Why Do Businesses Add Surcharges to Credit Card Transactions?

Credit card processing fees can take a big bite out of profits, especially for small businesses or those with tight margins. These fees typically range from 1.5% to 3.5% per transaction, depending on the card type. Adding a surcharge helps businesses offset these costs without increasing prices for everyone, ensuring that only credit card users or users of premium cards pay for the convenience of using their cards.