How is the tiered transaction pricing for the Del Taco system determined?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
The following tiered Del Taco system Transaction pricing is based on dedicated circuit connectivity between the Card Authorization Equipment accessed by Franchisee's wide-area-network and the BAMS Database, and is based on the Transaction volumes accumulated during each twelve (12) month Cycle following the Start Date of the Program. BAMS will invoice transaction fees monthly.
Franchisee will pay the Transaction fee corresponding to Tier I during the first Cycle. BAMS may adjust Transaction fees to reflect the Del Taco system's actual Transaction volume in the previous Cycle. If the Del Taco system qualifies for a higher tier (i.e., a lower transaction fee) during any Cycle (other than the initial Cycle following the Start Date), BAMS will adjust Transaction fees beginning the month following the month in which the Del Taco system qualifies for the higher Tier for the remainder of that Cycle.
Source: Item 23 — RECEIPTS (FDD pages 59–325)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, the tiered transaction pricing is based on the volume of transactions within a 12-month cycle following the program's start date. These transaction fees are invoiced monthly by BAMS.
The Del Taco system's transaction fees may be adjusted by BAMS to reflect the system's actual transaction volume from the previous cycle. Franchisees will initially pay the Tier I transaction fee during the first cycle. If the Del Taco system qualifies for a higher tier (meaning a lower transaction fee) in a subsequent cycle, BAMS will adjust the fees starting the month after the qualification for the remainder of that cycle.
The tiered pricing relies on dedicated circuit connectivity between the card authorization equipment, accessed through the franchisee's wide-area network, and the BAMS Database. In addition to transaction fees, standard fees include recurring fees for each ACH settlement transaction, which are assessed based on the funds movement frequency established by Del Taco's consortium, and Designated Location Fees, which are monthly service charges per location.