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GoDaddy Payments Fees Explained: Complete 2026 Guide (+ How to Pay $0)

Everything you need to know about GoDaddy Payments processing fees, hidden costs, and how smart merchants are using Rate Saver to eliminate them entirely.

What Are GoDaddy Payments Fees in 2026?

GoDaddy Payments advertises “some of the lowest fees in the industry,” and for the most part, they deliver. The pricing is straightforward with no monthly fees or contracts. Here’s the complete breakdown based on GoDaddy’s official pricing page.

Standard GoDaddy Payments Processing Fees

Payment Type Fee
In-person card payments (swiped/dipped) 2.3% + $0
Online/e-commerce payments 2.3% + 30¢
Pay Links (online payment requests) 2.3% + 30¢
Manually entered cards (keyed-in) 3.3% + $0
ACH bank transfers (invoicing/Pay Links) 0.8% (max $5)

Additional GoDaddy Fees

Fee Type Cost
Chargebacks $15 per dispute
Same-day payouts (optional) 1.5% of payout amount
Next business day payouts $0 (included)
Monthly fees $0
Setup fees $0
Contract requirements None

Hardware Costs (Optional)

Device Cost
Card Reader (mobile) $49 one-time
Smart Terminal Flex $299 one-time
Smart Terminal Pro $449 one-time
Smart Terminal Duo $599 one-time
💡 Important Note

To use most GoDaddy Payments features, you need to be a GoDaddy customer (domain, website, or hosting plan). Without a domain account, you can only use Virtual Terminal and Pay Links, which still requires payment processing.

How Much Does GoDaddy Payments Actually Cost? (Real Examples)

Let’s break down what GoDaddy Payments fees look like for real businesses at different processing volumes.

Example 1: Small Retail Store (In-Person Only)

Monthly sales: $25,000 • Average transaction: $50 • Transactions: 500/month

Processing (2.3%) $575.00
Per-transaction (500 × $0) $0.00
Monthly Total $575.00
Annual Total $6,900.00

💰 Savings vs. Stripe: $2,998.80/year (Stripe would cost $9,898.80)

Example 2: E-commerce Store (Online Only)

Monthly sales: $50,000 • Average order: $75 • Transactions: 667/month

Processing (2.3%) $1,150.00
Per-transaction (667 × $0.30) $200.10
Monthly Total $1,350.10
Annual Total $16,201.20

💰 Savings vs. Stripe: $6,398.80/year (Stripe would cost $22,600.00)

Example 3: Hybrid Business (50% In-Person, 50% Online)

Monthly sales: $100,000 • Average transaction: $200 • Transactions: 500/month

In-person (2.3% on $50K) $1,150.00
Online processing (2.3% on $50K) $1,150.00
Online per-transaction (250 × $0.30) $75.00
Monthly Total $2,375.00
Annual Total $28,500.00

GoDaddy Payments Fees vs. Other Payment Processors

How does GoDaddy Payments stack up against the competition? Here’s a comprehensive comparison:

Processor Online Rate In-Person Rate Monthly Fee
GoDaddy Payments 2.3% + 30¢ 2.3% + $0 $0
Stripe 2.9% + 30¢ 2.7% + 5¢ $0
Square 2.9% + 30¢ 2.6% + 10¢ $0
PayPal 3.49% + 49¢ 2.29% + 9¢ $0
Shopify Payments 2.9% + 30¢ 2.7% + 0¢ $39+ (plan required)

Cost Comparison on a $100 Transaction

Processor Online Fee In-Person Fee
GoDaddy Payments $2.60 $2.30
Stripe $3.20 $2.75
Square $3.20 $2.70
PayPal $3.98 $2.38
💡 Key Insight

GoDaddy Payments offers the lowest rates for online transactions among major processors. On $100K/year in online sales, you’d save $3,600 compared to Stripe or Square. However, if you’re already using Shopify, Wix, or another platform, their native payment solutions may integrate more seamlessly.

Hidden GoDaddy Payments Fees Most Merchants Miss

1. The Keyed-In Card Fee (3.3%)

When you manually enter a card number—whether through Virtual Terminal or your POS system—GoDaddy charges 3.3% instead of 2.3%. That’s a 43% increase over the advertised rate.

⚠️ Example

$100 manually entered transaction = $3.30 in fees (not $2.30). For businesses doing phone orders, this adds up fast. A business processing $10K/month in keyed-in transactions pays an extra $100/month ($1,200/year).

2. Chargeback Fees ($15 Each)

Like most processors, GoDaddy charges $15 for every chargeback—whether you win or lose. This fee is non-refundable and deducted from your next payout. According to GoDaddy’s chargeback policy, investigations can take weeks to months.

3. Same-Day Payout Fee (1.5%)

Need cash immediately? GoDaddy offers same-day payouts for a steep 1.5% fee. While standard next-day deposits are free, urgent withdrawals can cost you hundreds.

Payout Amount Same-Day Fee (1.5%) Next-Day Fee
$1,000 $15.00 $0
$5,000 $75.00 $0
$10,000 $150.00 $0

4. The 30¢ Flat Fee on Small Purchases

Just like other processors, GoDaddy’s 30¢ flat fee on online transactions destroys margins for small purchases:

Sale Amount % Fee (2.3%) Flat Fee Total Fee Effective Rate
$5 $0.12 $0.30 $0.42 8.4%
$10 $0.23 $0.30 $0.53 5.3%
$25 $0.58 $0.30 $0.88 3.5%
$50 $1.15 $0.30 $1.45 2.9%
$100 $2.30 $0.30 $2.60 2.6%
$500 $11.50 $0.30 $11.80 2.4%
💡 Pro Tip

For in-person payments, GoDaddy has NO flat fee—making it ideal for low-ticket items. A $5 in-person sale costs only 12¢ (2.3%) vs. 42¢ online (8.4% effective rate).

5. Limited Fraud Protection

Unlike Stripe (which offers Radar) or PayPal (with Seller Protection), GoDaddy provides basic fraud monitoring but doesn’t offer advanced protection services. According to their official FAQ, merchants are still liable for chargebacks even after fraud detection.

7 Ways to Reduce Your GoDaddy Payments Fees

Want to lower your credit card processing fees? Here are the most effective strategies specifically for GoDaddy Payments:

1. Prioritize In-Person Payments

With no flat fee on swiped transactions, in-person payments are GoDaddy’s best value. If you run a retail store or service business, encourage customers to pay in-person whenever possible.

2. Avoid Manually Keying In Cards

The 3.3% keyed-in rate is 43% higher than the standard 2.3%. Instead:

  • Use Pay Links for remote payments (2.3% + 30¢)
  • Send invoices through GoDaddy Invoicing
  • Have customers enter their own card info online

3. Use ACH for Large Invoices

GoDaddy’s ACH processing costs just 0.8% capped at $5. For invoices over $217, ACH is always cheaper:

Invoice Amount Card Fee (2.3% + 30¢) ACH Fee (0.8% max $5) Savings
$500 $11.80 $4.00 $7.80
$1,000 $23.30 $5.00 $18.30
$5,000 $115.30 $5.00 $110.30
$10,000 $230.30 $5.00 $225.30

4. Stick to Next-Day Payouts

Same-day payouts cost 1.5%—a massive fee. For a $5,000 daily deposit, you’d pay $75 just to get your money a few hours earlier. Unless it’s an emergency, wait until the next business day and keep that money in your pocket.

5. Reduce Chargebacks

At $15 per chargeback, prevention is crucial. GoDaddy recommends:

  • Clearly describe products and refund policies
  • Ship with tracking and delivery confirmation
  • Respond quickly to customer inquiries
  • Process refunds before customers initiate chargebacks

6. Set Minimum Purchase Amounts for Online Orders

The 30¢ flat fee hits small purchases hard. Consider setting a minimum order amount (e.g., $10) for online sales to protect margins. Make sure this complies with card network rules.

7. Bundle GoDaddy Services

While GoDaddy Payments doesn’t require other GoDaddy products to function (except for advanced features), bundling your domain, hosting, and payments can simplify management and potentially unlock better support.

How to Eliminate GoDaddy Payments Fees Entirely with Rate Saver

Here’s GoDaddy’s secret weapon that most merchants don’t know about: Rate Saver—their built-in surcharging program that lets you achieve 0% processing fees.

What is Rate Saver?

Rate Saver is GoDaddy’s automatic surcharging solution. When enabled, it adds a processing fee to credit card transactions, effectively passing the cost to customers who choose to pay with cards. The program is included with all Point of Sale, Invoicing, and Pay Links Plus plans.

What Your Customer Sees with Rate Saver Enabled

Pay by Credit Card
$102.60

Includes 2.6% service fee

Save $2.60
Pay by Debit / Cash / ACH
$100.00

No additional fees

You keep $100 either way. Processing fees = $0.

How Rate Saver Works

When a customer pays with a credit card, GoDaddy automatically calculates and adds a surcharge to cover the processing fee. The surcharge is clearly disclosed at checkout, and customers can choose to pay with debit, cash, or ACH to avoid it.

📊 Real Example

A restaurant processing $50K/month in credit card sales would normally pay $1,350/month in fees. With Rate Saver enabled, those fees are passed to customers, saving the business $16,200 per year.

Is Rate Saver Legal?

Yes. Federal law permits credit card surcharging, and most US states allow it. However, you must:

  • Follow Visa and Mastercard surcharging rules
  • Clearly disclose the surcharge to customers before checkout
  • Cap surcharges at your actual processing cost (typically 3-4%)
  • Not surcharge debit card transactions

A few states have restrictions (Colorado, Connecticut, Kansas, Maine, Massachusetts), so check your local laws. GoDaddy’s system is designed to comply with all major card network requirements.

Who Should Use Rate Saver?

Rate Saver works best for:

  • Service businesses (contractors, salons, medical practices)
  • B2B companies with invoice payments
  • High-ticket retailers ($100+ average orders)
  • Restaurants and cafes (especially with in-person POS)
  • Professional services (lawyers, accountants, consultants)

It’s less effective for:

  • ❌ E-commerce stores with price-sensitive customers
  • ❌ Businesses in highly competitive markets
  • ❌ Low-margin businesses where customers might abandon carts

How to Enable Rate Saver

To activate Rate Saver in your GoDaddy Payments account:

  • Sign in to your GoDaddy Payments dashboard
  • Navigate to Settings → Rate Saver
  • Review the terms and compliance requirements
  • Enable Rate Saver for your eligible products
  • Customize your surcharge disclosure message

Once enabled, the surcharge is automatically calculated and displayed at checkout. For more details, see GoDaddy’s Rate Saver help documentation.

Frequently Asked Questions

How much does GoDaddy Payments charge per transaction?
GoDaddy Payments charges 2.3% + $0 for in-person card payments and 2.3% + 30¢ for online/e-commerce transactions. Manually entered cards cost 3.3% with no flat fee.
Is GoDaddy Payments cheaper than Stripe?
Yes. GoDaddy’s 2.3% + 30¢ for online transactions beats Stripe’s 2.9% + 30¢. On a $100 transaction, GoDaddy costs $2.60 vs. Stripe’s $3.20—a savings of $0.60 per transaction or 18.75%.
Does GoDaddy Payments have monthly fees?
No. GoDaddy Payments has no monthly fees, setup fees, or cancellation fees. You only pay when you process a transaction. However, to access advanced features, you may need a GoDaddy website or domain plan.
Can I pass GoDaddy Payments fees to customers?
Yes, through Rate Saver—GoDaddy’s automatic surcharging program. This allows you to add a processing fee to credit card transactions and achieve 0% fees. It’s included with all POS, Invoicing, and Pay Links Plus plans. Learn more about saving on processing fees →
What is GoDaddy Payments fee on a $100 transaction?
$2.30 for in-person payments (2.3% + $0), or $2.60 for online payments (2.3% + 30¢). If you manually key in the card, it’s $3.30 (3.3% + $0).
What’s the difference between GoDaddy Payments and other processors?
GoDaddy Payments offers lower rates than Stripe and Square (2.3% vs. 2.9%) with no flat fee on in-person transactions. However, it requires GoDaddy ecosystem integration for advanced features and offers less robust fraud protection compared to competitors.
How long does it take to receive payments with GoDaddy?
Standard payouts arrive the next business day at no additional cost. For urgent needs, same-day payouts are available for a 1.5% fee (minimum $0.50), including weekends and holidays.
Are GoDaddy Payments fees tax deductible?
Yes. Credit card processing fees are a deductible business expense in the US. Keep records of all transaction fees for tax purposes. Consult with your accountant for specific guidance.

Want to See How Much You Could Save?

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