A method for merchant processing called dual pricing enables firms to accept credit cards for much less money, or even free of charge. Customers who choose to pay using credit cards incur an additional fee to cover the processing costs associated with providing merchant services on behalf of the company. Customers who want rewards from their banks must pay the extra costs. Dual pricing was introduced previously in the the credit card processing industry and is now more readily available to organizations as a result of technological advancements and increased processing cost transparency.

You, the merchant, determine how much the cash value for each product or service you provide on your pricing list. If you add an additional 4% to your cash value that will then be your credit price which can be done by your POS system. This difference between the credit and cash price alleviates the costs for the business owner’s processing and program fees. At the point of checkout for your customers, your POS system keeps track of the total cash and credit value. When your customers chooses an option, the POS system then prints the itemized receipt with the corresponding prices.