Cost Plus Billing Launches, Offers ‘Interchange-Plus’ Solutions for CNP Merchants
Jan. 26, 2015
On Thursday, a new Florida-based company launched with a product aimed at simplifying credit-card acceptance costs for enterprise merchants and developers utilizing a recurring-billing model. Cost Plus Billing (CPB) will offer card-not-present companies using a subscription model access to a processing platform featuring “optimized interchange plus” pricing.
Interchange plus refers to a processing pricing model that adds a fixed markup to the interchange rates published by the major card networks. It generally is thought to be more transparent than other pricing methods employed by payment providers that bundle all processing costs into a blended discount rate paid by merchants. Cost Plus Billing said its solutions also will not require external gateways, which can incur additional gateway and transaction fees.
“There is more to recurring revenue management than just billing; a great deal of attention has been placed on that part of the process, while the critical need to manage the entire payment cycle has not really been addressed successfully by the current solutions in the market,” said Judd Dunagan vice president of Business Development for CPB. “We believe our Enterprise Payment Management Solutions will reduce costs, increase payment success rates, improve collections and impact overall revenue and profits.”