When shopping for a credit card processor, there are a number of things to look for in determining which one truly offers the best deal.
All processors will assess merchants fees for services. Some are legitimate and some are “Junk Fees”. Junk Fees are fees that you pay and for which you receive very little or nothing of value in return. Some common Junk Fees are: “Batch Fees”, “Programming Fees” and “Cancellation Fees”.
Ask each processor what their policies are on these fees and if they do charge them, how much do they charge. The same is true for “Legitimate Fees” such as “Application Fees”, “Statement Fees” and “Minimum Fees.” Find out how much each processor charges. Confirm that minimum fees are in fact just that – a minimum fee and not something added to your total fees.
Ask how rates differ for different types of transactions. For example what are the rates for transactions where:
1. The card is present and swiped through a POS terminal.
2. The card is present but the MAG stripe cannot be read and so it is hand keyed.
3. The card is not present and the order came to you via mail or telephone.
4. The card is not present and the order came to you via a shopping cart on your web site.
All of these transactions will have different rates and fees attached to them. Compare the rates and fees and most importantly the service you can expect. Sometimes the lowest rate is not the best deal. Be careful of processors who tell you they will do things but then don’t put them in writing. Talk to us about how our office can offer you a credit card service that comes with no Junk Fees, no Cancellation Fees, and provides extremely competitive