Mastercard Standard Interchange Downgrade
An interchange “downgrade” happens when a credit card transaction doesn’t meet requirements for a preferred interchange category.
An interchange “downgrade” happens when a credit card transaction doesn’t meet requirements for a preferred interchange category.
Mastercard’s Universal Cardholder Authentication Field (UCAF) interchange categories determine the interchange fees a business pays if it uses Mastercard SecureCode.
Restaurants that accept Mastercards may see specific restaurant interchange fees or general fees. That’s because Mastercard has restaurant-specific categories for some cards, but not others.
Merit 1 (or Merit I) is a set of Mastercard interchange categories that dictate the rates for certain Mastercard payments.
Enhanced Merit 3 is a Mastercard interchange category.
Merit 3 (or Merit III) is a Mastercard interchange category that determines credit and debit card processing fees.