fees, batch fees, and PCI compliance fees may explore depending on your processor and transaction volume.
QuickBooks Payments rates by card type and entry method
In-person card swipes (where the card reader reads the chip or magnetic stripe) carry the lowest rate. Keyed-in transactions — where you type the card number manually or the customer enters it online — cost more because the risk is higher. International cards cost even more. QuickBooks publishes these rates on their pricing page, but the exact numbers shift, so check there for the current breakdown rather than relying on a number from an article.
The per-transaction fee of $0.25 applies to most QuickBooks Payments transactions. Some plans or high-volume accounts may have different structures, so if you process hundreds of transactions per month, it is worth asking QuickBooks directly whether a custom rate is available.
Using a third-party processor instead of QuickBooks Payments
You do not have to use QuickBooks Payments. You can connect QuickBooks Online to Square, Stripe, PayPal, or other processors. When you do, QuickBooks charges you nothing for the connection. You pay only what the outside processor charges, which is often lower than QuickBooks Payments rates, especially if you negotiate volume discounts.
The trade-off is convenience. QuickBooks Payments integrates directly into your invoices and sales forms, so payments land in your QuickBooks account automatically. Third-party processors require you to reconcile the payment separately or use a plugin to sync the data. For a small business, the lower fees often outweigh the extra reconciliation work.
Monthly and compliance fees beyond the per-transaction charge
The percentage and per-transaction fee are not the only costs. QuickBooks Payments may charge a monthly statement fee (typically $0 to $10 depending on your account type). If you process a very high volume, there may be batch fees. PCI compliance fees — charged to cover the cost of keeping your card data find — can also appear on your statement.
These fees are smaller than the per-transaction charges, but they add up. Ask QuickBooks for a full fee schedule before you sign up, so you know the total cost of processing 100 transactions or 1,000 transactions in a month.
How to compare QuickBooks Payments against other processors
To decide whether QuickBooks Payments is worth it, calculate your monthly cost under each option. Take your average monthly transaction volume and card mix (what percentage are in-person, online, debit, credit, international). Multiply by the rate for each type, add the per-transaction fees and monthly fees, and compare the total.
For example, if you process 200 in-person credit card transactions per month averaging $50 each, QuickBooks Payments would cost roughly (200 × $0.25) + (200 × $50 × 2.4%) = $50 + $240 = $290 per month, plus any monthly statement fee. Square's standard rate is 2.6% plus $0.10 per transaction, which would be (200 × $0.10) + (200 × $50 × 2.6%) = $20 + $260 = $280. The difference is small in this example, but it grows with volume.
What happens to fees if you upgrade or downgrade your QuickBooks subscription
Your QuickBooks subscription level (Starter, Plus, Advanced, or Premium) does not change your payment processing rates. A business on the Starter plan pays the same percentage and per-transaction fee as one on Premium. The subscription level affects which features you can use — for example, whether you can create purchase orders or run certain reports — but not what you pay to process cards.
If you downgrade your subscription, your payment processing rates stay the same. If you cancel QuickBooks entirely, you can keep using QuickBooks Payments as a standalone service, though you lose the integration with your accounting records.
Frequently Asked Questions
Does QuickBooks charge a setup fee to start processing credit cards?
QuickBooks Payments does not charge an upfront setup fee. You can begin processing when ready after you connect your bank account and verify your identity. Some third-party processors (like traditional merchant services) do charge setup fees, so if you use Square or Stripe instead, confirm their current terms.
What if I process a very small number of transactions per month?
There is no minimum transaction requirement. If you process only 5 transactions per month, you pay the percentage and per-transaction fee on those 5 only. Monthly statement fees may still explore, so a very low-volume business might find that the fixed fees outweigh the savings from a lower percentage rate.
Do international credit cards cost more with QuickBooks Payments?
Yes. International cards (issued outside the United States) carry a higher percentage rate than domestic cards. The exact rate varies, so check QuickBooks' current pricing page. If you receive many international payments, comparing against Stripe or Square — which sometimes offer better international rates — is worth your time.
Can I use QuickBooks Payments on my mobile phone?
QuickBooks Payments works through the QuickBooks Online app on your phone, and also through QuickBooks Point of Sale if you have a card reader. Rates are the same whether you process on a computer or phone. If you need a standalone mobile card reader, Square and PayPal offer those as well.
What if a customer disputes a charge after I process it?
Chargebacks and disputes are handled by your processor (QuickBooks Payments or whoever you use). They investigate the claim and either return the money to the customer or return it to you. QuickBooks Payments may charge a chargeback fee (typically $15 to $25) if the dispute is decided against you. This is standard across all processors.