New Delhi, June 19 -- Whenever you use a credit card at a store, online gateway, a restaurant or any other prominent place, a fee is charged. This fee is charged as your payment travels through the card network and banks. It is then verified for accuracy.

Post the same, the merchant receives the payment, and a percentage of the total transaction amount is deducted as a credit card swipe charge. It is commonly referred to as a Merchant Discount Rate (MDR). The interchange fee is one component of MDR that is shared within the card payment ecosystem.

Merchants generally pay swipe charges to ensure seamless, safe and secure card payments. These payments are typically not made by the individual who holds the credit card. This fee is proporti...