About the author

Phillip Parker

Phillip Parker is a former merchant services agent turned small business advocate and the author of "Fee Sweep," which teaches merchants how to dramatically lower their processing rates, eliminate junk fees, and avoid fine-print scams. He founded CardPaymentOptions.com to help merchants enact positive change in the credit card processing industry.


Phillip can help you find an ethical and honest processor that will offer you great rates.
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  1. Laurence Hallas

    Was with them for many years. Grumbled about all the increasing surcharges and an itemized to death invoice every month but I could always call them and get an answer on things.

    Reached the point where we realized we could get a better deal with another provider – a MUCH better deal so canceled the service. The mistake I made was to cancel BEFORE I had finished signing up with the other provider. Merchant Warehouse within 24 hrs put me on the Terminated Merchant File issued by Visa and MasterCard! For those of you who don’t know (as I didn’t), this is the dreaded Blacklist and almost impossible to get off of.

    Here is a link for a better explanation for those needing advice:


    Essentially only the company that put you on the list can take you off and you can NOT RUN ANY CHARGES from any merchant anywhere! You are dead in the water.

    Calls to Merchant Service were met with polite ignorance. They said my account looked fine, but clearly it was not. After a week of phoning and working my way up through the system, I was taken off the list without explanation though perhaps the last call from my lawyer may have helped.

    I do not know what happened, but the only thing I can surmise is that some pinhead in the organization put me on the black list because they had not gotten their monthly fee that closed my account 3 days later (all of $54). They had told me that they would be taking the fee out and I of course was willing to pay.

    So beware! They are a good company as long as you stay with them. Getting out may end up being a big issue. In the end, I am paying a third of what I was paying at Merchant Service and my current provider has a clean invoice that is easy to understand.

  2. Narciso

    hmmm…I have been quite pleased with MW since I transferred into them over a year ago. Have not noticed any irregular charges, but then have not studied my monthly summary well. Shall do so. But did want to chime in that unless something has changed in last 45 days, that they have performed nicely.

  3. Dan

    Absolute nonsense. The fees keep rising. In December, Merchant Warehouse (apparently) sent out a notice that if we DID NOT… “Opt Out” of some stupid program that we would be charged $6.00 a month for it… something about “Helping” (yeah, right) businesses buy supplies. I missed that…. as did many others and didn’t opt out. So… I was ripped off for more $$$.

    Merchant Warehouse as all merchant accounts take $$ out of every sale as they happen…. then batch fees… then continue to take out even additional fees at the end of the month for cards that MAY… WE MERCHANTS NEVER KNOW…. have somehow mysteriously changed in ratings…. ??? Whey the (*%$&&^%^!!! don’t we know WHEN we accept the card.??? Or at least when they take out their first chunk of our money. ????

    As far as I can find out Merchant Warehouse rates these cards ANY WAY THEY WISH! ??? $$$$$$$$ In their pocket! SO, last month when I deduct their fees from my credit card sales, I was charged right on 5% of my total credit card charges. That is DOUBLE what I was promised. Keep in mind, I have had “0″ returns, “0″ chargebacks…. NOTHING! Just beware and don’t believe a damn word the salesman tells you!

  4. Jennifer Mitchell

    I have been trying to cancel my account after my monthly charge is going up and up and have been leaving messages with the “cancellation department” for months with not a single return call and still getting charged every month for the service that I am not using. Very poor system you have going with no satisfaction from me. I am now calling my bank and letting them know they are no longer authorized to release my funds to Merchant Warehouse. Maybe this will spark a little contact?

  5. Susanna

    I am trying to leave a negative review for Merchant Warehouse and it won’t let me . Please advise.


    1. Phillip Parker

      Hi Susanna, you can leave reviews the same way that you posted this inquiry.

  6. Derrell

    Any Idea why my funds are being held for this past weekends batches even thought there were no charge backs and the amounts are basically the same as always? maybe even a little less than average. I cant afford to have money taken and not put into our account in a timely fashion. I really dislike the idea that they did it without informing me before they did it. really caught us off guard.

    1. Phillip Parker

      Hi Derrell,

      This question is best answered by Merchant Warehouse’s customer support but check out this article to better understand funding holds: Why Credit Card Processors Hold Funds.

    2. Janelle Martignetti

      Dear Darrell

      Thank you for taking the time to speak with me the other day and explain your situation. While Merchant Warehouse strives to ensure funds are deposited on time it appears this was an isolated incient in which yours was an extra business day delayed. It looked as if the batch may have missed the cut off time which can occur when the terminal is not set to the auto batch preference. We apologize for any inconvenience this may have caused and look forward to serving you in the future. If I can be of any assistance please feel free to contact me directly.

      Janelle Martignetti
      Relationship Manager
      direct: 877 529 0134

  7. Samantha

    I have used Merchant Warehouse for 2 years now and they have been outstanding. I only had one issue one time. As they billed me twice for my monthly fees but before I could even call, they had sent an email to me and corrected the problem. Now that’s what I call service. I have no problems at all and never have to contact them. I used three other companies before them and I will never change.

    1. Phillip

      Hi Samantha,
      In order to authenticate your testimonial, can you reply to this comment with your business name and location?

    2. Janelle Martignetti

      Hi Samantha

      On behalf of Merchant Warehouse I wanted to personally thank you for your business. We look forward to a long business relationship and will work hard to keep you and your company satsified with our service and support. If I can be of any assistance at any time please do not hestitate to contact me directly.

      Janelle Martignetti
      Merchant Warehouse
      Relationship Manager
      direct 877-529-0134

  8. S. Morell

    Merchant Warehouse is the WORST credit card processor: AVOID MERCHANT WAREHOUSE! They quickly approved our merchant account, telling us of zero initial fees, etc., then waited until we ran a bunch of charges. Right after that, the fees began to appear on the account – $65 for this $99 for that, etc.

    Then, they decided apparently for NO reason whatsoever to terminate our account, but they REFUSED to refund the money to our clients or pay us, instead deciding to hold the money (all of the money) for six months while continuing to impose a bunch of fees for opening and maintaining the account, and a monthly fee for six months (@ $65/mo.) PLUS an early termination fee of $295.00.

    All told, Merchant Warehouse basically stole about $1,000 of our money right off the top and is holding the rest that they say they will release in six months, but we are not counting on it because NOT ONCE have they ever returned a call or given a straight answer since they got us to sign up. We expect them to deplete all the money in additional fees, which they hide in the small print of their agreement. Do not let the salespeople lie to you about how they do business or what their practices are like. They do not disclose the truth, but you are now warned!

    All of that, plus they cost us about a WEEK of time and made us look like IDIOTS to our clients.

    Thanks, Merchant Warehouse.

    WARNING: When you search their name, you will find lots of press releases, affiliate ads masquerading as blog posts and what appear to be “shill” testimonials (similar to the first couple positive alleged reviews, above), but that appears to be part of their SEO strategy of overwhelming the online complaints by propagating thousands of web pages so the truthful accounts of their rip off practices is not viewed by prospective customers.

    Nobody at the company will even crack open our file to review what has happened or explain a rational basis for why they are doing what they are doing (which they said they would never do) other than pure stealing our money due to greed.

    BEWARE: If you are a small business, you cannot afford to do business with Merchant Warehouse. They hide out up in Boston in their corporate offices, wait until you process a bunch of payments, then do whatever they want until all your money is depleted by their fees “at their discretion.”

    Company Name: PHX AZ Web Design
    Location: Phoenix AZ

    1. Janelle Martignetti

      I am pleased to annouce that I was able to connect with Mr. Morell and apologize for all the difficulties he encountered while processing with Merchant Warehouse. Mr Morell requested that we refund some of his charges and as a result I was able to do so for him and a check was issued within the week. On behalf of Merchant Warehouse we sincerely apologize for any inconvenience.

      Janelle Martignetti
      Relationship Manager

  9. Ray

    I switched to Merchant Warehouse a few months ago and I am very pleased with them!! Last year, I realized my current processor was not the best deal around. I switched to another company for about two months and discovered they were, in some ways, even worse! After learning that the quoted rates from most processing companies are just on one type of card (the rest they can just charge whatever they want to) I found this website and contacted Merchant Warehouse. I liked the idea of not being bound by a contract so I signed up right away. Everything the representative I worked with told me was true (which was an absolute first for me in dealing with numerous processors over the years) There have been no hidden fees and they even helped me get an older credit card machine that I owned up and running again so I could save even more money. I am impressed with the service and especially with all the money I am saving on processing fees now. If you think you are paying too much for processing (and you likely are if you’re not with Merchant Warehouse), give them a try. It’s the best thing I ever did.

    1. Phillip Parker

      Hi Ray,

      Please reply to this comment with your business name and location in order to authenticate your testimonial. Thanks!

      1. Ray

        Our business name is Adams Automotive and we are located in Texarkana, AR.

    2. Janele Kahn

      Hi Ray

      On behalf of Merchant Warehouse we thank you for your business. I am glad that you are so pleased with our service and we hope to have a long business relationship with you. If I can be of any assistance at anytime please do not hesitate to contact me.

      Janelle Kahn
      Relationship Manager
      877 529 0134

      1. Ray

        Hi Janelle,

        You are welcome! I am very happy with Merchant Warehouse! Like I said, this was the very first time that everything a representative of a credit card processing company told me was true. There were no surprises on my first statement like with the other companies I have tried. I’ll be staying with Merchant Warehouse for the long haul. Thank you for the nice reply.


  10. Kurt Wiskow

    Poor disclosure of fees. They will dollar and dime you to death with fees. “Oh, that fee is disclosed on page 96 – 99 of your online agreement which you signed”. $9.95 per month plus $25.00 per month, plus the annual $99.00 “compliance fee”. And VERY SLOW disbursing of funds. Very poor attitude in customer service. Top percentage charged, endless fees and poor customer service. There are better providers out there.

    1. Janelle Kahn

      I was able to speak with Mr Wiskow today and personally apologize for the issues he experienced with his account in regards to his rates and fees. While PCI is an industry standard I did not feel that he was properly informed or aware of the PCI compliance charge due to miscommunication with his account executive. As a result Merchant Warehouse refunded the entire $99 dollar charge and Mr. Wiskow was satisfied with the resolution.

      Janelle Kahn
      Relationship Manager
      877 529 0134

  11. Narciso

    Looks like I’ll be switching over to Merchant Warehouse (MW) from Bank of America in next day or two because of deep dissatisfaction with BoA. I don’t know much about per item fees and such. But looking at the bottom line, BoA charges have ranged up to 5.6% of my credit card charges for a month, and this is for 95% person present, with virtually zero charge backs over past three years! I’m hopping to get this below 3%. I’ll let let you know my experience with MW after a couple of months. I’ll keep my fingers crossed. Thanks

    1. Narciso

      It’s been almost two months form my switch away from BoA – has been a positive experience. Appears that my cost of service will be less than 3%. Added unexpected bonus is that I have experienced much better service processing Credit/debit Cards from my international customers ( Mexicans tourists to the USA). I had significant problems with BoA, and virtually none with MW. All in all, recommend them. Just do the switch on a Monday or Tuesday – definitely not Friday…

  12. JEFF

    Working with Merchant warehouse has absolutely been the worse experience I can imagine. I encountered double billing several times and several times I called them they apologize and ensure me the mistake was noted and then I would get doubled billed again the following month. I cancelled everything when I took a 3000.00 order and they refused to send the money to my account over an error they did on their end. It took a month to get that money. Still today….. 2 months after my cancelling, I am still having to call because they charged my bank account a monthly service fee.

    If you are a small business looking to get into taking credit cards, look at the instant readers with no monthly fee. It is much cheaper and less aggravating.

    1. Janelle Kahn

      Hi Jeff

      I apologize in advance for any billing issues that you experienced.
      I would like the opportunity to speak with you to find out more about your specific situation and resolve these issues for you once and for all. Since I do not have any further contact details please feel free to reach me directly.

      Thank you

      Janelle Kahn
      Relationship Manager
      877 529 0134

  13. Fred Jones

    It seems strange that there are only negative reviews from visitors to this site, but this site still ranks them as the highest merchant account. Makes this site loose integrity in my eyes. :(

    1. Phillip Parker

      Hi Fred,

      Please see our Rating Criteria if you have any concerns regarding how we determine our ratings. Nearly all providers have a few complaints because this is a confusing and complicated industry. Merchant Warehouse scores well primarily due to its merchant-friendly contract policies and that it has a low amount of complaints compared to similar providers.

  14. Dan

    I was told when I signed up that the rates were 2.5%. My rates consistantly add up to 3.9%++ and that is before I add in their monthly fee. They promised me there were no additional charges other than the percentage fee per charge and a .10 per charge fee. That certainly has been far from the case.

    Today, I get my statement telling me that in December, they will reach into my account and take $99.00 because…. they…Merchant Warehouse…. hired someone to aid me in being pci compliant. They claim they are going to save me thousands of dollars by taking $99.00 out of my account.

    So, in a nutshell, I pay this company hundreds to thousands of dollars a month so they can tell me who I am going to business with and then take whatever fees they desire… anytime they get ready… to pay who they chose for me to do business with. Not a “Would you like to sign up” not a “We suggest”…. But a “We are going to, …and we don’t care what you think!” Well, It doesn’t matter what color of a dress you put on a duck. It’s still a duck.

    1. Janelle Kahn

      On behalf of Merchant Warehouse I am sorry for the negative situation you experienced. I would like to speak further about this matter, but I am unable to do so with just a first name for a contact. My name is Janelle and I am a Relationship Manager here at Merchant Warehouse. Please contact me directly at your convenience as your satisfaction is very important to me. My contact information is below and I look forward to speaking with you soon.

      Janelle Kahn
      Relationship Manager
      Direct 877-529-0134
      Email jkahn@merchantwarehouse.com

  15. William Harmon

    Merchant Warehouse has a ‘guaranteed lowest rate’ pledge. Well, it is a low quoted rate. But, what you and I pay in real life will sometimes be 2x, 3x or even more than their quoted rate.

    There have been times when the fees for one AmEx or VISA Rewards Card transaction totaled over 5%!!! Very high rates like this are unaffordable for merchants like me. Merchant Warehouse has added new fees or increased fees every year. Like the amazingly expensive annual security fee which is $99 – up from $79 two years ago. Between the monthly minimum, the statement fee, batch fees, complex and sometimes outlandish fees for things like Rewards Cards I have had enough.

    We cannot recommend Merchant Warehouse at all. If you do your homework I think you find a better service, regardless of their supposed guarantees. And no matter which service you choose, please review all charges carefully and ask questions or you may end up being as unhappy as I am. I have found other services that are more consistent and more affordable and I will be switching my business.

    1. Janelle Kahn

      Dear William

      I apologize in advance for the rates and fees discrepancies you experienced while processing with Merchant Warehouse. I would like to discuss this matter further with you and hopefully rectify these issues but am unable to retrieve the details in my system. Please contact me directly.

      Janelle Kahn
      Relationship Manager
      Direct 877 529 0134
      Email jkahn@merchantwarehouse.com

  16. Greg Mayer

    I was processing cards at a flat rate of 2.75%. After spending a good part of two days trading e mails, account statements, applications, and several different forms, I was approved. I requested the ability to accept American Express, which was a flat rate of 3.5%. No problem. The rates for non qualified rates concerned me. I was told, and I quote
    “After looking over your bank statements and learning a bit about what you do I wouldn’t worry too much about non qualified rates because those are just for some corporate cards and government cards which you probably wont see too much of. The rates for Non are +1.99% + $0.10. For rewards cards the rates are +1.79% + $0.10. Based on what I saw from your statements it looks as though the majority of your cards will be debit and personal credit cards which are 0.39%+$0.04 and 2.19% + $0.21 respectively. ”

    My first charge was a Visa Card. I was charged over 4% by Merchant Warehouse. My second was an American Express Card, I was denied because the application was never filed. I called AMEX directly and was approved. I was charged 3.5%. When I questioned the charges, I was told that AMEX made a mistake. They did not. After four e mails to my salesman and customer service, I still got the same answer. Finally I spoke to a different customer service rep, and the charges were explained. I was charged for three batches, even though I only charged two cards. My Visa rate was a non qualified rate of 4.18%, precisely what I had inquired about when I applied. Smoke and mirrors to get me on board! Wish me luck getting my $100 for Merchant Warehouse not beating my rate. I cancelled my account after a grand total of ONE charge.

    1. Janelle Kahn

      We successfully contacted the merchant. Although Mr. Mayer had a negative experience with Merchant Warehouse we were able to clarify any and all misunderstandings and issue him a check for $100 for our low price guarantee. The merchant was completely satisfied with the resolution and all issues and concerns were addressed.

  17. chris

    I contacted Merchant Warehouse for services processing my online credit card transactions and upon discussing the fees prior to signing up with sales agent I was given the following information:
    $10 per month from Merchant Warehouse and $7.95 per month fee for processing VISA,MC,Discover and AMEX with a 2.19% +$.25. I was assessed what i was told was a pass through charge of $79.99 without notification to me.
    Had I been aware of these charges it would have made no sense for me to begin service with them. When discussing fees with my sales rep I specifically asked multiple times about any additional fees outside of the fees listed above.
    I was told no on both occasions. I feel I was taken advantage of and given false information just to get me to start a account with them. It is the duty of the sale representative to accurately inform the consumer of the product they sell and in this case the product/service was misrepresented despite direct inquiry regarding the fees. When speaking with customer support the simply stated I signed a contract and I have to pay it. The contract is so full of legal speak that even after looking back at it I am un aware of how they came up with a $79.99 fee.
    I am in the process of canceling my account with them. and also disputing charges at my bank.

    1. Janelle Kahn

      Dear Chris

      I carefully read your comment and would like to speak further with you. At Merchant Warehouse we pride ourselves on full schedule of rate and fee disclosure to our merchants and in no way shape or form was it intended for you to be given false information. I would like to follow up with you to further discuss your situation to determine exactly what transpired during your set up process. I apologize for any misunderstandings that you experienced am happy to assist you with any wrongful charges that you experienced. Since I do have any contact information for you rather than a first name please contact me directly.

      Janelle Kahn
      Relationship Manager
      Direct 877 529 0134
      Email jkahn@merchantwarehouse.com

  18. jimmy

    The reason why I cancel with them is because we asked Merchant Warehouse several times to include gratuity in the charge slip and we were declined for the reason that we are a fitness gym. We are not a gym! But they decided to put us in this category. Just because we are called Training Room doesn’t mean we are a gym. The reason why we called it this way is because we come from professional sports background and in any professional team the Training Room is were athletes get massages and medical treatments after and before games. Indeed we do offer some fitness training but we are far from being a gym.
    We offer primarily massage. Most of our income is based on massage services. After explaining this to customer service we were told that it may be possible to add gratuity however we had to purchase a different(more expensive terminal) in order to do so. So in other words if we pay more bucks they might change their mind.
    Well we found a merchant company that with the same terminal is giving us the option to ad gratuity.
    By the way they also have horrible customer service and we will try as much as we can to let that know on internet.

    1. Janelle Kahn

      We were able to contact Management at the Training Room and we spoke at length regarding the issues which were had with the gratuity setup on their terminal. While the Manager could not specify exactly who the response from “Jimmy” was, we were able to communicate where I felt the issue occurred and apologized for any and all inconveniences that were endured during their initial term of processing. The Manager was understanding and appreciative and said he would consider using Merchant Warehouse again in the future.

      Merchant Warehouse

  19. Patricia

    Very unpleasant experience with this company and I haven’t signed on yet. Spoke to a salesman who promised me 2 free swipers upon opening an account (this offer was made to me without me asking). This sounded great for me for my small business startup, the savings would’ve been great. When I contacted them again to open the account, suddenly the offer was removed from the table, they came just short of calling me a liar. To make things worse, I was bombarded by emails from the first salesman and another salesman, it seems as though they were competing to sucker me in, pressuring me to hurry as I had 1 month to say yes to the new offer or everything would be cancelled. I was so angry, these are not the type of people I’d do business with EVER. Be warned, they are bullies and their word means absolutely NOTHING. They are unscrupulous and I do not do business with those types.

    1. Janelle Kahn

      Good Afternoon

      I apologize that your initial interaction with Merchant Warehouse was less than satisfactory. We are committed to providing our customers with a friendly, positive and informative experience when setting up credit card processing for their business. I would like to speak with you to further discuss your situation and personally apologize on behalf of the company. I am unable to contact you based on the information above so please contact me directly.

      Janelle Kahn
      Relationship Manager
      Direct 877 529 0134
      email jkahn@merchantwarehouse.com

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