Check how long a terminal purchase, or the one-time cost of switching processors, takes to pay for itself from the rental or fees you stop paying.
This calculator answers two questions merchants often face: is it cheaper to buy a terminal than to keep renting one, and does switching processors pay for itself?
Use 1: buy versus rent. Enter the purchase price of the terminal as the one-time cost, any hardware credit you actually receive, and the yearly rental you would stop paying as the saving. Set the horizon to the number of years you realistically expect to use the device before it needs replacing or stops being supported.
Use 2: switching processors. Enter everything switching costs once: an early termination fee, new hardware, set-up fees and staff time if you want to count it. Enter the yearly reduction in total fees (from your current statements and the new quote, both converted to the same sales volume) as the saving.
Formula. Net cost = one-time cost − credits. Payback = the point at which the cumulative yearly savings equal the net cost. Net saving = savings over the horizon − net cost.
Worked example (illustrative). A terminal costs $650 to buy. Renting a similar one costs $30 a month, or $360 a year. Payback: $650 ÷ $360 ≈ 1.81 years. Over four years the saving is 4 × $360 − $650 = $790, if the terminal lasts that long.
What it leaves out. A purchased terminal may only work with one processor, may need replacement when security standards change, and usually has no swap-out service included. A rental may include repairs and replacement. Before buying, check the device's compatibility and support period with the processor. Read terminal rental versus purchase and switching processors. All prices on this page are illustrative.
Common pitfalls and official sources
How Canadian card processing contracts handle term, automatic renewal and early termination fees, the limits set by the Code of Conduct, leases, and Quebec language rules.
Fees, pricing models and 2026 rules
Which merchant processing charges usually carry GST/HST or QST and which are exempt financial services, how to read the tax on your statement, and input tax credits.
Cost examples and choosing a best-fit processor
How to work out whether switching card processors pays for itself, which one-time costs to count, how the Code of Conduct exit rights help, and a step-by-step switch plan.
Cost examples and choosing a best-fit processor
Compare renting, buying and leasing a payment terminal in Canada over its useful life, with payback arithmetic, lease warnings and what the Code of Conduct says.
