Merchant accounts typically require costs for the processing software and for each transaction. Rates, account fees and transaction fees vary widely, and may include application, set-up and monthly fees, discount rate (percentage of each transaction, typically 2-3%), flat fee per transaction, and even chargeback fees in instances of consumer-disputed charges. Some of these charges are avoidable, so do your research carefully, evaluate all of your options and be cautious of hidden fees.