Where spread appears
Dynamic currency conversion, settlement FX, and payout FX may each apply separate spreads.
Transparency
Merchants should compare all-in FX cost, not only headline transaction fees.
Sources
FAQ
No. Interchange compensates issuers; FX spread reflects conversion pricing from banks or processors.
Related terms
Explore related definitions
Address Verification Service (AVS)
Address Verification Service (AVS) compares the billing address submitted at checkout with the address on file at the card issuer to flag mismatches that may indicate fraud.
Cross-Border Payment
A cross-border payment is a transaction where the payer, merchant, acquirer, or settlement currency spans different countries, triggering FX conversion, local method requirements, and compliance checks.
Card Verification Value (CVV)
Card Verification Value (CVV) is the three- or four-digit security code printed on a payment card, used to verify that the customer likely possesses the physical or virtual card during checkout.
Payment Orchestration
Payment orchestration is the practice of routing each transaction through the optimal acquirer, method, or gateway path based on rules such as cost, authorization rate, geography, and redundancy requirements.
Interchange Fee
An interchange fee is a variable cost paid from the merchant acquirer to the card issuer for each card transaction, set by card networks and influenced by card type, region, and merchant category.
PCI DSS
PCI DSS is the Payment Card Industry Data Security Standard—a set of security controls merchants and service providers must follow when storing, processing, or transmitting cardholder data.
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Forex payment gateway
Trader deposits and withdrawals for licensed forex and CFD platforms.
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