As a merchant, you will often accept payments in a foreign currency. For example, a retail store may swipe an international card if a tourist makes a purchase, or an e-commerce site may accept orders placed by a customer from another country.
Whenever a foreign transaction occurs, there is always a surcharge. The difference lies in which party is responsible for paying that fee, and that depends on the way that the merchant account was set up.
The MCC (Multi-Currency Conversion) setup is utilized for e-commerce merchants, and the merchant assumes responsibility for the international fees.
The DCC (Dynamic Currency Conversion) setup is used for card-present transactions, and the customer will pay for the surcharges. In this case, customers are made aware of the surcharges before completing the transaction. It will also inform the customer of the total cost of their purchase in their native country’s currency.
Regardless of whether the account is set up for MCC or DCC, merchants are always funded in their country’s currency.
MCC and DCC options are available to Fidelity merchants processing with Elavon. Please note that both MCC and DCC are only available for Visa and Mastercard.
For more information, please feel free to reach out to our payments structure experts at (718) 782-2823.