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Kuda POS: Transaction Fees
Kuda POS: Transaction Fees
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Written by Nosa O
Updated over 3 months ago

When you're running a business, every naira counts. That's why we want to be crystal clear about our transaction fees. Let's break it down by payment method and show you how it works in real life.

Pay With Transfer

The fee: ₦0 (Yes, you read that right!)

What does this mean for you? Let's look at some examples:

  1. Small transfer: Your customer transfers ₦1,000

    • Fee calculation: ₦0

    • You pay: ₦0 in fees

  2. Medium transfer: Someone pays you ₦50,000

    • Fee calculation: ₦0

    • You pay: ₦0 in fees

  3. Large transfer: A customer makes a ₦1,000,000 transfer

    • Fee calculation: ₦0

    • You pay: ₦0 in fees

No matter the amount, you keep every kobo when customers pay via transfer!

Pay With Kuda

The fee: 0.1% of the transaction amount, capped at ₦100.

What does this mean for you? Let's look at some examples:

  1. Small purchase: Your customer buys airtime worth ₦1,000

    • Fee calculation: 0.1% of ₦1,000 = ₦1

    • You pay: ₦1 in fees

  2. Medium purchase: Someone buys goods worth ₦50,000

    • Fee calculation: 0.1% of ₦50,000 = ₦50

    • You pay: ₦50 in fees

  3. Large purchase: A customer makes a ₦200,000 transaction

    • Fee calculation: 0.1% of ₦200,000 = ₦200, but remember the cap!

    • You pay: ₦100 in fees (because of the ₦100 cap)

Pay With USSD

The fee: 1.5% of the transaction amount, capped at ₦2,400.

Here's how it plays out:

  1. Small purchase: A customer buys snacks for ₦500

    • Fee calculation: 1.5% of ₦500 = ₦7.50

    • You pay: ₦7.50 in fees

  2. Medium purchase: Someone pays ₦20,000 for services

    • Fee calculation: 1.5% of ₦20,000 = ₦300

    • You pay: ₦300 in fees

  3. Large purchase: A big sale of ₦200,000

    • Fee calculation: 1.5% of ₦200,000 = ₦3,000, but there's a cap!

    • You pay: ₦2,400 in fees (because of the ₦2,400 cap)

Pay With Card

The fee: 0.5% of the transaction amount, capped at ₦1,000.

Let's see how this works:

  1. Small purchase: A customer buys a drink for ₦300

    • Fee calculation: 0.5% of ₦300 = ₦1.50

    • You pay: ₦1.50 in fees

  2. Medium purchase: Someone buys clothes for ₦15,000

    • Fee calculation: 0.5% of ₦15,000 = ₦75

    • You pay: ₦75 in fees

  3. Large purchase: A customer makes a ₦300,000 payment

    • Fee calculation: 0.5% of ₦300,000 = ₦1,500, but remember the cap!

    • You pay: ₦1,000 in fees (because of the ₦1,000 cap)

Things to Remember

  1. Transfers are free: Receiving payments via transfer costs you nothing, no matter the amount!

  2. The cap is your friend: No matter how big the transaction, you'll never pay more than the cap amount for each payment method.

  3. Pay With Transfer and Pay With Kuda are most cost-effective: If your customers can use these, they're the cheapest options for you.

  4. Fees are automatically deducted: You don't need to calculate or pay these separately. We'll handle it all for you.

  5. Transparency is key: We believe in being upfront about our fees. If you ever have questions, just ask!

By understanding these fees, you can make informed decisions about which payment methods to encourage and how to price your goods or services. Remember, we're here to help your business grow, so if you have any questions about our fees or anything else, don't hesitate to reach out!

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