DCC

A service offered at checkout where the cardholder pays in their home currency rather than the merchant's billing currency. DCC requires explicit cardholder consent (with both currency options shown) under scheme rules. Generates revenue for the merchant and acquirer but can trigger disputes if not properly disclosed.

In practice.

DCC lets a foreign cardholder pay in their home currency at a marked-up exchange rate, with the margin shared between merchant and provider. It is a genuine revenue line for travel and hospitality merchants, but scheme rules require clear opt-in, and a pushy DCC flow generates disputes.

Related terms: Interchange · Cross-border interchange