by Ben Dwyer CPS Retail 2 Card Not Present is a Visa interchange category that is used to calculate interchange fees for transactions involving a debit or prepaid card for some businesses that accept cards in a manner other than swiping.
Historically, this interchange category applied to credit cards as well. As of 2023, there are no CPS Retail 2 Card Not Present interchange categories for credit cards; it only applies to debit and prepaid cards, as follows.
Interchange rate & fee (debit): 0.65% + $0.15*, with a $2.00 cap.
Interchange rate & fee (prepaid): 0.65% + $0.15, with a $2.00 cap.
*Regulated debit card transactions (that is, transactions using a card issued by a bank with $10 billion or more in assets) are subject to the regulated debit interchange cap. That is currently set at 0.05% + $0.22.
Also known as:
RTL2 CNP
CPS Retail 2 is a Visa interchange category that is used to calculate interchange fees for transactions involving a prepaid card or debit card for certain business types.
Qualification criteria:
The CPS Retail 2 interchange category will apply under the following conditions:
- Authorization is obtained on the same day as the transaction
- The transaction meets enhanced data requirements
- The transaction meets requirements for one of the following CPS programs: Retail, Retail Key Entry, Card Not Present, E-Commerce Basic, or E-Commerce Preferred
- The transaction is settled within 3 days (excluding Sundays and holidays) for mail, phone, and face to face transactions. (All other transactions must be settled within 2 days excluding Sundays and holiday.)
- The business is classed with a valid Merchant Category Code (MCC)
Eligible Merchant Category Codes:
The CPS Retail 2 interchange category applies to the following merchant category codes (MCCs):
- 9211 (Court Costs)
- 9222 (Fines – Gov’t)
- 9399 (Gov’t Services)
- 8211 (Elementary/Secondary Schools)
- 8220 (Colleges/Universities)
- 8299 (Education Services)
- 5960 (Direct Marketing – Insurance Services)
- 5968 (Direct Marketing – Subscriptions)
- 5983 (Fuel Dealers)
- 6300 (Insurance Underwriting)
- 4899 (Cable/Satellite and other Pay TV & Radio (debit & prepaid only)
- 8351 (Child Care)
- 8398 (Charities – debit & prepaid only)
- 7800 (Government Owned Lotteries)
Typical bundled qualification:
Although qualifications for transactions vary, many processors class the CPS Retail 2 interchange category as “qualified” for transactions processed by card-present and card-not-present businesses.
