Least Cost Routing
Optimize processing fees on debit payments by routing traffic to the cheapest available debit network
Get started with Least Cost Routing
Least Cost Routing (LCR) enables merchants to minimize transaction costs by dynamically selecting the most cost-efficient debit network for each transaction. The Hyperswitch routing engine evaluates parameters like network fees, interchange rates, ticket size, issuer type, and more to automatically route transactions through the cheapest network in real time.
Pre-requisites for enabling Least Cost Routing
To get started with LCR in Hyperswitch, ensure the following setup is complete:
Step 1: Configure connectors supporting transactions through local networks
Step 2: Enable Debit Card Support
Step 3: Enable one or more local debit networks in both connector and Hyperswitch dashboards
Steps to configure Least Cost Routing in Smart Router:
Step 1: Configure Prerequisites Ensure that connectors supporting transactions through local networks are set up with local networks enabled
Step 2: Click on Manage
for configuring Least Cost Routing

Step 3: A popup will guide you to confirm the three prerequisites (connector setup, debit card enablement, local networks configuration). Click on Enable
to activate LCR

Step 4: Once enabled, you can view Least Cost Routing as your active routing algorithm along with all previously configured algorithms on the Hyperswitch Dashboard

Supported Configuration for Least Cost Routing
Geographies:
US
Connectors:
Adyen
Networks
Star
Pulse
NYCE
Accel
Payment Methods
Cards
Payment Flows
Payments (No-3DS)
Refunds
Retries
Future Scope
Hyperswitch is continuously evolving its Least Cost Routing capabilities. Here’s what’s coming next:-
Configurable Debit Routing Rule Engine
Define your own custom routing logic for debit transactions based on attributes like issuer, amount, geography, and more — giving you deeper control over cost optimization Support for More Connectors and Payment Methods
Expansion beyond Adyen to additional processors, as well as broader support for payment methods beyond card-based flows (like wallets etc.) Integration with Your BIN Data Source
Plug in your proprietary or third-party BIN data to enhance network identification, especially for wallet-based payments and custom routing needs.
Last updated
Was this helpful?