The Dentalpreneur Podcast w/ Dr. Mark Costes 2503: Why Merchant Fees Are Draining Dental Practices
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May 6, 2026 Chris Sands, co-founder of Crown Card Services and Pro‑Fi, helps dental practices cut payment processing costs. He explains how merchant fees erode profitability and valuation. They discuss compliant surcharging to recover most card fees, differences between rates and fees, state limits and PPO contract workarounds. Practical onboarding, integration pitfalls, and real-world savings are covered.
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Know Interchange And Assessment Are Fixed
- Card processing costs split into percentages (interchange and assessment) and processor/flat fees; interchange ranges roughly 1.3–3.25% and assessments 0.11–0.14%.
- Combined network charges alone typically equal ~1.41% to 3.39% before processor markup and rewards cards push rates higher.
Audit And Fix PCI Compliance Fees
- Audit recurring statement fees like PCI compliance, which often get buried and spike to $30–$50/month.
- Chris says most practices are out of compliance and can save roughly $50/month by fixing or negotiating PCI charges.
Legal And Network Limits On Surcharging
- State laws and card network rules limit or ban surcharges: four states ban them and networks cap surcharges (Visa 3%, MasterCard 4%).
- Colorado limits surcharges to 2%, so surcharging may not fully offset fees depending on your card mix.