Do You Earn Rewards on Payment Processing Fees?
Why processing fees earn nothing
When a customer pays you and the processor takes its cut, that fee is netted out of your deposit before the money reaches your bank. You never swipe a card to pay it, so there is no purchase for a card to reward. This is fundamentally different from a fee you actively pay by card, which would earn the base rate.
What you can earn on instead
You earn rewards on the things you actively buy for the business, hardware, software, supplies, advertising, not on the processing fees skimmed from sales. Focus your card strategy on those real purchases, using a business card where it makes sense, as with advertising and web hosting.
The bigger picture
Since processing fees are unavoidable and unrewardable, the way to help your bottom line is to shop for a lower processing rate, not to try to earn points on the fee. Put your rewards effort into the purchases you control, and value those points at a flat 1 cent. See earners in best cash back cards.
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