Beacon Payments 2023: Card Processing Reviews & Complaints
Company Overview
Beacon Payments is a merchant account provider that serves small, medium, and large businesses based in the United States. The company is a reseller of First Data (now Fiserv) products and services. The company was purchased by Pineapple Payments in 2019. See our positive review of Pineapple Payments here.
Beacon Payments Payment Processing
Beacon Payments processes most major debit and credit cards for most business types. Their services include EMV readers and card swipers, POS systems, mobile payments, gift and loyalty programs, cash advances, and check processing.
Location & Ownership
Founded in 1998, Beacon Payments can be found at 50 Dudley St, Cambridge, MA, 02140. Beacon Payments is a registered ISO of Wells Fargo Bank, N.A., Concord, California. David Selenow is listed as the principal of Beacon Payments and Jerry Kadish is the company's current CEO.
Pros: | Cons: |
---|---|
A+ BBB rating | Contractual cancellation penalties |
Interchange-plus pricing | Monthly and annual fees |
Transparent rates | High early termination fee |
No deceptive sales tactics | Independent sales agents |
Low complaint volume | Monthly minimum fees |
Beacon Payments Customer Reviews
Here's What Their Clients Say
Total Online Complaints | <10 |
---|---|
Live Customer Support | Yes |
Most Common Complaint | N/A |
Recent Lawsuits | No |
Low Complaint Volume
At the time of this update, there are only a few negative Beacon Payments reviews outside of the BBB, indicating that the company is not a ripoff or a scam. The available complaints describe difficulty canceling service, aggressive sales tactics, and dissatisfaction with the company’s monthly fees. If you have your own Beacon Payments review to make, please do so in the comments below.
Beacon Payments Lawsuits
We have not found any outstanding class-action lawsuits or FTC complaints filed against Beacon Payments. Dissatisfied clients who wish to pursue a non-litigious course of action against the company should consider reporting it to the relevant supervisory organizations.
Beacon Payments Customer Support Options
Beacon Payments offers a dedicated 24/7 phone support number on its website, although it’s unclear whether this number is serviced by Beacon Payments or by First Data (Fiserv). Although Beacon Payments is not considered to be one of the top-rated customer service payment processors, the company’s overall complaint rate is low enough to warrant an “A” rating for the purposes of this review.
Beacon Payments Customer Service Numbers
- (877) 986-4445 – Toll-Free Support
- (617) 986-4451 – Fax
Other Support Options
- Support form
- Customer service email addresss at [email protected]
Beacon Payments Online Ratings
Here's How They Rate Online
BBB Reports | 1 |
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No Complaints
Beacon has been an accredited business of the Better Business Bureau since 2011 and currently holds an “A+” rating. At this time of review, Beacon Payments is showing 1 BBB complaint in the last 36 months. The 1 complaint was resolved to the satisfaction of the client.
What Merchants Say
The company has also received 0 informal reviews in the last 36 months. A previous negative review described difficulties resolving fees charged after an account cancellation:
THE absolute worst cc processing company I have dealt with in 10 years. I should’ve known from the start when their account rep Kevin P***** came into my business to install service prior to us agreeing on terms of the account and then having to literally argue with him about it for 10 minutes in the middle of a business day. Now spending months trying to get my $250 cancellation fee refunded per my contract. Nobody has been helpful here whatsoever and it has only been a headache.
Clients who find themselves in this situation may benefit from taking the proper steps to cancel their merchant account without paying a fee.
An “A” Performance Overall
Due to Beacon Payments’ low complaint volume and diligence in responding to all complaints it receives, we agree with the BBB’s overall rating.
Beacon Payments Fees, Rates & Costs
A Closer Look at The Contract
Cancellation Penalties | Yes |
---|---|
Monthly & Annual Fees | Yes |
Processing Rates | Interchange + 0.05% + $0.22 |
Equipment Leasing | One-Time Purchase |
Three-Year Contract
Beacon Payments is straightforward about its ability to offer interchange-plus pricing to clients. According to the company’s website, its rates are interchange plus 0.05% plus $0.22 per transaction. The transparency of the company’s pricing structure appears to have kept client complaints to a minimum, as there are only a few complaints about the company’s standard contract. This document describes a three-year agreement through First Data (Fiserv) with a $495 early termination fee or Liquidated Damages, whichever is greater, and an annual PCI compliance fee of $79. The company does not lease equipment but offers clients the choice between purchasing it outright or placing a $99 deposit refunded upon the return of the terminal.
Virtual Terminal and Payment Gateway Pricing
In addition to its storefront payment processing services, Beacon Payments also dedicates a portion of its website to advertising its virtual terminal and payment gateway services. According to the company’s website, its interchange-plus rates apply to its e-commerce platform. Additional fees, including gateway fees, technical support fees, and batch fees may apply to these e-commerce services.
Beacon Payments Fees
The only negative reviews of Beacon’s contract terms mention the company’s monthly minimum fees, which is $30 if clients do not process at least $1,500 in a given month. In addition, there is a $10 monthly fee that may be applied to some accounts regardless of processing volume. Beacon Payments’ pricing is not competitive with the cheapest merchant accounts at this time. If you have any knowledge about the standard Beacon Payments contract, please leave that information in the comment section of this review.
Beacon Payments Employee Reviews & Sales Tacitcs
Should You Work For Them?
Uses Independent Resellers | Yes |
---|---|
Telemarketing | Likely |
Misleading Marketing | No |
Discloses All Important Terms | No |
Independent Sales Agents
Beacon Payments appears to hire independently contracted sales agents to market its services. As a general rule, this practice makes it difficult for any company to monitor and regulate its sales team’s behavior, which in turn tends to result in elevated complaint rates among merchants. There do not appear to be any Beacon Payments reviews related to its sales force.
We have located a few Beacon Payments reviews that criticize the company’s sales approach. In one complaint, a business was contacted by a sales representative, asked to sign a “merchant account application” that was actually a contract, and then was unable to reach the agent after that point. The business was surprised to see that they were being billed for a service they hadn’t received. Beacon Payments responded by issuing a full refund, and the business owner expressed satisfaction with the response and suggested that they had perhaps been too hasty filing a complaint. Some current and former sales agents with the company also state that Beacon Payments expects its agents to do a lot of door-to-door selling, which can be aggravating for both agents and clients.
Transparent Pricing
The Beacon Payments website actively promotes interchange-plus pricing, which is the most transparent rate structure available. This is a positive indicator that the company does not condone deceptive sales tactics, but the company’s overall rating does suffer from the few complaints available about its sales team. If you suspect that Beacon Payments is charging you undisclosed fees, we recommend seeking a third-party statement audit to find and eliminate hidden costs.
Our Beacon Payments Review Summary
Our Final Thoughts
Beacon Payments rates as a reliable credit card processing provider by our standards. The company appears to actively promote Interchange-plus pricing, and its low complaint rate is indicative of forthright sales tactics and competitive contract terms. Factors that lowered the company’s rating are its use of independent sales agents and complaints regarding its monthly fees. Even when dealing with credit card processors that rate highly by our standards, we encourage readers to carefully examine the terms of any contract they are given and to compare its pricing to the top overall providers.
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Testimonials & Complaints
How Did Beacon Payments Treat You?
4 User Reviews
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Chris Capuano
Fantastic honest company. Very transparent with their prices unlike some other processors I’ve dealt with.
CPO
Hi Chris,
Please reply to this comment with your business name and location in order to authenticate your testimonial. Thanks!
Sarah Wakabayashi
I signed up with this company this year because of lower fees. Receiving any help or getting replies after signing up from my rep Kevin Pheley is a struggle. It’s really not worth it in my opinion and I wouldn’t recommend them to other businesses. Getting my cancel fee from my previous company is like pulling teeth. AVOID
Steven Lojko
The way the minimum fee is described is wrong. There is a 10 dollar monthly fee which is variable and a 30 dollar minimum fee. The minimum one must process is 1,500 dollars per month, if a client does over this only the 10 dollar monthly fee is charged.