Fees
Overview
Clients, especially those who use the Nium One platform to embed the payment-oriented services from Nium into their products delivered to the end customers, have two ways to charge fees for the different kinds of services offered.
The platform also charges some account and transaction-specific fees. Once the fee structure is mutually accepted by Nium and the clients, then these are configured at the client level.
IMPORTANT
Check with the Nium legal and compliance team and get approval before charging any customer fees. Don't use Nium's Charge Fee API without explicit approval from Nium. Reach out to your account manager, or solution engineering teams at Nium for additional guidance. Any fees charged need to be disclosed in the required customer terms and conditions as determined by the Nium legal and compliance team.
Predefined fees
Clients can work with their program representatives to configure their fees as part of their account setup. The system automatically levies the fees to the customer, according to the defined logic. Refer to the table below for the predefined list of fees. Reach out to Nium customer support to have any of these fees defined for you. The list of predefined fees is updated from time to time as new features and capabilities are added to the platform.
The following are the types of fees and their definitions:
| Fee Name | Description |
|---|---|
ACCOUNT_OPENING_FEE | A one-time account opening fee that's charged when the customer is created. |
ACCOUNT_MAINTENANCE_FEE | A monthly fee that's charged for account maintenance at the start of the month for the present month. |
ACCOUNT_INACTIVE_FEE | A monthly fee that's charged for inactive accounts. |
PLASTIC_FEE | A one-time physical card issuance fee. |
REPLACEMENT_FEE | A one-time physical card replacement fee. |
VIR_CARD_FEE | A one-time virtual card issuance fee. |
ADDON_CARD_FEE | A per-transaction fee that's charged for each ADD_ON card issuance. |
TRANSACTION_MARKUP | Nium charges a markup fee on each transaction if the transaction currency isn't the same as the authorization currency. |
ATM_FEE | A per-transaction fee that's charged on an ATM transaction. |
INTERNATIONAL_ATM_FEE | A per-transaction fee that's charged on international ATM usage. |
ATM_DECLINE_FEE | A per-transaction fee that's charged on an ATM transaction decline. |
NON_ATM_DECLINE_FEE | A per-transaction fee that's charged on a non-ATM transaction decline such as when a merchant category code isn't equal to 6011. |
ECOM_FEE | A per-transaction fee that's charged on e-commerce and online transactions. |
P2P_FEE | A fee that's charged per fund transfer between two customers under the same or a different client program. |
POS_FEE | A per-transaction fee that's charged on a point-of-sale transaction. |
WALLET_REFUND_FEE | A per-transaction fee that's charged on a wallet refund. |
WALLET_CREDIT_THIRD_PARTY_FEE | A per-payin-transaction fee that's charged when the customer—the account holder—isn't the remitter. |
WALLET_CREDIT_OFFLINE_FEE | A per-payin-transaction fee that's charged when the customer—the account holder—is the remitter. |
WALLET_CREDIT_CARD_FEE | A fee that's charged for crediting funds into the wallet using a card. |
REMIT_BANK_FEE | A per-transaction fee that's charged on a remittance transaction when payoutMethod = LOCAL. |
REMIT_BANK_FEE_SWIFT | A per-transaction fee that's charged on a remittance transaction when payout Type = SWIFT and swiftFeeType = SHA. |
REMIT_BANK_FEE_SWIFT_OUR | A per-transaction fee that's charged on a remittance transaction when payoutType = SWIFT and swiftFeeType = OUR. |
REMIT_WALLET_FEE | A per-transaction fee that's charged on a remittance transaction when payoutType = WALLET. |
REMIT_CARD_FEE | A per-transaction fee that's charged on a remittance transaction when payoutType = CARD. |
REMIT_PROXY_FEE | A per-transaction fee that's charged on a remittance transaction when payoutType = PROXY. |
FX_MARKUP | A foreign exchange (FX) markup fee that's applied on the exchange rate used for the below transactions: |
FX_MARKUP_AUTO_SWEEP | An FX markup fee that's applied to the exchange rate used for automatic sweep transactions. |
FX_MARKUP_SETTLE_IMMEDIATE | An FX markup fee that's applied to the exchange rate used for immediate settled conversions, when conversionSchedule = immediate |
FX_MARKUP_SETTLE_ENDOFDAY | An FX markup fee that's applied to the exchange rate used for conversions settled by 5pm UTC on the same day, when conversionSchedule = end_of_day |
FX_MARKUP_SETTLE_NEXTDAY | An FX markup fee that's applied to the exchange rate used for conversions settled by 5pm UTC on the next business day, when conversionSchedule = next_day |
FX_MARKUP_SETTLE_2DAYS | An FX markup fee that's applied to the exchange rate used for conversions settled by 5pm UTC two business days after initiating, when conversionSchedule = 2_days |
FX_MARKUP_LOCK_5MINS | An FX markup fee that's applied to the exchange rate to lock it for 5 mins, when lockPeriod = 5_mins |
FX_MARKUP_LOCK_15MINS | An FX markup fee that's applied to the exchange rate to lock it for 5 mins, when lockPeriod = 15_mins |
FX_MARKUP_LOCK_1HOUR | An FX markup fee that's applied to the exchange rate to lock it for 1 hour, when lockPeriod = 1_hour |
FX_MARKUP_LOCK_4HOURS | An FX markup fee that's applied to the exchange rate to lock it for 1 hour, when lockPeriod = 4_hours |
FX_MARKUP_LOCK_8HOURS | An FX markup fee that's applied to the exchange rate to lock it for 1 hour, when lockPeriod = 8_hours |
FX_MARKUP_LOCK_24HOURS | An FX markup fee that's applied to the exchange rate to lock it for 1 hour, when lockPeriod = 24_hours |
Custom fee
At times, clients might find it convenient and flexible to charge a fee that's not already a part of the list of standard predefined fees. For instance, clients could use this approach to charge a monthly subscription fee or to charge a fee based on the inward payment option used. Clients can use the Charge Fee API to charge the custom fee to the account holder's wallet in any of the currencies enabled in the account holder's wallet. The system handles the fee processing, in terms of accounting, in the same way it handles the predefined fee. The collected fees can later be adjusted as part of the client's regular invoicing.
Customer specific fee
Fees are generally configured during the Client set up process in NIUM. Some Clients might want to offer differentiated fees to some of their customers as per their business requirement. NIUM offers the following APIs for Clients to manage their customer specific fees:
Add Customer Fees allows to configure a fee for a particular customer.
Update Customer Fees allows to update any parameter of an already configured customer specific fees.
Get Customer Fees allows to retrieve all fees configured for a customer.
A new label feeSetupLevel has been introduced for the Fee_Debit transaction type. The possible values of label are CLIENT and CUSTOMER. If the fee was levied basis fee defined during fees set up process for the Client, then the value will be CLIENT. If the fee was levied basis fee defined at the Customer level, then the value will be CUSTOMER.
Fee types which are applicable for configuring at the customer level are mentioned below:
| Product | Fee Override for a Customer | Fee Type |
|---|---|---|
| Payout | Allowed | REMIT_BANK_FEE, REMIT_BANK_FEE_SWIFT, REMIT_BANK_FEE_SWIFT_OUR, REMIT_CARD_FEE, REMIT_PROXY_FEE, REMIT_WALLET_FEE |
| PayIn | Allowed | WALLET_CREDIT_CARD_FEE, WALLET_CREDIT_OFFLINE_FEE, WALLET_CREDIT_THIRD_PARTY_FEE, WALLET CREDIT DIRECT DEBIT FEE |
| FX | Allowed | FX_MARKUP, FX_MARKUP_AUTO_SWEEP, FX_MARKUP_AUTO_SWEEP_EOD, FX_MARKUP_AUTO_SWEEP_RECEIVE, FX MARKUP LOCKANDHOLD 1,FX_MARKUP_LOCK_5MINS, FX_MARKUP_LOCK_15MINS, FX_MARKUP_LOCK_1HOUR, FX_MARKUP_LOCK_4HOURS, FX_MARKUP_LOCK_8HOURS, FX_MARKUP_LOCK_24HOURS, FX_MARKUP_SETTLE_IMMEDIATE, FX MARKUP SETTLE 2DAYS, FX MARKUP SETTLE NEXTDAY, FX MARKUP SETTLE ENDOFDAY, FX_MARKUP_CANCELLATION, FX_MARKUP_REVERSAL |
| Issuance | Not Allowed | |
| Others | Allowed | P2P_FEE, WALLET_REFUND_FEE,TRANSACTION_MARKUP, |
This feature is not enabled by default. Check with legal and compliance to get approval for enabling this feature during the set up process in NIUM.
Note
Disclosure :In order to comply with any disclosure requirements under applicable law, you need to ensure that a higher fee is not charged than what is set forth in the latest disclosures received by your customer.
Notice period for fee variations: Generally, 30 days notice should be provided to your customers whenever there is a fee variation. For EU, 60 days’ notice is required for micro/consumer end customers.
Frequency of fee variations: Generally, fee changes should not be done so frequently as to cause the customer a bad outcome.Fee markups: Generally, prices charged to the end customer must be of fair value.
This feature can be offered only to the corporate type of customers.
This feature can’t be offered to the Clients in the HK and UK regulatory regions.
Updated 6 months ago