How to Report Bad Credit Card Processors


If you are reading this, it is likely that you have had a poor experience with a merchant account provider. With so much interest in this subject, we have compiled a list below on how to report bad merchant services providers and where to report them.

How to File a Report

How you file your report and what you say in it will greatly affect the outcome of your complaint. Follow the tips below to give yours an effective punch.

What to do

Before you jump straight to reporting a merchant account provider, be sure you have exhausted all of your options with the company itself. Take notes and record the names of people with whom you spoke, their titles and what they told you. This is important because most agencies will not get involved unless you have made a good faith effort to settle the disagreement directly.

Remember that you signed a contract and that failing to have read it will not help your case unless you can prove that you were intentionally misled, that the terms of the contract are illegal in your state, or that something else unlawful has occurred. If you signed without reading, you may have to settle with your circumstances. Does that mean you should give up? Not necessarily.

Often, disputes arise because of fees that the merchant did not expect. This problem nearly always happens because the agent did not verbally disclose them and the merchant did not read the contract. Although an agent not telling a merchant about a certain fee is sneaky and bad business, it is not illegal. The faintest ink is stronger than the loudest voice in a court of law, so legal action will likely be a waste of your time if you choose to pursue it under those circumstances. However, most cancellation fees are in place to protect the merchant account provider from loss against accounts that they were not able to profit from. If you can show that your other processing and monthly fees have generated substantial revenue for the provider, you may be able to persuade a manager of the company to waive or refund the disputed fees.

Lastly, if you can prove that something unlawful is taking place and that there are numerous similar complaints filed against the provider, be sure to report it to the agencies listed below. Nearly all providers will have a few complaints, but there are definitely some bad apples that actively use unethical tactics in the name of quick profits. Your reports will help identify and shut them down.

What not to do

Do not get emotional. You feel like you have been ripped off and you are mad as hell. You want retribution and you want your voice heard. As tempting as it is to shout at customer service representatives and write nasty comments in ALL CAPS on websites, do not do it. Stay calm. Stay collected. Stay cool and speak to everyone with respect. It will get you much farther with the people who can help you and will raise your chances of getting what you want.

Do not lie. This seems obvious, but when it comes to complaining about credit card processors many people will say anything to get their money back. Lying compromises your integrity will kill your momentum.

Do not attack. Whether you are speaking with a customer service representative, leaving comments on websites, or filing an official report, stick to the facts. Many websites, including this one, will not publish your complaint if it attacks or uses offensive language. You may want to call people “dumb” or “thieves,” but it will not help your case. The content of your complaint should detail your circumstances without injecting personal opinion, attacks, or unrelated information. This is especially true when filing official complaints.

Where to File Reports

As mentioned earlier, these options should only be utilized if you have exhausted your attempts with the actual provider or can prove unethical, unlawful, or misleading business practices. It is also wise to make the provider aware of your intention to file complaints with the organizations in this list. You may be surprised how quickly they change their tune once they realize you have some ammo.

The methods listed below are primarily useful for U.S.-based merchants. If you are a non-U.S. business and know of methods for your country, please leave them in the comment section below.

Write a Review on

Although this website is not an agency and we do not guarantee resolution, many providers monitor their reviews and comments on this website. In some cases a complaint left on a provider’s review has lead to a satisfactory outcome for the merchant. Not only that, but your comments help other merchants avoid bad merchant services providers.

Keep in mind that we only publish complaints that stick to the facts and do not attack. You can file a complaint by visiting our Write a Review page and following the on-page instructions.

File a Report with the Better Business Bureau

Despite the common belief that the Better Business Bureau (BBB) is a government agency (or non-profit), it is actually a privately held C-corporation. The BBB is not as powerful as most people think it is, and it cannot fine or shut down companies. Despite the BBB’s limited power, most providers care greatly about their BBB rating and will usually work harder to resolve complaints filed through the bureau.

Call or Write the Acquiring Bank

If the provider is unwilling to budge after filing a BBB report against it, you may want to try the following option. Nearly all merchant account providers are sponsored by an “Acquiring Bank” that underwrites the provider’s accounts. Not only is it difficult and expensive for a provider to become sponsored, their business depends on maintaining the sponsorship. Too many complaints filed directly with a provider’s Acquiring Bank could mean trouble. If the Acquiring Bank is willing to get involved in your case, the provider will most likely acquiesce to your demands.

To find a provider’s acquiring bank, simply go to the provider’s website and scroll to the bottom of the page. Most will list it in the footer looking something like “XYZ provider is a registered ISO/MSP of ABC Bank.” The bank listed is usually the Acquiring Bank.

Call or Write the State Attorney General

Like the rest of the methods following this one, your State’s Attorney General has a lot of power but will only get involved if they believe something unlawful is taking place. If you choose to file a complaint with your Attorney General, be ready to provide evidence that something unjust is happening with your case. You can find your State Attorney General by searching your state’s name and “Attorney General” in any major search engine.

File a Report with the Federal Trade Commission

If you believe your provider is willfully scamming merchants, be sure to report it to the Federal Trade Commission (FTC) through the contact channels below:
1 (877) FTC-HELP

Write to Your Government Representatives

Some might argue that the biggest problem with the credit processing industry is a lack of direct regulation. By writing your representatives in the Senate and House, you can bring awareness to government officials that can enact laws to protect merchants from predatory merchant account providers.

Write or Call the National White Collar Crime Center (NW3C)

The NW3C has no actual authority to enforce any actions against a processor, but it assists law enforcement in the prevention of economic and cyber crimes. By informing the NW3C of a credit card processing or merchant account scam, you help make law enforcement aware of the offenders.

File a Report with the Internet Crime Complaint Center (IC3)

If an unscrupulous merchant account provider is conducting business through the Internet, you may want to consider also reporting it to the IC3. The IC3 is a partnership between the FBI and NW3C and forwards complaints to the appropriate state, federal, local or international law enforcement or regulatory agency. Keep in mind that this is for reporting providers that primarily market through websites, email, etc.


This article is provided for informational purposes only and should not be construed as legal advice. Should you need legal or other counsel, please contact an attorney or other professional advisor.

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 to help merchants enact positive change in the credit card processing industry. Schedule a Consultation with Phillip

Schedule a Consultation with Phillip

8 reviews Leave Your Review Below

  1. I am so happy I ran across this article! I have been ripped off by merchant processors before so I made quadruple sure the one I signed up for in Nov. 2014 was month to month (Eliot Management Group). I discovered they put a $2k limit on our transactions and then 9 months later discovered we would never qualify for next-day funding due to our industry. I was beyond upset when I called customer service and found that they had locked us into a 3 year contract with a $495 termination fee, despite the paperwork the sales person that put a “$0” next to the early termination fee. I had already began my complaint to BBB and Yelp when I found this article. I used all advice given, submitted all my documentation including the four folks that we referred to them that continue to use their services and voila! We were let out of the contract without the early termination fee. I read through every word of that contract before I signed the dotted line and I thought I was duped again but thanks to you I was able to move on with a processor that fits our businesses needs! This felt so much better then yelling and screaming wasting energy. I would even consider using this company again if they fit our needs in the future. THANK YOU!

  2. I want people to know there is a company called Stripe that is a totally rip-off. I have documented correspondence with them that they lied to me. They are holding my funds for 90 days without reason. I have contacted them numerous wanting to talk with them without a response. Then…I went on line to see if there were other complaints…..WOW….what do you thank I found. People need to know about companies like this before they make decisions on whom to use. Even better business has dropped their rating because of complaints. I should have know that when a company does not have a phone contact…there is a reason.

  3. We had hopes pf opening a bakery. While investigating merchant accounts, we were talked into getting a credit cars machine. It was explained to the salesman that our business was not open and could be sometime before it was. Sales states no problem we will send machine when ready you call and we will get you operational with credit cards. To this day we have no business but are still being charged outrageous fees every month…what can we do?

  4. I opened an account with Retriever Medical on 1-25-11. I recently called them to see when my contract is up and was told it automaticly renewed for another 2 years this past January.I was told that they will match any offer.Another company told me they can save me 948.00 per year and no charge for the credit card machine. Retriever is charging me a monthly fee for an older machine that prints out the clients c.c. number on a 60 month lease. Retriever sent me an offer matching the new company. However they left 2-3 items off the quote. I emailed them with a question about these items which were not listed and they never responded to my email.They claim they will let you out of the lease if they are unable to match the new offer. Retriever is telling me I have to pay from 400.00 to 700.00 to get out of the cc processing with them but I have to continue to pay for the cc machine I am no longer using. Any advise`?

  5. The article indicates that a good way of finding the acquiring bank of a credit card processor is to find a notation about it on the processor’s web site. If the website doesn’t have that information on it, is there another way to find the name of the acquiring bank?

    1. Hi Ken,

      If you have your merchant agreement, which you signed at the onset of services, it will identify the acquiring bank within its contents. If you don’t have it, you could call and ask them directly. If they dodge the question or refuse to answer, call and pose as merchant looking to acquire their services in order to get them to send you a new agreement. Best of luck to you!

  6. On 11/2/12 Our company was contacted by: ” Merchant Service’s Direct ” ( MSD) for our credit card processing business, we were promised lower monthly fees and that we did not have to commit to any length of time with their contract. Also the salesman that came to sign us up, he looked at our current contract with a different company and said that we were not in a contract with them and that we could stop using them with no fee’s attached, he was wrong, but he no longer works for Merchant Service’s Direct, so we can not speak to him. After filling out the application for MSD on 11/2/12 after not hearing from MSD for one month i called MSD, agent that i spoke to told me that we had cancelled our application with them, after i told her that we did not, she was to look into it and call me back. After another month of not getting a return call, i had to call again myself, i was told once again that we had called and cancelled, once again i told her that we had not ! So she promised me that she would look into it and call me back !. About one week later we received the new credit card processing machine from MSD, followed by an e-mail letting us know that our account was now open. I called the agent to tell her we did not want to use a company with the kind of customer service that we had seen so far ! and when i asked why it took 2 months ? and why No phone calls from MSD, were ever made to us?, the reply was that it was up to us (the customer) to follow up ! Then the agent said that if we cancel now, that we would have to pay a penalty fee of $350.00. the fact that we never ran any transactions with MSD, and never even plugged in their machine did not change anything.

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