Top Ten States with Highest Swipe Fees
By Zena Tsarfin for Merchant Advocate
Credit card processing fees are an inescapable part of doing business. And though it’s well known that American-based businesses pay more in swipe fees than their European counterparts—what most people probably don’t realize is that even some states have higher swipe fees than others.
Many variables come into play. Recently, Forbes Advisor compiled a list, adjusting for things like inflation and cost of living. Their rankings are based on the total amount of fees paid statewide, as well the average swipe fee per capita and per transaction.
Not surprisingly, the vast state of California led in the total number of fees paid overall, at over $97 million. What is more surprising is some of the smaller states that made the list. While Hawaiian merchants paid significantly less in fees overall, they had by far the highest swipe fees per capita and transaction. Massachusetts had the second highest swipe fees per capita and per transaction, despite lower fees overall.
Top 10 Swipe Fees by State
1. California
Total in Swipe Fees Paid – $97,474,291.77
Swipe Fees Per Capita – $2.47
Swipe Fee Per Transaction – $0.24
2. Massachusetts
Total in Swipe Fees Paid – $19,058,468.49
Swipe Fees Per Capita – $2.73
Swipe Fee Per Transaction – $0.27
3. New York
Total in Swipe Fees Paid – $46,220,401.28
Swipe Fees Per Capita – $2.30
Swipe Fee Per Transaction – $0.23
4. Hawaii
Total in Swipe Fees Paid – $4,778,915.38
Swipe Fees Per Capita – $3.29
Swipe Fee Per Transaction – $0.33
5. Maryland
Total in Swipe Fees Paid – $13,495,908.71
Swipe Fees Per Capita – $2.19
Swipe Fee Per Transaction – $0.22
6. Washington
Total in Swipe Fees Paid – $16,104,301.90
Swipe Fees Per Capita – $2.11
Swipe Fee Per Transaction – $0.21
7. Oregon
Total in Swipe Fees Paid – $8,894,631.86
Swipe Fees Per Capita – $2.11
Swipe Fee Per Transaction – $0.21
8. Alaska
Total in Swipe Fees Paid – $1,681,632.73
Swipe Fees Per Capita – $2.28
Swipe Fee Per Transaction – $0.23
9. New Jersey
Total in Swipe Fees Paid – $19,352,564.08
Swipe Fees Per Capita – $2.10
Swipe Fee Per Transaction – $0.21
10. New Hampshire
Total in Swipe Fees Paid – $2,898,472.70
Swipe Fees Per Capita – $2.11
Swipe Fee Per Transaction – $0.21
Chart: The Top 10 States Most Affected by Swipe Fees in 2023
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