Hybrid Surcharging for Dealerships Many auto dealers have moved to a surcharging model, where the customer pays the fee for credit card processing — and in some cases, debit card processing too. But dealerships that adopted surcharging early are often being overcharged without realizing it. The problem with first-generation surcharging When surcharging was new, processors […]

dealership credit card processing

Quantifying Interchange Leakage in Dealership P&Ls **For CFOs and Controllers: Credit card processing is no longer a back-office utility; it is a material line-item risk directly impacting EBITDA and enterprise valuation.** In the current automotive cycle, where net profit margins are contracting due to inventory costs and labor inflation, unoptimized interchange fees represent a significant, […]