Bank of America’s Payment Processing Division
Bank of America Merchant Services, also called BA Merchant Services, is one of the largest merchant account providers in the United States. Surprisingly, Bank of America uses First Data and TSYS as its backend credit card processors rather than processing payments directly with the card networks. The company has also promoted POS systems through Clover. This partnership has resulted in a significant percentage of all U.S. credit card transactions being processed through Bank of America. The main benefit of opening your business checking account and merchant account through Bank of America is that your credit card sales will usually be deposited a full day sooner than if you were with a third-party merchant account provider.
A Forthcoming End to its First Data Partnership
Bank of America Merchant Services has had a contract with First Data to service their payment processing needs. The contract ran until June 2020, at which time their partnership was not renewed. This will invariably change the landscape of Bank of America Merchant Services’ rate and fee structure. As of this review, Bank of America Merchant Services is pursuing an independent merchant-acquiring solution yet to be disclosed, but the company has stated First Data will continue as an “important service provider supporting Bank of America’s global payment solutions.”
In April 2021, BofA acquired AxiaMed, a payment processor that primarily focuses on health care. This seems to signal that BofA is attempting to build a stable of processors in the wake of the First Data split, and it is likely we will see more processors come under the umbrella of the BofA empire.
Bank of America Merchant Services Location and Leadership
Bank of America was founded in 1930 and is headquartered at 100 North Tryon Street, Charlotte, North Carolina 28255. Brian Moynihan is the CEO of Bank of America.
Bank of America Merchant Services Review Table of Contents
- Costs & Contract: Bank of America Merchant Services offers a three-year contract with a $500 early termination fee.
- Complaints & Service: Bank of America Merchant Services has received more than 100 public complaints.
- BBB Rating: Bank of America Merchant Services (as Bank of America) has an “A+” rating and has received 5,895 complaints and 462 reviews in the past 3 years. The company has been accredited by the Better Business Bureau since 1949.
- Sales & Marketing: Bank of America Merchant Services hires independent sales agents and has received a moderate number of complaints about its sales practices.
- Rates & Fees: How Merchants Got The Best Rates With Bank of America Merchant Services