Saudi Arabia Payment Fee Calculator

Mada is the Kingdom of Saudi Arabia's domestic debit payment network, mandated and regulated by the Saudi Central Bank (SAMA). By regulatory directive, Mada card transactions carry an interchange processing rate of 0.80% and are legally capped at a maximum of SAR 40.00 per transaction, regardless of the invoice total. For a 100,000 SAR transaction, you pay only 40 SAR rather than thousands of riyals.

Under the regulations of the Zakat, Tax and Customs Authority (ZATCA), financial intermediation and electronic payment gateway processing services are classified as taxable supplies subject to the standard 15% Value Added Tax (VAT). Gateways such as Moyasar, HyperPay, Tap, and PayTabs legally add 15% VAT to their assessed fees. For instance, a 100 SAR processing fee incurs 15 SAR VAT, resulting in a total merchant deduction of 115 SAR.

To ensure your client covers both the gateway processing fee and the 15% statutory ZATCA VAT so that you receive your exact net payment, use the VAT-Adjusted Gross-Up Formula: Gross = (Target Net + (Fixed Fee * 1.15)) / (1 - (Percentage Rate * 1.15)). For a 1,000 SAR target net on standard Visa/Mastercard (2.25% + 1 SAR), calculate: (1,000 + 1.15) / (1 - (0.0225 * 1.15)) = 1,027.75 SAR. Billing 1,027.75 SAR ensures you receive exactly 1,000.00 SAR net after gateway fees and 15% VAT are deducted.

STC Pay is Saudi Arabia’s leading digital wallet platform, enabling instant mobile transfers via QR code and direct app integration. Merchant processing fees for STC Pay generally average 1.75% + 1.00 SAR plus 15% VAT per transaction, offering a cost-effective bridge between Mada debit and international credit cards.

Mada debit transactions cost 0.80% (capped at 40 SAR), making it the cheapest payment method in the Kingdom. In contrast, Visa and Mastercard credit cards charge 2.20% to 2.50% + 1 SAR with no fee ceiling. A 10,000 SAR sale on Mada costs 40 SAR (plus 6 SAR VAT), while the same sale on Visa costs ~226 SAR (plus 33.90 SAR VAT).

Yes. BNPL platforms like Tabby and Tamara typically charge merchants between 4.5% and 6.0% + 1.50 SAR per installment order. The 15% ZATCA VAT is calculated directly on top of the merchant commission fee and withheld before settlement payout.

Most local Saudi acquiring banks and payment aggregators (Moyasar, Tap, PayTabs, Geidea) settle funds into local IBAN accounts on a T+1 to T+3 business day rolling schedule (Sunday through Thursday, excluding official Saudi banking holidays).

Yes. Global merchants integrating through platforms like Stripe (via Saudi entity), Checkout.com, or Tap Payments can accept Mada debit cards internationally. When processed cross-border without a local Saudi acquiring entity, transactions may be routed via the co-badged Visa/Mastercard network at international card rates.