What Is a Merchant Statement

A merchant statement is a comprehensive monthly or periodic report provided by a payment processor or acquiring bank to a business (the merchant) that accepts credit and debit card payments. This statement serves as a financial summary of all card-based transactions processed within a specific timeframe, typically one month. 

It details information such as the total number of transactions, gross sales, chargebacks, refunds, and the fees charged for payment processing services. These fees may include interchange fees, assessment fees, and processor markups, often broken down by card type (e.g., Visa, Mastercard, AMEX). The merchant statement also outlines batch deposits, daily summaries of processed transactions that are transferred to the business’s bank account, and helps reconcile actual payments received with sales data. 

For businesses, understanding and reviewing the merchant statement helps to ensure accuracy, identify hidden fees or pricing inconsistencies, detect fraud or billing errors, and assess overall payment processing costs. Although these documents can be complex and filled with industry-specific jargon, learning how to read and analyze them is still important for financial transparency and informed decision-making in managing payment operations.

How to Get a Merchant Statement

To get a merchant statement, you typically need to access it through your payment processor or acquiring bank. Most providers issue merchant statements on a monthly basis, and they can be accessed through an online portal or sent via email, depending on the preferences set during account setup. If you're unsure where to find your statement, or if you’ve never received one, contacting your provider’s customer support is the best starting point. Here are the general steps to obtain your merchant statement:

• Log in to your merchant account portal – Visit your payment processor’s website and enter your login credentials to access your dashboard.
• Navigate to the statements section – Look for a menu labeled “Statements,” “Reports,” or “Billing.”
• Select the desired time period – Choose the month or date range for which you need the statement.
• Download or view the statement – Most portals allow you to either view the statement online or download it as a PDF for record-keeping.
• Contact support if needed – If you can’t find your statement or don’t have online access, reach out to customer service to request a copy.

Having regular access to your merchant statement helps you monitor your payment processing activity, reconcile deposits, and manage fees effectively.

How to Read a Merchant Processing Statement

A typical statement includes multiple sections that detail your transaction activity, processing fees, and deposits. Review each section carefully to verify your sales volume, identify hidden fees, and compare your actual costs against what you were quoted. Here’s how to read a merchant processing statement:

• Start with the summary page – This section provides an overview of your total sales, number of transactions, chargebacks, refunds, and total fees for the statement period.
• Review daily or batch deposits – Check how and when your processed funds were deposited into your bank account, and confirm they match your internal records.
• Examine the fee breakdown – Look at the interchange fees (paid to card-issuing banks), assessment fees (paid to card networks), and processor markups. These may be listed per transaction or grouped by card type.
• Analyze pricing structure – Determine whether you're on a flat-rate, tiered, or interchange-plus pricing model. Understanding this helps you evaluate whether you're overpaying.
• Look for chargebacks or adjustments – Identify any disputes or additional fees applied to your account, and verify their accuracy.
• Compare against your POS or sales reports – Reconcile your merchant statement with your own sales data to catch discrepancies or reporting errors.

Why It Is Important to Read and Understand Your Merchant Statement

These monthly reports detail how much you paid in processing fees, how much money you actually received, and whether there were any issues like chargebacks or errors. Reviewing them regularly ensures transparency, helps catch mistakes, and supports smarter decision-making. Here's why it's important to read and understand your merchant statement:

• Identify hidden or incorrect fees – Statements often include various charges, such as interchange fees, markups, and monthly service fees. Understanding these helps you detect overcharges or unexpected costs.
• Monitor transaction trends – Reviewing transaction volumes, card types, and chargebacks helps you spot patterns in customer behavior and adjust your strategy accordingly.
• Verify deposits and reconcile accounts – Ensure the amount you received matches your sales data and that batch deposits are processed correctly and on time.
• Evaluate your pricing model – Understanding whether you're on a flat-rate, tiered, or interchange-plus model helps you assess if you're getting the best deal.‍
• Avoid financial losses – Regularly reading your statement reduces the risk of overlooking costly errors, helping you prevent revenue leakage and maintain profitability.