# Pricing Model
source: https://developer.mastercard.com/cross-border-services/documentation/use-cases/pricing-model/index.md

Pricing models identify who is managing end-user FX calculations and fees. Originating Institutions (OIs) may manage their fees outside of the Mastercard Cross-Border Services application, or they may have Mastercard Cross-Border Services include the fees as part of the API calls.

There are two types of pricing models to choose from:

### Customer Managed Sender Pricing (CMSP, or "wholesale") {#customer-managed-sender-pricing-cmsp-or-wholesale}

In this model, the Cross-Border Services application provides foreign exchange rates for a
supported currency pair (the OI's settlement currency to beneficiary currency) for the
transaction channel. It is assumed that the OI will apply its own mark-up to the Mastercard
provided rate and use these marked up rates to perform calculations to determine how much
to collect from the sender, including all fees. This is sometimes referred to as the "wholesale
pricing model."

### Mastercard Managed Sender Pricing (MMSP, or "retail") {#mastercard-managed-sender-pricing-mmsp-or-retail}

In this model, the Cross-Border Services system stores the fees and FX rate markups of the OI as
contractually agreed. Cross-Border Services uses this data to calculate the amount to charge the
sender or the amount to be delivered to the beneficiary in the API response. This is sometimes
referred to as the "retail pricing model."

The following table provides a summary of the two models:

|              Pricing Model               |   OI FX Markup and Fees   |                                              Quote/ Payment Calculation Options                                              |                   Flexibility to Modify Pricing                    |
|------------------------------------------|---------------------------|------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------|
| Customer Managed Sender Pricing (CMSP)   | Not Included in the Quote | Beneficiary amount to sender currency amount (reverse quote) OR Sender amount to beneficiary currency amount (forward quote) | OI manages the pricing outside of Mastercard Cross-Border Services |
| Mastercard Managed Sender Pricing (MMSP) | Included in the Quote     | Beneficiary amount to sender currency amount (reverse quote) OR Sender amount to beneficiary currency amount (forward quote) | OI must provide lead time to Mastercard to update pricing          |

Ask your Mastercard Representative for more information on how to select a pricing model that's best suitable for you.