transaction-fee

Vocabulary Word

Definition

'Transaction fee' is an extra amount you pay when you buy or sell something online. It's often paid to the platform or website you're using. You can think of it as a 'handling cost' for the online purchase or sale.

Examples in Different Contexts

In investing, transaction fees are costs associated with buying or selling securities. An investment advisor might note, 'It's important to consider transaction fees when trading, as they can eat into your investment returns.'

Practice Scenarios

Creative

Scenario:

Our online revenue isn't as high as projected. Could the platform's transaction fees be affecting sales?

Response:

The transaction fee might be cutting into our earnings. We should consider other platforms with lower fees.

Tech

Scenario:

The app’s updated version seems to have slower than normal operations. Perhaps something in the new payment processing code?

Response:

Perhaps we can optimize the payment processing code to reduce transaction fees and increase app speed.