Free tool: switching payback calculator
Is switching worth it for this merchant?
Switching pays when the monthly saving beats the one-off costs of leaving and joining. Enter both to find the payback month.
Runs in your browser. Nothing you type is sent or stored.
Learn more
How this tool works
How do you use it?
- Work out what the merchant pays each month now, including every fee, using a recent statement.
- Work out what the new offer would cost on the same turnover.
- Add the early termination fee and any set-up or terminal buy-out cost.
The formulaPayback months = (exit fee + other one-off costs) / (current monthly cost minus new monthly cost)
What does a worked example look like?
The tool opens with this example, in pounds.
- Pays now
- £420
- New offer
- £310
- Exit fee
- £600
- Other one-off costs
- £0
- The merchant would save each month
- £110.00
- Cost of leaving and joining
- £600.00
- The merchant gets that money back after
- 5.5 months
- After 1 year
- £720 ahead
- After 2 years
- £2,040 ahead
- After 3 years
- £3,360 ahead
Which mistakes should you avoid?
- Comparing the new headline rate with the old effective rate instead of effective rate with effective rate.
- Forgetting a separate terminal lease, which can add its own exit cost.
- Counting a saving that depends on a month of high turnover.
Frequently asked questions
How long should payback take?
There is no fixed answer. Many consultants want it well inside the contract term, and short enough to survive a slow few months.
What if the new offer costs more?
Then there is nothing to pay back, and switching only makes sense for other reasons, such as better service or a cleaner contract.
Should the terminal be included?
Yes. If leaving means buying out or returning a leased terminal, add that to the one-off costs.
Does this tool store the numbers?
No. It runs in your browser and nothing is sent or stored.
These tools give illustrations based on the numbers you enter. They are not quotes, financial advice or legal advice. Check any offer with the provider in writing.
Want the whole statement worked out?
The free calculator handles every card type, every fee and a side-by-side with an offer, and builds a quote PDF.