Mobile card payment provider iZettle today lowered its transaction rate to a fixed 1.75% for all new customers in the UK.
Previously, iZettle used a sliding scale that started from 2.75% and went down all the way to 1.00% depending on monthly revenue.
iZettle’s newest card reader costs £59 (or £29 for Mobile Transaction readers here).
First-generation iZettle Reader.
Sources inside the Swedish company, speaking on condition of anonymity as they were not authorised to comment, say the sliding scale proved difficult for many customers to understand, especially as it was based on a rebate system where the full 2.75% was charged first and the difference credited to the account later. Relatively few customers had a rate lower than 1.75%, Mobile Transaction was told.
iZettle’s move follows a day after SumUp, its main competitor in Europe and charging 1.69% in the UK, announced expansion to 15 new markets.
Learn more: iZettle review
