What is MTOT DISC? Definition and Meaning - Ikajo Glossary


What is MTOT DISC?

MTOT DISC is the term that means merchant account total discount fee. MTOT means merchant total, while DISC is the discount fee.

This is a monthly payment many merchants pay without even knowing about it. The generic charge seems like a mystery to many merchants as they have no idea why they had to pay a substantial sum of money. MTOT is a part of the bank’s monthly statement deduction. Nevertheless, do not confuse it with the monthly fee you pay for using a payment processor. Your bank charges you directly from your bank account.

Important information

Prior to diving deeper into the term’s meaning, there is one significant thing every merchant should keep in mind. Not all banks are transparent about the costs of doing business with them. When creating a merchant account, the merchant must find out about every penny they’ll have to spend on the bank’s services.

MTOT DISC can be a transparent deduction every merchant knows about right from the moment they open a merchant account. However, some banks do not add it to the list of fees, and merchants only notice these payments when reading their annual expenses. That’s why it’s extremely important to study all the mandatory payments you’ll have to pay lest you discover hidden fees afterward.

Once the fees turn up on the monthly statement, merchants start wondering what this acronym means and why they keep paying this money.

How big can MTOT DISC be?

The charges vary from $40 to $150. A lot depends on the chosen bank and merchant’s business size. In case you wish to dispute this charge, make sure to open a dispute or report an issue with the charge within 60 calendar days from the date of its appearance in your statement.

When opening an account, the bank must disclose all fees. While most institutions do it, some decide to hide this kind of fee for some reason.

What is MTOT DISC’s relation to BANKCARD?

Sometimes the MTOT DISC charge contains the work BANKCARD. Many users immediately assume that BankCard USA has charged them for something. However, the word generally refers to the merchant’s acceptance of credit/debit cards. It has nothing to do with BankCard USA. According to the institution, this fee is charged by numerous merchant account providers to cover additional processing fees.

Another widespread issue with MTOT DISC many merchants face

Sometimes, the bank’s clients haven’t terminated the agreement properly, and it leads to continuous monthly payments. So, if you switch to a different provider or close your business, make sure to personally terminate the old agreement. Even if the new account provider offers the services of “dealing with the old agreement”, only the primary guarantor—you—can close the account.

On the other hand, merchants may confuse MTOT DISC with other payments like:

  • Authorisation fees (the cost of authorising a credit card transaction);
  • Monthly fees (for accepting credit cards via your merchant account);
  • Annual fees (for the updated invoice that monitors all account fees).

Bottom line

Now you know what MTOT DISC is and may deal accordingly. Take into account all the information above to understand your monthly and annual statements. It’s sure to help you avoid unwanted expenses.


Thank You For Order
Thank you!

Thanks for filling that out. We really appreciate you giving us a moment of your time today. Your ticket on its way to your email.