How to Detect if Your PSP is Overcharging Transaction Fees

Quick Answer

PSP fee overcharging is common in the UAE, with businesses losing 2-5% of revenue to hidden fees. ReconcileOS automatically validates every transaction fee, detects overcharges, and provides detailed fee analysis to ensure you're paying the correct rates for Network International, Magnati, Stripe, and other processors.

This guide is for UAE businesses who suspect they're being overcharged by payment processors and want to validate their transaction fees automatically.

Why PSPs Overcharge Transaction Fees

Payment processors in the UAE often charge hidden fees through:

Complex Fee Structures: Multiple fee types (processing, gateway, monthly, setup)
Currency Conversion: Hidden FX markup on international transactions
Volume Discounts: Not applying promised rates for transaction volume
Fee Calculation Errors: Incorrect rate application or rounding errors

Common Hidden Fees in UAE PSPs

Watch out for these overcharging tactics:

Network International: Additional settlement fees, currency conversion markup
Magnati: Hidden gateway fees, monthly minimum charges
Stripe: International card fees, currency conversion costs
PayPal: Cross-border fees, currency conversion markup
PayTabs/Telr: Setup fees, monthly maintenance charges

How ReconcileOS Detects Fee Overcharging

ReconcileOS provides automated fee validation that catches overcharges:

1. Real-Time Fee Analysis

Every transaction is validated against:

Agreed fee rates and structures
Volume discount thresholds
Currency conversion rates
Card type and processing fees

2. Automated Overcharge Detection

Instant alerts for:

Fee rate discrepancies (>0.1% variance)
Unexpected fee types or charges
Currency conversion markup overcharges
Volume discount application failures

3. Detailed Fee Breakdown

Complete transparency showing:

Base processing fees
Gateway and setup charges
Currency conversion costs
Volume discount applications

UAE-Specific Fee Validation Features

ReconcileOS handles UAE payment complexities:

AED Currency Support: Local currency fee validation
VAT Compliance: Fee VAT calculation verification
Local Acquirer Rates: Network International and Magnati rate validation
Regulatory Compliance: UAE Central Bank fee structure compliance

ROI of Fee Validation

UAE businesses using ReconcileOS save:

2-5% of revenue from overcharge detection
10+ hours monthly on manual fee analysis
100% accuracy in fee validation
Immediate refunds for detected overcharges

Stop Overpaying on Fees

Don't let hidden fees eat into your profits. ReconcileOS automatically validates every transaction fee and catches overcharges instantly.

Validate Your Fees Now

Fee Validation Process

Get fee validation running in 3 steps:

Connect PSPs (1 day): Integrate all your payment processors
Set Fee Rules (1 hour): Configure expected fee rates and structures
Monitor (Ongoing): Automatic validation and overcharge alerts

Common Overcharge Scenarios

ReconcileOS catches these issues:

Rate Creep: Gradual fee increases without notice
Volume Discount Failures: Not applying promised discounts
Currency Markup: Excessive FX conversion charges
Double Charging: Duplicate fees on same transaction

Protect your revenue with automated fee validation that never misses an overcharge.

Ready to Simplify Your Financial Reconciliation?

Join hundreds of businesses that have streamlined their financial operations with ReconcileOS