Why Passing Processing Fees to Customers Protects Your Profit Margin

Every credit card transaction comes with a processing fee — and if your business absorbs that cost on every payment, it adds up quickly. ThryvPay® gives you two tools to offset these costs: a Convenience Fee and a Surcharge. Both options allow you to pass some or all of the processing cost to clients who pay by credit card, so your payment revenue stays closer to your invoice total. Setup takes just a few minutes and the fee is applied automatically to every eligible transaction after that.

Convenience fees and surcharges are available exclusively through ThryvPay — they are not available with other payment gateways such as Square, Stripe, or PayPal. Only one option can be active at a time. Before enabling a surcharge, confirm that surcharges are legal in your area — they are restricted in some locations. Details are covered in the FAQ section below.

How to Enable a Convenience Fee or Surcharge in ThryvPay

To access the convenience fee and surcharge settings, click ThryvPay in the left-hand navigation of Thryv Business Center™, then click Settings.

The screenshot above shows the ThryvPay Settings screen in Thryv Business Center. The left-hand navigation shows ThryvPay selected, with Settings visible in the submenu. The Offset Credit Card Fees section where convenience fee and surcharge options are configured is located on this settings screen.

Scroll down the ThryvPay Settings screen to the Offset Credit Card Fees section. In this section, you can enable either a Convenience Fee or a Surcharge. Only one option can be active at a time — you cannot charge both a convenience fee and a surcharge simultaneously.

Before selecting an option, review the differences between the two:

• Convenience Fee — A flat dollar amount added to every eligible transaction. A convenience fee is available to all ThryvPay users. You set the flat fee amount, and it applies automatically to all eligible transactions once enabled. There is no maximum limit on the flat fee amount you can set.

• Surcharge — A percentage of the total payment amount charged to offset the credit card processing fee. The surcharge percentage is fixed at the cost of the transaction fee and cannot be edited. Surcharges are subject to legal restrictions in some locations — confirm surcharges are permitted in your area before enabling. Surcharges are capped by law in Canada and New Zealand.

The screenshot above shows the Offset Credit Card Fees section of ThryvPay Settings. Two options are displayed: Convenience Fee with a flat dollar amount input field, and Surcharge with the percentage rate shown. Radio buttons allow you to select one option at a time. The Offset Credit Card Fees section does not display a history of fees collected — that information is available in your ThryvPay transaction reports.

Surcharges are blocked by ThryvPay in the following locations where surcharging is legally restricted:

• Massachusetts

• Connecticut

• Puerto Rico

The screenshot above shows the Surcharge option in the Offset Credit Card Fees section with a restricted status indicator. The restriction indicator appears for ThryvPay accounts located in Massachusetts, Connecticut, or Puerto Rico. If the restriction indicator is displayed, the Surcharge option cannot be enabled for your account. The Convenience Fee option remains available in all locations.

Once you enable a convenience fee or surcharge, it is automatically applied to all eligible transactions going forward. An eligible transaction is one where your client checks out using a credit card or Wallet Pay through the customer checkout flow. The fee is not applied when you initiate a charge on behalf of a client — it applies only when the client completes checkout themselves. Eligible transactions include payments processed through ThryvPay card readers and Tap to Pay.

How the Convenience Fee Appears to Your Clients

When your client receives an invoice or payment link and clicks to pay, they are directed to a ThryvPay payment screen. The payment screen displays the invoice total. The convenience fee does not appear until the client selects to pay by credit card — it is displayed on the final payment screen after the credit card payment method is chosen.

At the point when the convenience fee is displayed, the client has the option to go back and choose a different payment method if they prefer not to pay the convenience fee. The client will not see the convenience fee until they reach the final credit card payment screen.

The screenshot above shows the ThryvPay client payment screen as it appears when a client first opens a payment link or invoice. The invoice total is displayed. The convenience fee is not yet visible at this stage — it only appears after the client selects credit card as their payment method on the next screen.

The screenshot above shows the ThryvPay final credit card payment screen. The invoice total is displayed as a line item. The convenience fee appears as a separate line item below the invoice total. The combined total including the convenience fee is shown at the bottom of the screen. The client can click the back button to return to the payment method selection screen and choose a different payment method if they do not want to pay the convenience fee.

Frequently Asked Questions

What does this article cover?

This article covers how to enable a convenience fee or surcharge in ThryvPay settings, the difference between the two options, how the convenience fee appears to clients during checkout, and the rules and restrictions that apply to each option. Convenience fees and surcharges are available through ThryvPay only — they are not available with Square, Stripe, PayPal, or other payment gateways connected to Thryv Business Center. For the full ThryvPay fee schedule, see ThryvPay Fee Schedule for US Accounts.

What is the difference between a convenience fee and a surcharge?

A convenience fee is a flat dollar amount added to eligible transactions. A surcharge is a percentage of the total payment amount that matches the credit card processing fee rate. A convenience fee is available to all ThryvPay users. A surcharge is not available in all locations — it is restricted in Massachusetts, Connecticut, and Puerto Rico, and capped by law in Canada and New Zealand. Only one option can be active at a time.

What is the purpose of a convenience fee?

A convenience fee is designed for brick-and-mortar businesses that offer clients the ability to pay for goods and services through an alternative payment channel such as online, by text, by email invoice, or through a payment link. The convenience fee compensates the business for providing that alternative payment channel.

What is an alternative payment channel?

Alternative payment channels include mail, telephone, mobile, eCommerce and online payments, text message, invoices, and estimates. Payments processed through any of these channels are eligible for a convenience fee when the client pays by credit card or Wallet Pay through the customer checkout flow.

What transactions are eligible for a convenience fee or surcharge?

An eligible transaction is one where your client completes checkout using a credit card or Wallet Pay through the customer checkout flow. The fee is not applied when you initiate a charge on behalf of a client — it applies only when the client pays through the checkout flow themselves. Eligible transactions include payments processed through ThryvPay card readers and Tap to Pay. Recurring transactions and ACH transactions are not eligible for a convenience fee.

What payment methods can a convenience fee be applied to?

Convenience fees can be applied to payments made by credit cards, debit cards, and prepaid cards when the client checks out through the customer checkout flow. Convenience fees do not apply to ACH transactions or recurring transactions.

Are there any transactions that cannot have a convenience fee?

Yes. Recurring transactions cannot have a convenience fee applied. ACH transactions also cannot have a convenience fee applied. The convenience fee only applies to credit card, debit card, and prepaid card transactions completed through the customer checkout flow.

Is a surcharge an extra fee I pay to ThryvPay?

No. A surcharge is a fee charged to your client, not to you. Enabling surcharging passes your credit card processing cost to clients who choose to pay by credit card, while keeping debit card and ACH payments free of surcharges for both you and your client.

Is surcharging mandatory?

No. Surcharging is completely optional. You can turn surcharging on or off at any time in ThryvPay Settings. Turning surcharging off removes the surcharge from all future transactions immediately.

Does the surcharge affect my 1099-K totals?

Yes. The surcharge amount is included as part of the gross transaction amount and is therefore included in 1099-K reporting. Consult a tax professional if you have questions about how surcharges affect your tax reporting obligations.

Can a surcharge be applied to debit or prepaid cards?

No. Card network rules prohibit surcharges on debit cards and prepaid cards. This restriction applies even when a debit card is processed as a credit transaction. Surcharges can only be applied to credit card transactions.

Does a convenience fee have a maximum amount?

No. There is no maximum limit on the flat fee amount you can set for a convenience fee. The flat fee amount you configure applies to all eligible credit card transactions once the convenience fee is enabled in ThryvPay Settings. To adjust the convenience fee amount, click ThryvPay in the left-hand navigation of Thryv Business Center, then click Settings, and update the flat fee amount in the Offset Credit Card Fees section.

Are convenience fees available with Square, Stripe, or PayPal?

No. Convenience fees are available through ThryvPay only. If your account uses Square, Stripe, PayPal, or another payment gateway, the convenience fee and surcharge options in ThryvPay Settings will not apply to transactions processed through those gateways.

What compliance requirements apply when charging a convenience fee?

Before completing a transaction that includes a convenience fee, the client must be given the opportunity to cancel or choose an alternative payment method such as ACH, check, or cash. ThryvPay satisfies this requirement automatically — the convenience fee is displayed on the final payment screen after the client selects credit card, and the client can go back and choose a different payment method before confirming the payment.