I can only speak for those of us in the U.S.; your merchant bank must be in the same country as you are.
Yes, there's often an application fee, almost always a setup fee, sometimes an annual fee, always several monthly fees and monthly minimums.
I'd expect about $30 - $40 per month.
I have a connection with a merchant service which will accept webhost companies and if recommended through me will avoid the application and setup fees.
Or use PayPal in the U.S., or one of the other services if not in the U.S.
Jeff