Merchant Account and Credit Card Processing Questions & Answers
If you have a question about credit card processing or the merchant services industry, we will do our best to provide a helpful answer. You can ask questions by going to the form below, or visiting us on our Facebook Page and Google+ Page. Please note that it may take up to 48 hours to get a response to your question.
Trying to find a great credit card processor for your business? Check out the Recommended Processors page.
111 comments
Gabriel Uriarte says:
February 8, 2012 at 5:03 am (UTC -8 )
I need a payment Gateway to work in Spain. Could you please inform me which of the providers you have analyzed do it? I’ve seen that 2Checkout works with Spanish banks but I would like to have at least another two or three more to compare and take the decision.
Brown Mobile Welding Bruce Brown says:
February 3, 2012 at 4:55 am (UTC -8 )
Sorry, I forgot to mention this problem is with Square?
If they don’t answer me what should I do about the funds that were charged to my customer????
Phillip Parker says:
February 3, 2012 at 4:10 pm (UTC -8 )
Hi Bruce,
It is not uncommon for Square to hold large transactions for a few days, especially if they were your first transactions. You might want to try calling them. You can find their phone number in my Square review. Clear up the confusion with them before you issue any refunds or do anything drastic. Otherwise, you will just add to the problem.
Brown Mobile Welding Bruce Brown says:
February 3, 2012 at 4:50 am (UTC -8 )
I recently accepted 2 different credit card payments for 2 different invoices to one customer. Square sent an email accepting then sent me a questionair that I answered to the best of my understanding twice. It was the same questions I answered when I applied for this service. Now I have emailed their cust. srv. a few times to see why I haven’t received my funds and the only response I’m getting now is “We are comitted to answering you within 24hr now it has been 5 days and I haven’t received anything, can you help?????????????????
Rhonda says:
January 11, 2012 at 8:22 pm (UTC -8 )
HELP !!! I am desperate..here is the issue, I have a CruzT408 (tablet) I signed up for a “Square” account and reader, received both…here is the issue, I cannot get a straight answer from Cruz or Square..I need to know if the “Cruz” is compatible with Square ? I know my info tells me the Cruz has Android 2.3, but I cannot download “Square” can this be done or not..HELP…lol
Phillip Parker says:
January 18, 2012 at 11:00 am (UTC -8 )
Hi Rhonda,
Unfortunately, only Square should be able to answer this question since they are the developer of the app. Good luck to you!
John says:
January 10, 2012 at 5:30 pm (UTC -8 )
Philip, you seem to really know what you’re talking about. In mid to late 2010, I had a bad experience with Merchant Lynx Services. I did not look them up, shame on me, but their sales tactics are so deceptive, promises made and never delivered, addendums to contracts removed, hidden fees, account closure fees amounting to about $2000.00, etc. I am initiating legal action, and bringing criminal charges towards them. To get to my point, you reviewed them and listed their BBB rating. Their BBB rating as of November 2010 was a C-. Then, I checked back in December 2010, amidst my bad interactions with them, and their status was raised to a B-. I was wondering when you reviewed them, the date is not listed on the Merchant Lynx review page. Any assistance would help me greatly. Thank you.
Phillip Parker says:
January 10, 2012 at 8:27 pm (UTC -8 )
Hi John, the last update of the review was 6/25/2010. I try to update each review once or twice a year, so it looks like I’ll be getting around to them again soon. Good luck to you.
John says:
January 18, 2012 at 10:54 am (UTC -8 )
Sorry, I meant 2011, not 2010. Not used to the new year yet. Thanks for the information, Phillip. You are doing a great service to the public and small business owners with your website. It is greatly appreciated.
Nancie says:
January 8, 2012 at 1:01 pm (UTC -8 )
i had a different merchant processing company before who charged me
150.00 /year as a regulatory compliance fee. As a very small vendor doing
antique shows this certainly cut into my profits from using their services. I was
told this was a mandatory charge to any credit merchant company. It appears that
square does not have these charges associated with it. Is that possible?
I will be out of my 3 year contract with them shortly and it is worth
switching my cell phone to something else in order to accept the square reader.
if the fees are correct.
Thanks.
Phillip Parker says:
January 8, 2012 at 2:57 pm (UTC -8 )
Hi Nancy,
Correct, Square does not charge a PCI compliance fee like most processors. You may also want to check out GoPayment which is a similar service and has been getting better ratings. Additionally, GoPayment has a dedicated telephone support line whereas Square relies primarily on email support.
Jerome says:
December 15, 2011 at 9:05 am (UTC -8 )
Phillip,
Do you have any comments on First Financial Merchant Services. They currently have an A+ rating with BBB in MN.
With all of the deception in the industry, I’m trying to find a company that will allow me to make a good income as a sales agent, have a clean conscience by doing what is ethically right for the merchant.
Can you help me out?
Phillip Parker says:
December 15, 2011 at 11:05 am (UTC -8 )
Hi Jerome,
I’m unfamiliar with this provider but I did some quick research and it looks like it is a small “run of the mill” ISO. Not including the BBB, the only complaints I found were from from former agents. I’ll email you a couple suggestions outside of this thread.
leslie says:
December 14, 2011 at 1:25 pm (UTC -8 )
where/how can i recycle my terminal?
Phillip Parker says:
December 14, 2011 at 2:42 pm (UTC -8 )
Hi Leslie,
I don’t know of any recycle programs for terminals. It it is still functional, you could sell it on eBay pretty easily.
Nicole says:
December 12, 2011 at 2:28 pm (UTC -8 )
We got a quote from Securus Payments that offers us 0% on debit cards and 28 cents per transaction. I’ve never had any company offer 0% and it seems to good to be true. What do you think?
Phillip Parker says:
December 12, 2011 at 4:45 pm (UTC -8 )
Hi Nicole,
A recently passed bill in Congress set a cap of 21cents plus 5 basis points (%0.05) on what banks can charge for PIN-debit transactions. Since Securus is a third-party sales organization, it can mark fees above the cap for a profit. With this in mind, it is possible that 28 cents is a realistic number BUT you will want to clarify with your agent if it only applies to PIN-debit transactions (which it probably does). I recommend also asking how much a “signature debit” transaction will cost as it will likely be a percentage fee plus a flat transaction fee.
dixon gardner says:
December 8, 2011 at 3:42 pm (UTC -8 )
How can I find the name of the company that processes a business’ credit cards?
Thanks.
Phillip Parker says:
December 9, 2011 at 9:22 am (UTC -8 )
Hi Dixon,
Any merchant account will enable you to accept business and corporate cards. Just be sure to research all providers that you are considering before you sign up. You can find our suggestions on the Top Rated Processors page.
Geir Galen says:
December 5, 2011 at 1:26 pm (UTC -8 )
Hi, Do know who accepts a non US citizen with a US corporation and EIN, but without a US SSN?
Geir Galen says:
November 27, 2011 at 4:37 pm (UTC -8 )
One more thing. Since I`m just starting out I don`t make much money, but I`m willing to take the potential loss of providing credit card and not just PayPal Standard, to increase the chance of getting orders. I mean… a few customers who pay with credit card (that otherwise wouldn`t have bought if I only had PP) will easily cover all expenses.
Eric Deon Taylor says:
November 26, 2011 at 6:55 pm (UTC -8 )
Can the Square accept ebt cash?
Phillip Parker says:
November 27, 2011 at 6:08 pm (UTC -8 )
Square works with any US-issued and most non-US issued credit, debit, pre-paid or gift cards with a Visa, MasterCard, American Express or Discover logo. I don’t believe EBT cash cards are issued by any of these card brands, so I don’t believe that you can accept them through Square. To be sure, you might want to email Square by going here.
Elizabeth says:
November 6, 2011 at 6:14 pm (UTC -8 )
Just recieved a notice by Elavon that in November 2011 we will be charged
a $59 fee because Elavon has to now do 1099′s to government, So they
are having all account holders pay $59. This seems like a hefty charge..
times how many account holders.. How can I join with others to have this
fee investigated.. This is way more costly than the Debit Card charge of $5.00
that the Banks were going to charge. Any suggestions on how I can complain
or join a group of those who want to fight these fees.
Phillip Parker says:
November 8, 2011 at 6:38 pm (UTC -8 )
Hi Elizabeth,
Unfortunately, there may not be much that can be done about this fee. You may want to refer Elavon to this document which states in the very last question that providers are not allowed to collect fees for obtaining 1099s. Some believe that it is not a formal rule, so there may be no recourse against processors that charge for it. Due to little regulation of this industry, Elavon is free to charge any fees that they want. The best way to fight it is to take your business elsewhere.
Bob Bowers says:
October 28, 2011 at 11:24 am (UTC -8 )
Hello, I live in Eastern Canada and am talking to several merchant services providers about employment opportunities. I am not sure if this is the proper forum but I would appreciate any feedback on good companies to work for. I am speaking with Federated Payments, MOCA and I have yet to hear from Moneris.
I am interested especially in the ethics of the entire industry and those companies in particular. Thanks
Phillip Parker says:
October 28, 2011 at 12:48 pm (UTC -8 )
Hi Bob,
I haven’t done a review of Federated, but I have for Moneris and MOCA. If you haven’t already, be sure to check them out. My suggestion is to make sure to work with a company that has a good reputation. Don’t get tempted by the high commissions the poorly rated companies offer. You will only be shooting yourself in the foot later. If you care about your own reputation, work with a company that has a good one.
Blake says:
January 19, 2012 at 12:58 pm (UTC -8 )
Phil….can you reccomend a fair and honest ISO in Canada?…Thanks
Phillip Parker says:
January 19, 2012 at 4:28 pm (UTC -8 )
Hi Blake, I’m not very familiar with many of the Canadian providers but I recommend getting quotes through CardFellow and FeeFighters. I believe they have Canadian processors in their programs.
S. Chao says:
October 7, 2011 at 12:52 am (UTC -8 )
Hi Phillip,
I own a ecommerce store. We recently found a security vulnerability with our ecommerce software which is built upon ‘Product Cart”. As soon we found out about the breach we fix the problem and notify the credit card processor (Global Payments) which we been processing for 9+ years with a good track record. Without notice they froze my account and is holding a large sum of money in “reserve”. We have made numerous of calls and emails to Global trying to get someone to help us. Global has kept us in the dark and we are not sure what to do at this point. They have held my money for 40+ days. Is there anything I can do at this point?
My business is in jeopardy and some of my employees may lose there jobs.
PLEASE HELP
Phillip Parker says:
October 7, 2011 at 8:00 am (UTC -8 )
Hello S. Chao,
This is a tricky situation. Global is likely holding your money to protect themselves in the event that fraud might have taken place during your security problem. Not only that, but your merchant account agreement with Global probably states that you agreed to let them establish reserves when you signed up. Although they may be unwilling to release all of your funds right away, you might be able to negotiate an immediate partial release. I would recommend calling Global and asking if they will release a portion of the funds so that you can continue operations without disruption. Escalate your issue to someone in a management position if the agent cannot help you.
If Global will not work with you on this, try filing a complaint with the Better Business Bureau stating that you want at least part of your funds released as a resolution. Most providers care greatly about their BBB rating and will be more likely to bring the issue to your satisfaction if you get the BBB involved.
Best of luck to you!
Bessie says:
September 16, 2011 at 4:24 am (UTC -8 )
Hi Phillip,
Are you familiar with USA National Bankcard? They have quoted me a discount rate of 0.50% + .10 transaction fee for all cards. This fee also includes debit transactions. No annual fee, $5.00 monthly online reporting statement fee, $25 minimum monthly, Authorization settlement access fee Visa .03, Mastercard .02, and Discover .01 One year contract.
Phillip Parker says:
September 18, 2011 at 1:30 pm (UTC -8 )
Hi Bessie,
There are a few companies with a similar name to the one you mentioned, so I would need the website to know which company we are talking about. Also, it is impossible for me to say whether you are getting a good quote without seeing the merchant account contract and understanding your business. My suggestion would be to read Fee Sweep to understand how rates are calculated, and that should help you understand if you are getting a good quote. Sorry that I can’t give you a more complete answer to this question, but I don’t want to mislead you.
Shaun Salari says:
September 1, 2011 at 2:47 pm (UTC -8 )
Hey Phillip,
Have you or do you plan to review Century Payments? They have a partnership with a company called TransEngen that has a really similar product to Trinity by PayJunction. I would like to know if Century is a easy and well established (reputation-wise) as PayJunction.
Thank you for your time. Have a great day!
Warm regards,
Shaun
Phillip Parker says:
September 2, 2011 at 12:22 pm (UTC -8 )
Hi Shaun,
I should be reviewing Century Payments in the near future. All that I can really say right now is that they look to be performing well so far. They appear to be mid-size operation and have relatively few complaints filed, which is a good sign. The only thing that catches my attention is that they started business in 2009, so it may still be a little early to pass a final judgement. I’ll a little deeper soon so subscribe to my RSS or email notifications to get notified when the review is up. Thanks!
Michelle Samuel says:
August 14, 2011 at 7:42 am (UTC -8 )
Hi,
I want to complain about a credit card procession company, RBS Worldpay. Is there any federal or state agency that regulates those?
By the way, I found your book and your website really helpful.
Phillip Parker says:
August 15, 2011 at 5:27 pm (UTC -8 )
Hi Michelle,
Thank you for the kind words. There is no agency dedicated to regulating credit card processors, but I have heard of merchants complaining to their state’s attorney general and getting results. Sometimes just the threat of doing so seems to do the trick. It’s also a good idea to file a report with the Better Business Bureau if the processor is being unreasonable about something. I’ll make sure to add RBS WorldPay to my list of processors to be reviewed. Best of luck to you!
Robert says:
August 4, 2011 at 6:53 pm (UTC -8 )
Phillip,
During my credit card processor search I came across a question that I was looking to get some unbiased response and knew just where to go. Here goes…
I was talking with payjunction looking at an emerchant account. This would be our own checkout screen in my website that just gets the CC processed through them. They threw out a few numbers that somewhat caught me by surprise. Now I had done some research before hand and I thought that they did not have a annual fee. The sales guy said that there was a $60 annual fee on top of our monthly fee. Is it typical to have these companies charge an annual fee? Why would we be charged an annual fee on top of a monthly fee?
Thank you!
Phillip Parker says:
August 5, 2011 at 9:20 am (UTC -8 )
Robert,
Nearly all processors nowadays charge and annual “PCI Compliance” fee that cost anywhere between $50 to $150. PCI compliance has to do with protecting credit card data as it is being transferred and stored. Processors have to pay an annual fee to the PCI compliance board, which gets marked up and passed onto the merchant. In some cases, processors simply call it an “annual fee” to avoid confusion with merchants. You will want to ask PayJunction if the annual fee covers the PCI compliance fee. If it does not, you may want to consider asking for the annual fee to be waived.
Robert says:
August 6, 2011 at 8:50 pm (UTC -8 )
Makes sense to me. Thanks for the info!
John says:
July 7, 2011 at 10:40 am (UTC -8 )
Hello Phillip
I recently had a merchant account open with Flagship/Ipayment, 2 months(Processed over $13,000), only 1 chargeback for the partial amount of $20, and for some reason they decide to shut me down last week, and as Iam sure you know, they held my last batch(over $900) and debited my checking account for over $1500.
My average ticket is $200, and my monthly average is $8000 permonth. The service I provide is technical support through the internet and onsite tech support aswell,and it is home-based I don’t believe my business is high risk, so I have no idea why they would do this. They did not give me an excuse why they shut it down, and simply told me they did not want to business with me anymore.
Over the last week I have cleverly found ways to maintain my business afloat(Checks, Cash), but I have over 6 different cards that need to be processed due to existing clients only requesting credit card payments,not to mention future clients, this puts me in a big limbo. This is what make or breaks a small business!!
I have called and applied in several new card proccesors(first data, merchant warehouse) but some are requesting a co signer and some are requesting a bunch of other hoopla(utility bills, id’s,last 3 months of bank statements, and so much more paperwork), and noting that it wont guarantee me getting approved, which they’re basically telling me “I dont want to do business with you”. I ám guessing i pissed off the wrong guy at Ipayment and they negatively noted my account………
Any card proccesors in mind that will take my business? IYO, is it high risk?
I have found one that seems willing, http://www.capitalmerchant.net/ but from the looks of it, it’s a reseller trying to put me with Cynergy, and I feel uncomfortable sending him all my documents.
Please, help is appreciated
Thanks
Phillip Parker says:
July 7, 2011 at 9:55 pm (UTC -8 )
Hi John, I can only speculate as to why Flagship/iPayment terminated your merchant account. My guess is that they deemed you as an account that posed more risk to them than they wanted to accept. Since merchant account providers act as a middleman in the credit card processing industry, they run the risk of losing money if you become insolvent and then suffer chargebacks or fraudulent transactions. When a chargeback occurs, the customer’s bank automatically credits the customer by debiting from the credit card processor that charged the card. From there, the credit processor in turn debits the merchant. If the merchant disappears, the credit card processor takes the loss. Since you had such high volume from the start, and had a chargeback within only two months, Flagship/iPayment probably decided to pull the plug to avoid potential future losses. My advice to you would be to avoid chargebacks at all costs because too many of them can result in getting put on the TMF/Match list, which will make it impossible for you to get another merchant account from any provider.
As for the issues you are having getting a new merchant account, it is very common for credit card processors to require additional documentation. In your case it is probably because you have a high transaction volume and were terminated by your previous provider. The only credit card processors I recommend at this time can be found on the Recommended Processors page. Best of luck to you!
Carol Heinzl says:
June 30, 2011 at 6:30 am (UTC -8 )
Good Morning,
I am on the verge of signing up with “Bureau of National Merchant Services” who are offering me a tiered % on interchange rates, month to month contract, .20/transaction fee, they sound good. The problem is a feeling of uneasiness….they never communicate through email, are a bit slow on return calls, unimpressive when I called their merchant service number. They do have an A rating w/BBB, but that is because they resolved 12 complaints in the last year. The girls who process the credit cards are crying for a new terminal, so I need to act ASAP. I am going to check out your month to month service link. Another problem is the business owner has already signed the papers for Bof NM, and is out of the country for one month. But I sure do not want him, or me, having troubles with a faulty merchant service. Can you shed any light on this?
Phillip Parker says:
June 30, 2011 at 10:36 am (UTC -8 )
Hi Carol, there are a few things that raise flags with me about what you said. First, “tiered % on interchange” sounds to me like traditional bucket pricing. If that is the terminology they are using with you, I would be cautious. Secondly, if you are feeling uneasy with a potential merchant services provider, then you should probably look elsewhere. You should feel comfortable with the choice you are making. Lastly, if your owner already potentially signed up with B of NM, your company may be locked into a contract. Before you get another merchant account, you will want to find out if B of NM has a cancellation fee.
I hope this helps!
Cindy says:
June 16, 2011 at 2:13 pm (UTC -8 )
I am currently using Chase Paymentech platform thru a local processor -
Veracity Payment solutions. I worked with someone there that I new and trusted – she is gone- my prices keep rising-
along comes sales person (via phone) selling Innovative Merchant Solutions. – Swiped debit card rate of 1.35%
Swiped credit card rate is 1.69%
Mid-Qualified Key entered card and phone orders rates are 2.19%
Non-Qualified business and corporate card rate is 2.79%
a .20 per transaction fee
$5.99 monthly statement fee. (current co. said they would lower from10-$8)
Innovative is offering:
NO APPLICATION FEE
FREE QUICKBOOKS 2011 PRO SOFTWARE.
FREE CREDIT CARD TERMINAL.
NO SETUP AND ACTIVATION
FREE SHIPPING
NO ANNUAL FEE
Waiver on the cancellation fee
Waiver on the contract – just month to month
includes $50,000.00 data breach insurance (this would be $5.00 per month at current comapny) \
21.95 per year PCI ($85 from current company)
sound to good to be true………….so i was researching and came across your blog-
they do not have very good reviews-
what do you think??
Tammy Woifgram says:
June 10, 2011 at 6:48 pm (UTC -8 )
Hi Phillip,
I’m glad I found you, as I can’t seem to find the answer to my question anywhere online. I was told there are only ten or eleven “direct processors” but everyone, and I mean everyone, tells me that they are a direct processor and the other guy isn’t one. So, what are the names of the direct processors that service the US? And if there are more than the ten or eleven I was told, how can you really tell if a business is a direct processor or a third party processor?
Thanks!
Phillip Parker says:
June 12, 2011 at 10:42 pm (UTC -8 )
Hi Tammy,
There are actually more than ten or eleven “direct processors” in the credit card processing industry. A company is considered a direct processor when it processes the transactions in-house and has a direct partnership with an Acquiring Bank with no third-party companies standing in between. I do not have a list of all the direct processors out there, but one way to tell if you are dealing with one is with the merchant account contract. If a company is a third-party sales organization (ISO) the contract will list the actual processor. There isn’t necessarily any benefit to dealing with a direct processor because the relationships between the organizations can be set up in many different ways, and may result is the same cost to the merchant. Also, many direct processors do not sign merchants directly and require that you sign up through an ISO. Of course there are exceptions such as Chase Paymentech, which is a direct processor and signs up merchants with its own sales department.
Hector says:
June 1, 2011 at 9:56 pm (UTC -8 )
Hi Phill, this blog is amazing, and i hope you go big with it, because you give serious solutions to small business owners.
Phill, heres my situation. I use to work for a company in 2004 and the merchant service was under my responsibility, but i left without canceling the service, than start my own business later on 2006 and i got approve by chase paymentech, got cancel 3 month after no reasons.
Now, 2 weeks a go, I fill paper work with first data, got approve in 3 days, the days after i got canceled, the reason, they told me that american express got me on their match list.
To make the story short, i contact AMEX, they told me that they decide to cancel the account in jan-2007 for the company i used to work with, amex rep told me that in heir side theres no problems, or pending legal mater, sue, liens, or money own to them, the rep makes it look like everything is under control, she told me that my processor acquirer should contact them, unfortunatelly, firsta data has strong polocies and they are not interested in giving service to those who are int he match list, no matter the reasons, the acquirer wont call them.
Please let me know what are my next step or what company you recomend who’s willing to work with this situation.
Best regards, and thanks for your time
Hector M.
Miami, FL
Phillip Parker says:
June 2, 2011 at 11:10 am (UTC -8 )
Hi Hector,
The only way to be removed from the TMF/Match list is by the processor that placed you on it. My advice would be to make sure that AMEX isn’t the only company that reported you. There is the possibility that Chase Paymentech may have filed a report if they also cancelled their account. Unfortunately, there is no easy way to go about getting removed other than persistence and follow-up. Be sure to keep a record of all your calls, who you spoke with, and what was said. Last but not least, avoid getting angry with the representative and be courteous throughout the process because it will help speed things along. In the meantime, PayPal may be your best option because there are not any reputable processors that will give you account without charging you an arm and a leg for it. Best of luck to you!
Hector M. says:
June 15, 2011 at 12:36 pm (UTC -8 )
Thx Phillips for your support, This situation is putting in the bottom, my business is low in sales and my competition is eating me alive because they process credit cards or give credit terms.
I’m trying to my best to solve this matter until im satisfied with a reasonable answer from AMEX, i will call Chase paymentech to see if they where the one that put me in the list.
I will update this threat, because i know I’m not be the only one with this issue.
Chet K says:
May 7, 2011 at 12:25 pm (UTC -8 )
Hi
A person asked you about Bank of America’s Mobilepay…..I believe you are mistaken in what you think the product is. Mobilepay is a web based merchant payment portal that you can access via your smartphone’s internet browser, With a logon ID and Password, no app to download. Person presents you a card and you key enter the transation, by years end they will have a sled so you can swipe cards. But I don’t understand the comment that your donor needs to have a compatible smartphone? The donors phone plays no role in the transaction, just the credit card in his or her wallet is needed.
Otherwise, you make some nice reviews on the other questions.
Thanks
Chet K
Phillip Parker says:
May 9, 2011 at 5:29 pm (UTC -8 )
Hi Chet,
Thank you for the comment. Are you sure that we are talking about the same product? The one you are describing is not the MobilePay application that I’m describing. Here is the one I believe the question was referring to and the the one I was providing an answer for: http://www.mobilepayusa.com/Home/HowItWorks
As you can see, this is not a product for the Merchant to accept mobile payments (although, it could possibly be used for that) and it does require the customer to have a compatible smartphone to download the app.
Betsy says:
April 20, 2011 at 11:06 am (UTC -8 )
Hi Phil,
Very interesting site. I am a complete newbie and want to make sure we contract with the right company at the right price. They all seem to have different fees which are difficult to compare. Does this sound reasonable to you?
2.19% discount rate
.24 transaction fee
5.00/month support/statement fee
14.95 gateway fee
PCI compliance fee $18.80/quarter
This is for a strictly internet processed transactions. Are there any fees that seem to be missing and do these fees seem reasonable for a first time relationship?
Thanks!
Phillip Parker says:
April 20, 2011 at 12:10 pm (UTC -8 )
Hi Betsy,
The monthly fees sound fair and the the quoted rate is standard; however, they have only quoted you the “Qualified” rate. There are two more rate tiers call “Mid-Qualifed” and “Non-Qualified” that can add surcharges of 1.5-3% to each transaction. You will want to find out how much these rate tiers will cost because about 80% of your sales will run at the Mid- and Non-Qualified tiers. For more information about how rates are calculated, be sure to read my ebook Fee Sweep. You may also want to consider getting quotes from other processors on the on the Find a Provider page.
Betsy says:
April 20, 2011 at 1:06 pm (UTC -8 )
Hi Phillip,
Thank you for the very quick reply! I will dive a little deeper into my education and research.
Phillip Parker says:
April 20, 2011 at 2:27 pm (UTC -8 )
Hi Betsy,
Glad I could help, and thank you for your purchase of Fee Sweep! Please feel free to contact me with any other questions.
Cristy says:
March 29, 2011 at 12:58 am (UTC -8 )
Hi Phillip,
As a new business starting out very bare-bones, I am interested in merchant accounts where I can swipe on a smart phone or key in on the computer. I know about Square for smart phone swipes, but I don’t like the $1,000 per week limit for normal processing.
I came across a company called Merchant Anywhere (Advanced Merchant Solutions). They seem to advertise the best rates at 1.69% swiped or 2.2% keyed and 30¢ per transaction and a $25 flat monthly rate. Also, they automatically batch transaction for the customer everyday- so no rate inflation or fee for forgetting about that. The other advertised terms seem very favorable; no start up fee, no commitment or cancel fee, no statement fee, gateway and virtual terminal are included free.
Am I missing something? I am not sure if this company is legit. Their website looks like it’s out of 1998.
Phillip Parker says:
March 30, 2011 at 9:07 pm (UTC -8 )
Hi Cristy,
I did some quick research on Advanced Merchant Solutions and I was surprised to find that it is registered as an Independent Sales Organization (ISO) with Visa. I was fully expecting not to find them on the list due to the out-of-date website, like you mentioned. They also appear to have an “A+” rating with the Better Business Bureau and no complaints in the usual forums.
The rates they quote are only the “Qualified” rates, which less than 20% of your transactions will fall into. If you talk to them, I would ask them to also quote you the “Mid-Qualified” and “Non-Qualified” rates and have them explain which cards fall into each of the buckets.
It all sounds a little too good to be true, but it is possible that there aren’t any other costs or commitments. I would be sure to read the contract very closely before you sign it. You may also want to checkout Merchant Warehouse, as I know they have a similar set up and month-to-month contracts.
Joan says:
March 28, 2011 at 8:46 pm (UTC -8 )
We are non-resident own Delaware LLC company dealing with SEO services.
We have paypal from our country but paypal wouldn’t let us open a business account with the LLC.
We have to find a merchant account now. Thanks in advance for any suggestion or ideas.
Regards,
Joan
Phillip Parker says:
March 30, 2011 at 9:16 pm (UTC -8 )
Hi Joan,
Nearly all U.S. processors require that you have a U.S. subsidiary to open a merchant account with them. If you are based in a different country and the processors don’t want to recognize your Non-Resident Delaware LLC, then you will likely need to set up with a large processor that handles international credit card processing, like Elavon or Global Payments. If the large processors will not approve you, then you will likely have to go with an off-shore high risk processor.
Shannon says:
March 24, 2011 at 7:36 pm (UTC -8 )
I am looking at a company called Merchant Services Direct, LLC from Spokane, WA. They have a B+ rating on the BBB, but are not accredited (13 complaints over three years filed, with all but one resolved). The young man called me on the phone and said he was coming to my area. I made the appointment with him because I have been unhappy with my processing fees through Intuit direct through Quickbooks. His offer was $5 monthly service fee, 1/2 percent above the cc company fees on transations, .10 cent transaction fee, no terminal cost and no machine contract (limitation) . Of course I was in a hurry and signed the paperwork, gave him a voided check and never read a word. That was last Friday, I am waiting for my machine to show up, but meanwhile he has used my name as a company that signed with him – so in the small town that I am in, people are coming to me for my opinion. Now the pressure is on and I am hoping they are a good company with great rates.
Thanks,
Shannon
Shannon says:
March 29, 2011 at 10:19 pm (UTC -8 )
Apparently we are looking at Interchange Rating – not exactly sure of the advantages or disadvantages. I process a very low volume and my husband’s business processes around $2,000 to $5,000 per month. The other company that we are looking at is Central Payments. Any advice would be greatly appreciated.
Phillip Parker says:
March 30, 2011 at 8:43 pm (UTC -8 )
Hi Shannon,
If by “Interchange Rating” you are referring to Interchange Pass-through rate pricing, then it looks like you are getting setup is the lowest rate pricing model. This, of course, depends on how much the provider is marking up the rate. Without knowing this information, it’s hard for me to comment much further on it. As for the provider, I suggest reading my Central Payments Review.
freddie jones says:
March 7, 2011 at 8:09 am (UTC -8 )
Hi Phillip,
very nice site. you are doing a good thing helping people not get taken. we are just starting a business that will require mobile credit card processing. to say the least it is very very confusing when you dig deep.
from my research being able to swipe will generate a better rate so im looking at companies that allow swiping on Smart Phones (we have an android). do you recommend any companies to look into for the ability to use smartphones with for swiping (and keying in of course as well)?
also i noticed there are only a few companies out there providing the smartphone swiping service (for android)….like Roam Pay, AprivaPay, and Magtek. do you recommend one over any others?
thank you very much for your answers
Phillip Parker says:
March 7, 2011 at 3:31 pm (UTC -8 )
Hi Freddie,
If you sign up with any of the providers that you mentioned, you will also need to sign up for a traditional merchant account. Since you are just starting out, it might make sense to avoid getting a merchant account until your credit card processing volumes exceed $10K per month. The reason for this is because most merchant accounts will cost you at least $30 per month even if you don’t process a single transaction. Not only that, most merchant account agreements require a 1-3 year commitment and come with hefty early cancellation fees. Another option you might want to consider is Square ( squareup.com). The transaction fee is going to be about 1% higher than a normal merchant account but there are no monthly fees, no contract, the swiper attachment is free, and it’s compatible with Android phones.
K. St Clare says:
March 4, 2011 at 10:55 am (UTC -8 )
I am looking in to accepting credit and debt cards for our lawn care company. We can’t be carrying around a lot of machinery to take the cards so I thought that being able to call them in would be perfect. I found a company that does this but I can’t seem to find any reviews about them. I want to know if I can trust when a company says “this is our fees” that they are not lying or omitting things. They say they do not have monthly fees and that is really what I am looking for. We don’t know how often we would be taking cards so I don’t want to pay for something we may not be using often.
acceptcreditcardsbyphone.com
Phillip Parker says:
March 4, 2011 at 12:55 pm (UTC -8 )
I have never heard of this website but it looks like a sales page for Alpha Card Services, which has a “B-” rating with the Better Business Bureau. Do you currently accept credit cards through any other means, or are you looking to start?
K. St Clare says:
March 5, 2011 at 8:29 am (UTC -8 )
No we do not accept cards at this time. I just liked that there were not any monthly fees and no new equipment to buy. We do not no have a smart phone so we can’t get a reader that attaches and I don’t want to pay for a new phone line for us to get a wireless reader. We really have no idea how much we will even be getting paid by credit.
Phillip Parker says:
March 6, 2011 at 12:16 pm (UTC -8 )
I just read the merchant account application and contract and there are a couple things that raised concerns. First is the claim of no monthly fees: I can see that there is not a “monthly minimum,” which means that you don’t get charged a penalty (or minimum fee) for not charging anything in a month. However, if I understand the merchant account application correctly, it looks like there is a $23.99 monthly “wireless service fee.” It also says that there is an additional $0.05 fee per transaction and a $50 “wireless activation fee,” which contradicts what the site says.
Aside from the fees, the service agreement’s cancellation policy is the most concerning part. It says that it is a three (3) year agreement with an automatic one (1) year renewal, unless you write in 60 days prior to the expiration date to cancel it. Not only that, the early termination fee is what is known as a “Liquidated Damages” fee. This means that if you were to cancel early, you would owe them all the remaining fees that would have been assessed for the remainder of the contract, plus “termination expenses” and any other “damages” they decide to charge you. “Liquidated Damages” early termination fees can run into the thousands of dollars, and are vague and misleading. Personally, I would never sign a contract that has auto-renewal and liquidated damages clauses.
K. St Clare says:
March 6, 2011 at 2:16 pm (UTC -8 )
Wow! Thanks for looking at that for me. I would have never known. I think I will look elsewhere.
Elisha says:
March 3, 2011 at 11:06 am (UTC -8 )
My organization is looking into using MobilePay through Bank of America for our fundraiser events. We currently have three wireless credit card machines, but think the mobile phone option will help us fill in the gap when we need more.
Do you have any experience with them? Are they as secure as the machines?
The literature says no extra fees, but that is hard to believe.
Thank you,
Elisha
Phillip Parker says:
March 4, 2011 at 10:34 am (UTC -8 )
Hi Elisha,
The MobilePay technology is interesting, but I think it has a lot of limitations for your needs. First, your donors must have compatible smartphones, and second, they must already be using the MobilePay app. MobilePay is still trying to get this product off of the ground, so it doesn’t surprise me that there are no extra fees for it. Another option you might want to consider is Square (Squareup.com) because it will allow you to easily swipe credit cards with your own smartphones. With both MobilePay and Square, you should be able to fill in all the gaps and not pay any extra monthly service fees.
Best,
Phillip
Raymond Kishen says:
March 3, 2011 at 10:33 am (UTC -8 )
Can you look at a company called, Affinipay or Affiniscape Merchant Solutions I don’t see that much on complaints about them from anywhere.
They are recommended by our association with ACSI schools, kind of a coop thing, I did notice they also work with alot of law firms also.
The bank behind them is Harris Bank and I found some negative about them, but nothing I think is not typical of people complaining or venting over strange fees.
Thanks very much.
Phillip Parker says:
March 4, 2011 at 10:43 am (UTC -8 )
Hi Raymond,
Thanks for bringing these processors to my attention. I did some quick research on Affinipay and Affiniscape Merchant Solutions and I didn’t see anything that would indicate that they would be troublesome. As you mentioned, the complaints are pretty typical and of the same type you will find of the credit card processing industry in general.
Best,
Phillip
Heather says:
January 18, 2012 at 8:30 pm (UTC -8 )
I’m also looking for info on Affinipay. I find it disconcerting that I can’t find any reviews on any of these companies. Why would they need so many names? I’ve heard that processors who change names-from Affiniscape to Affinipay, it’s usually because they have something to hide. Who’s doing the processing? If there are only 11 TRUE processors, why can’t I find who the processor is? I went to the Harris site and it says they recommend Moneris. So, is that the processor? I’m really confused.
Phillip Parker says:
January 18, 2012 at 9:29 pm (UTC -8 )
Hi Heather,
Generally speaking, providers will change names when their current name has become overly tainted with bad reviews. Sometimes they will operate under multiple business names to spread complaints across several names. I’m not sure where you heard that there are only 11 true processors, but that is not actually the case. There are dozens. If you want to better understand this industry and keep yourself from getting a bad deal, I recommend reading my ebook, “Fee Sweep.”
Richard Simon says:
February 28, 2011 at 4:24 am (UTC -8 )
Hi,
Interesting site. My wife and I currently run a travel site in Chile, where we we deal with an international clientele. There is almost no such thing as a routine tranaction! Sometimes our clients pay the providers and the provider will pay us a commission, sometimes we charge clients just a small booking fee via credit card through PayPal, and sometimes we charge clients the full cost (several $K) and forward the net costs to the hotel booked on behalf of the client. We typically collect the credit card info from our clients and key it in as needed, and never swipe cards. We have been using PayPal, but it is problematic, with rejected transactions or difficulty in accessing the funds. PayPal is also costly, with the transaction fees for international credit cards as high as 3.9%.
We are considering going the merchant account route. Our transactions are sporadic, consisting of 5-10 small ones (~$15 – $25) each month, plus occasional charged of, say, $500 to $5000 which may be one or two every couple of months, normally in US$. I am from the US with a good US banking connection, but our company is part the travel industry, located in Chile, and dealing with international credit cards. This seems to put us well into the high risk categories with maximum fees and rates for any Merchant Account, and large
Do you have any suggestion on providers which might be able to reduce our high costs with PayPal, and would be willing to deal with our particular niche?
Thanks in advance.
Richard
Phillip Parker says:
March 1, 2011 at 10:39 am (UTC -8 )
Hi Richard,
Your best bet is to go with a large direct processor that has an international presence. Off the top of my head, I would say that Elavon or Global Payments may be a good options for you. You may also want to get a quote from Merchant Warehouse because they use First Data as their processor, which is a one of the larger processors in the industry. The bad news is that your type of business is generally considered as “high risk,” meaning that you may have no choice but to be subjected to high transaction fees.
Best of luck to you,
Phillip
Greg Wiles says:
February 2, 2011 at 3:56 pm (UTC -8 )
Have you had any experience or comments regarding Electronic Payment Exchange (EPX)?
Thanks.
Phillip Parker says:
February 3, 2011 at 12:15 pm (UTC -8 )
Hi Greg,
I’m personally unfamiliar with Electronic Payment Exchange (EPX) but a quick search revealed that the company is not registered as an Independent Sales Organization (ISO) with Visa, which is a requirement for all companies wishing to provide Visa credit card processing. This could mean that they are registered under a different name, or that it’s ran by a small team of independent sales agents who resell other companies services, or that they are simply not registered. My educated guess is that the company is a small third-party reseller of merchant accounts and payment solutions.
Wally Krause says:
February 2, 2011 at 10:03 am (UTC -8 )
Dear Phillip:
I am interested in your book. However, I am hesitant to provide my CC#
over the internet. Please call me so we can do the transaction over the
phone.
Thank You
Wally Krause
(phone number removed)
Phillip Parker says:
February 3, 2011 at 1:37 pm (UTC -8 )
Hi Wally,
I use PayPal’s checkout, so you wouldn’t be providing me your credit card information. I also cannot accept credit cards over the phone, so my website is the only option at this time. I can assure you that is very safe.
Best,
Phillip
Geir Galen says:
November 27, 2011 at 4:33 pm (UTC -8 )
Hi,
1. I own a Delaware corporation, but am not a US citizen. Is this something I have to mention, or doesn`t it matter as it`s the corporation I`m signing up with? I operate purely in ecommerce, with payments through my stores.
2. Currently I`m operating several stores. Do you know if it`s possible to have them all under “one roof”, or do I need one account for each store, thus paying the fees over and over? Since the stores are not considered high risk, in my opinion (one sells rugs, the other hammocks, another dog products).
Phillip Parker says:
November 27, 2011 at 5:57 pm (UTC -8 )
Hi Geir,
Here are your answers:
1. You mentioned in another comment that this is a new business. In that case, Most U.S. providers are going to want a personal guarantee from the owner or founder, which means that you would need to be a U.S. citizen with a Social Security Number. For established corporations and LLCs that can provide financial documentation, most providers will waive the requirement for a personal guarantee. These policies will vary from one processor to the next, so it’s best to make them aware of your situation before going through the application process.
2. If your stores have different names and sell different products, most providers will want you to have (or require) separate accounts for each store. This is because you can only provide one business name that will show up on your customers’ credit card and bank statements per merchant account. The policies vary from processor to processor, and some have better systems in place to serve merchants with such a need.
Bessie says:
January 30, 2011 at 7:24 am (UTC -8 )
Hi Phillip,
I find your website very informative. Do to circumstances beyond my control, I have had to switch gears in my career. With a background in insurance, I have turned to merchant services to possibly replace my income. I also have quite a few agents that I would like to bring on an earn overrides as well if that is possible. I have done a lot of research, but you really don’t know a company till you become involved with them. Do you have any recommendations for this scenario? I don’t see your review on Capital Bankcard. Also, your bio says former agent, what are you doing now?
Shaun says:
February 25, 2011 at 5:08 pm (UTC -8 )
Hey Bessie,
In short, Capital Bankcard is Merchant Warehouse. CB is the agent partnership side of MW. As an agent for CB you receive all the great benefits of MW….great pricing, great products, and great service.
Have a great day!
Warm regards,
Shaun
Melody Hendrix says:
January 18, 2011 at 4:09 am (UTC -8 )
I will be a vendor at an open air market. I don’t have a computer or phone with Internet access at my location. I must wait to get home to process the credit cards on my computer. I think Propay will give me that ability, but was wondering if there was anything else less expensive.
Phillip Parker says:
January 18, 2011 at 10:55 pm (UTC -8 )
Hi Melody,
I do know of another option that is better than Propay. If you email me at phillip@cardpaymentoptions.com I’ll be happy to send you the name.
Mary says:
January 14, 2011 at 7:15 am (UTC -8 )
I am thinking of changing my merchant services to NorthAmerican Bancard they are offering me 1.99 for qulaified and .99 for non-qualified – how reliable are they is there any kind of scam??
Thank you for any information you can give me on them.
Phillip Parker says:
January 18, 2011 at 10:58 pm (UTC -8 )
Hi Mary,
These fees seem high to me and the quote looks incomplete. If you email me at phillip@cardpaymentoptions.com I’ll be happy to refer you to a company that can probably better serve your needs and won’t hide fees from you.
michael says:
March 27, 2011 at 12:59 am (UTC -8 )
Hi Mary,
I would stay away from North American Bancard out of Troy, MI.
I am current embroiled in a dispuse with them now. If you are interested in more
details you can email me directly.
Michaelh@ctmstudios.com
Shaun says:
January 12, 2011 at 11:43 am (UTC -8 )
Hey Phillip,
First of all I just would like to say that your website is so informative and has helped me a lot. I am currently looking for a new processor because I feel my rates are too high. I have run across United Bankcard, but don’t see them reviewed on your website. Have you had experience with them? Also, because of my business type I have been told that I may need to look at high risk processors. Are any of the processors that you have reviewed in the market of processing high risk businesses? If not, could you recommend someone?
Thank you very much for your time. It is because of people like yourself that us business owners can make heads or tails of this industry. Have a great day!
Warm regards,
Shaun
Phillip Parker says:
January 18, 2011 at 11:00 pm (UTC -8 )
Hi Shaun,
I haven’t reviewed United Bankcard yet, but they are on my radar. If you email me more information about your business, I’ll be happy to recommend a provider that will fit your needs.
Pilar says:
January 11, 2011 at 5:57 pm (UTC -8 )
Hi Phillip
I am considering accepting e-checks by ITI Internet Services. They charge $1.36 per transaction. I am very tired of accepting credit cards, however I can not stop accepting credit cards because it would be inconvenient for some clients. I just need to minimize my use of them . I own a Day Spa and I have new customers almost everyday and most new clients pay by credit. Do you recommend e-checks and ITI.
Sincerely,
Pilar
Phillip Parker says:
January 12, 2011 at 10:02 am (UTC -8 )
Hi Pilar,
I’m not familiar with ITI Internet Services so I won’t be able to help you with that part of the question; however, I do have some thoughts on e-checks. I understand that the cost per transaction may be less for e-checks than for credit cards, but the use of checks is declining. Also checks do not offer nearly any of the same fraud protections and benefits that credit cards do, so it’s unlikely that very many of your customers will opt for using a check instead of a card. You may want to consider accepting PIN-based debit card transactions because the fees can be much less than charging a normal credit card, especially for transactions exceeding a $100. Simply ask your current processor about it and they should be able to offer you the service. If not, you may want to consider changing processors.
Best,
Phillip
Robert says:
January 12, 2011 at 8:47 pm (UTC -8 )
Pilar,
To add on to what Phillip said (but from a consumer’s prospective). I NEVER carry cash or checks. I only pay with debit or credit. The the retailer does not accept credit or debit, I will not do business with them.
Lori says:
January 4, 2011 at 5:48 pm (UTC -8 )
I just bought your Feesweep guidebook Phillip.
It is really good.
I bought it because I sell credit card processing. After months of researching the best, most credible processors in the country, I’m just hired, and changed companies to sell for them.
I bought your book because I want to be as knowledgeable as possible for my customers. Even after selling processing for a year there is so much to learn. And it is a growing changing field.
Thank you for writing it.
Lori
Phillip Parker says:
January 4, 2011 at 6:14 pm (UTC -8 )
Hi Lori,
You are very welcome. Thanks for letting me know that it helped you and for the testimonial on the Fee Sweep page.
Best,
Phillip
Matt says:
December 3, 2010 at 11:30 pm (UTC -8 )
Hi, I have been researching credit card processing services and am feeling a bit overwhelmed. I don’t need any equipment, as most of my sales can be done manually on a virtual terminal or via my website. A, acquaintance of mine approached me about pay junction and it seems pretty great. However, he mentioned to me that it takes about $500 to start up. I inquired if there were any monthly fees and I didn’t get a straight answer. Would you happen to know if pay junction is a good processor and what the standard fees are?
I am also looking at American Express’s Accept Pay, which is powered by Pay Simple. This one also seems pretty good as well, but not sure on its reliability, as I can’t find a whole lot of information on online.
Any advice would be greatly appreciated.
-Matt
Phillip Parker says:
December 6, 2010 at 10:26 am (UTC -8 )
Hi Matt,
I’m a fan of Payjunction’s Trinity System, but it can be a little costly for businesses that process under $10K a month. The agents at Payjunction have a lot a price flexibility. It sounds like the agent you are dealing with may not be fully educated on the costs, so I would be cautious if you decide to work with him/her.
I’m not very familiar with Accept Pay or Pay Simple, so I can’t offer much advice on them. One company that I have been happy sending referrals is Merchant Warehouse. They seem to have good pricing and the people I’ve sent there seem happy with their services.
If you truly want to understand credit card processing, make sure to check out my ebook “Fee Sweep.”
Best,
Phillip
sharon calow says:
November 29, 2010 at 5:54 pm (UTC -8 )
I NEED HELP TO GET OUT OF MY CONTRACT WITH TANGERINE.
THE EQUIP FAILS CONSTANTLY, OVERCHARGES, NO TECH SUPPORT,
OUTRAGEOUS CANCELLATION FEES THEY MISLED ME WHEN I SIGNED UP. PLEASE HELP.
Phillip Parker says:
November 30, 2010 at 10:48 am (UTC -8 )
Hi Sharon,
Unfortunately there may not be many options because you likely signed a contract with them. Tangarine is a reseller of Elavon, so the only advice that I can offer would be to call Elavon (Elavon.com) to complain because they may be able to help you; However, I can’t say for sure if they can do much. If you can prove that Tangarine mislead you, then you may want to contact an attorney who can guide you in the legalities of the matter. Good luck!
BH says:
November 18, 2010 at 12:27 pm (UTC -8 )
Hello. I need to cut to the chase and get your top 5 recommended merchant account providers. I am a startup and will be implementing a market test which has me taking credit card payments over the phone initially so I need a virtual process system (no equipment) and since its a test I would prefer no contract if possible. I will gladly buy your Ebook if it can provide this info or if youre able to porvide your top 5 thru email great
Phillip Parker says:
November 18, 2010 at 12:51 pm (UTC -8 )
Hello,
I usually do not recommend providers so as not to imply any accidental biased, but based on your needs there is only one company that I know of that can do what you want. I believe Merchant Warehouse can do what you need without a long contract, but you might want to call to find out (866-828-1289). Another good company for this is Payjunction, but I don’t believe that they offer month-to-month contracts.
“Fee Sweep” doesn’t recommend any particular providers, but it does explain how to get the lowest fees you can possibly get in this industry. Without it reading it, you will likely get a more expensive set up.
Feel free to let me know if you have any other questions.
Cheryl says:
October 24, 2010 at 11:26 am (UTC -8 )
Hi Phillip,
I was in the banking industry for over 10 years so I have limited knowledge of merchant services. I am currently considering working with a merchant service company as a sales rep. I was contacted by several companies First Financial Merchant Services and Certified Payment are 2) but the commission plan was so confusing that I started to do some research and became concerned about all the scams. I think this could be a lucrative career, however, I want to be sure I am working with a reputable company (BBB accredited). I have found a few that offer a base salary plus commission, as well as benefits and was hoping for your opinion on working with some of these companies. I am in the Monmouth County, New Jersey market.
Thanks,
Cheryl
Phillip Parker says:
October 25, 2010 at 4:08 pm (UTC -8 )
Hi Cheryl,
This is somewhat difficult to answer because there is a lot that could be said and I’m not familiar with the companies you mentioned. The best answer I can give is that you are right to be cautious. I recommend thoroughly researching a company before you sign on.
“Commission only” positions can be far more lucrative, but it can take a long time to build up a big enough client base to provide you with steady income. Most people who start this way fail because you must constantly cold call for at least a year to get enough business to sustain yourself. This industry is also highly competitive which can also make things difficult. If you can start out with a company that provides a salary, it’s probably the best way to get acquainted without much personal risk. With all this being said, to succeed in merchant services you must be prepared to be a highly driven, cold calling sales person because it’s the only way to succeed.
If you decide to get into it, be honest with your clients and give them good deals because they will refer others to you later. Don’t get tempted to do the wrong thing just for a big commission. Unfortunately, that is where this industry goes wrong and soils its reputation.
I do know of a company that has a pretty good commission structure for new agents. Let me know and I’ll be happy to email you the name.
I hope this helps, and best of luck to you.
Phillip
Fong says:
February 1, 2011 at 7:03 pm (UTC -8 )
Hi Phillip,
I also have similar situation like Cheryl and happen to live in NJ too. I am very interested in getting into this field. I don’t mind work straightly on commission bases because all my current jobs paid commission only anyway. (I currently sell Life, Health insurance and mortgages). I planned to utilize my bilangual skill to expand my client base and I want to join a reputable company with the most competitive products because my market is very competitive. I think my initial target will be restaurants and nail salons in NJ area. Can you recommend a company for me.
Thank you so much in advance!
By the way, do you only sell electronic copy of your book?
Fong Yeung
Robert says:
September 29, 2010 at 7:55 pm (UTC -8 )
I am looking to start payments with Payjunction, but I had a question about recurring payments. I want to make these payments from my site using their API. I can see how to create a recurring payment, but what I don’t understand is how to check to see if the recurring payment was accepted in the following months.
For example. If you setup a 1 year subscription to be billed $20 every month. The first payment would be taken out immediately. How can I automate it to check to see if the next month payment was successful or if it was unsuccessful and I need to suspend their account?
Thanks!
Robert
Phillip Parker says:
September 29, 2010 at 9:44 pm (UTC -8 )
Hi Robert,
My knowledge on this is somewhat limited, but Payjunction’s system will report all of the approved and declined transactions in real-time. I assume that you want to automate account suspensions if a card is declined in a future payment. If so, Payjunction’s system does allow you to create unique customer IDs that you can use to reconcile with your own system, and you can manually download daily .csv reports of the recurring transactions and their statuses. You may be able to automate the report from Payjunction or have your system automatically pull the data using the API, but I’m not 100% sure on either. If you email me at phillip@cardpaymentoptions.com, I can put you in touch with someone who can give you a definite answer on this.
Best,
Phillip
Amy says:
September 27, 2010 at 5:17 pm (UTC -8 )
I AM TRYING TO FIGURE OUT WHICH CREDIT CARD PROCESSING COMPANY TO GO WITH. I AM CURRENTLY WITH LEADERS. THEY ARE CHARGING ME APPROX. 3.4%. I KEY IN MOST TRANSACTIONS FROM ORDERS OVER THE PHONE BUT I ALSO GO TO BOAT SHOWS WHERE I CAN SWIPE CARDS. I HAVE BEEN LOOKING AT FLAGSHIP, BANK OF AMERICA AND A COUPLE OTHERS. I AM SO CONFUSED!! ARE THERE ANY THAT YOU RECCOMEND?
ALSO, MY AVERAGE SALES ARE $20-$30K PER MONTH. AVERAGE SALE IS $400.00.
PLEASE HELP!!
AMY
Phillip Parker says:
September 27, 2010 at 5:46 pm (UTC -8 )
Hello Amy,
As a general answer, there are a couple providers who can supply all of your needs in one package and will beat your current rates. I sent you an email with a couple recommendations.
Best,
Phillip