Do restaurants pay more to process cards?

Not always, but tips, keyed orders and small tickets can change the cost. Your statement and agreement show what applies to you.

Why do tips matter for processing?

Tips are added after the initial authorization, so ask your processor how adjustments are settled and whether any fees apply.

Should I check my POS contract?

Yes. Look at the term, lease, software fees and cancellation rules, which may be separate from processing fees.

Industry GuidesNovember 7, 20265 min read

Restaurant Card Processing Fees: What to Look For

Restaurants have tips, pre-authorizations and busy-hour hardware needs that change what card processing costs. Here is what to check on your statement.

By ONKORE Team

Illustration for Restaurant Card Processing Fees: What to Look For

Why restaurants are different

A restaurant card sale is not always one simple charge. Tips are added after the card is swiped, tables run tabs, and many orders come in by phone or online. Each of these can change which fees apply.

Things that can affect your costs

Tips. The amount can change after authorization. Ask how your system handles tip adjustments and whether this affects fees.
Pre-authorizations and tabs. Some systems authorize a bar tab first and settle later. Ask how these appear on your statement.
Online and phone orders. Keyed and online sales usually cost more than card-present sales. See how markups differ by channel.
Small tickets. A fixed per-transaction fee is a larger share of a small check. Look at your fixed fees carefully.
Chargebacks. Disputed tabs and delivery orders can lead to chargebacks. See reducing chargebacks.

Hardware and POS

Restaurant POS systems often come with software fees, hardware leases or contracts. Before you sign, ask:

Is the POS price separate from processing, or bundled?
Can you use your own processor, or are you tied to one?
What are the lease term and cancellation rules?

Our restaurant POS buying guide covers this in more depth.

Reading a restaurant statement

Check your effective rate month to month, and compare card-present and keyed volume. If a line is new, ask for a written explanation. See why did my fees go up.