Is Beacon Payments a Reliable Processor? Find Out in This Article

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Maintained Since: June 12, 2012

We take our role in providing guidance and education regarding the card payment industry very seriously. At our own expense, we have vigorously defended our right to continue expose unethical and predatory practices in the industry, successfully defeating every attempt to silence us. However, fending off frivolous lawsuits is costly. To sustain these efforts, one of the ways we generate revenue is through affiliate partnerships with ethical providers. This means that some of our outgoing links connect business owners to trustworthy, low-cost payment processors, which is what most of our readers seek. We see this revenue channel as a win-win-win for everyone involved. Business owners find good processors, processors get good clients, and we are able to continue to provide a valuable service to the small business community. We also recommend and link to many services that do not compensate us. Our priority is to guide you to the best solutions for your needs, regardless of potential revenue. If you have questions, please feel free to contact us.

All mentions of rate and fee costs are estimations based on publicly available information and client feedback. Actual costs may vary based on a variety of factors unique to your business.

Beacon Payments
Rating
A
4.8/5
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Pros

A+ BBB rating
Interchange-plus pricing
Transparent rates
No deceptive sales tactics
Low complaint volume

Cons

Hidden contract clauses
Monthly / annual fees
High early termination fee
Independent sales agents
Monthly minimum fees

Overview

In this review of Beacon Payments, we’ll give an overview of their credit card processing services. We’ll talk about the services they offer, like point-of-sale (POS) systems, mobile payment options, and e-commerce features. We’ll also look at which businesses might benefit from these services. Plus, we’ll check client and customer reviews to show trends and concerns. We’ll go over the company’s pricing, contract terms, and specific features. By the end of this review, you’ll know if Beacon Payments is a good fit for your payment processing needs.

About Beacon Payments

Screen Capture of Beacon Payments Homepage
Beacon Payments Homepage

Beacon Payments is a merchant account provider that serves small, medium, and large businesses based in the United States. The company is a reseller of First Data (now Fiserv) products and services. The company was purchased by Pineapple Payments in 2019. See our positive review of Pineapple Payments here.

Products & Merchant Services

Payment Processing

Beacon Payments provides a variety of payment processing tools and financial services tailored to meet the needs of businesses looking for both physical and digital solutions.

EMV Card Readers and Swipers

Beacon Payments offers EMV card readers and traditional swipers for businesses that process in-person transactions. These devices support secure chip card technology.

POS Solutions

The company also provides point-of-sale (POS) systems that integrate payment processing with features like inventory management and customer tracking.

Mobile Payment Solutions

For businesses that operate in mobile or non-traditional environments, Beacon Payments offers mobile payment solutions.

Cash Advances

Beacon Payments also offers cash advance services, which provide businesses with upfront capital in exchange for a portion of future sales.

Check Processing

Check processing services from Beacon Payments allow businesses to accept and process checks electronically.

Gift and Loyalty Programs

To help businesses boost customer engagement, Beacon Payments provides gift and loyalty program solutions. These programs allow businesses to issue gift cards and run loyalty initiatives aimed at encouraging repeat business and increasing customer retention.

Customer Reviews & Sentiment

Low Complaint Volume

Current findings show only a handful of negative Beacon Payments reviews outside the Better Business Bureau (BBB), which suggests the company generally maintains a positive reputation and is not associated with being a ripoff or scam. The few complaints that exist mainly highlight issues such as difficulties in canceling services, aggressive sales tactics, and dissatisfaction with monthly fees. If you have a personal experience or review of Beacon Payments, we encourage you to share it in the comments below to inform others.

Beacon Payments Lawsuits

As of this update, there are no known outstanding class-action lawsuits or Federal Trade Commission (FTC) complaints against Beacon Payments. Customers preferring to address concerns without litigation should consider reporting them to the appropriate supervisory organizations for resolution.

Industry Scores & User Ratings

Online Ratings Summary
PaymentPop5
BBB RatingN/A
Google Maps3
Average Rating3

PaymentPop Rating for Beacon Payments

Negative Feedback

There are no negative reviews published about Beacon Payments on the PaymentPop website.

Positive Feedback

Beacon Payments handled our onboarding with care and made sure we understood how everything worked before going live. The service has been dependable, and the statements are easy to read. We haven’t had to chase down support, which has made a big difference.

Beacon Payments Card Processing BBB Rating

Beacon has been an accredited business of the Better Business Bureau since 2011 and currently holds an “A+” rating. At this time of review, Beacon Payments is showing 1 BBB complaint in the last 36 months. The 1 complaint was resolved to the satisfaction of the client.

What Merchants Say

The company has also received 0 informal reviews in the last 36 months. A previous negative review described difficulties resolving fees charged after an account cancellation:

THE absolute worst cc processing company I have dealt with in 10 years. I should’ve known from the start when their account rep Kevin P***** came into my business to install service prior to us agreeing on terms of the account and then having to literally argue with him about it for 10 minutes in the middle of a business day. Now spending months trying to get my $250 cancellation fee refunded per my contract. Nobody has been helpful here whatsoever and it has only been a headache.

Clients who find themselves in this situation may benefit from taking the proper steps to cancel their merchant account without paying a fee.

An “A” Performance Overall

Due to Beacon Payments’ low complaint volume and diligence in responding to all complaints it receives, we agree with the BBB’s overall rating.

Google Maps Rating for Beacon Payments

Beacon Payments has a 3 out of 5 star rating based on 2 user reviews on Google Maps.

Positive Feedback

I have experienced merchant services with Beacon Payments for over a dozen years and multiple business accounts. Nobody as good as they are! Honest. Attentive. Excellent Customer Service. Love these guys!

Negative Feedback

Trash customer service and they raise your rates / charge fees without consent.
Just another greedy corporation.

Processing Rates & Fees

Three-Year Contract

Beacon Payments is transparent about offering interchange-plus pricing, listing rates of interchange plus 0.05% and $0.22 per transaction on their website. This clear pricing model has resulted in minimal client complaints regarding the company’s standard contract. The contract, executed through First Data (Fiserv), entails a three-year term with a $495 early termination fee or Liquidated Damages, whichever is greater, along with an annual PCI compliance fee of $79. Beacon Payments does not lease equipment, instead offering customers the option to buy it outright or secure it with a $99 deposit, refundable upon the equipment’s return.

Virtual Terminal and Payment Gateway Pricing

Beacon Payments extends its services to include virtual terminal and payment gateway solutions, applying its interchange-plus pricing to e-commerce platforms as well. Additional charges, such as gateway fees, technical support fees, and batch fees, may be incurred for these e-commerce services.

Beacon Payments Fees

Some negative feedback regarding Beacon Payments focuses on its monthly minimum fees of $30 for clients not processing at least $1,500 monthly. Additionally, a $10 monthly fee may be charged to certain accounts, independent of processing volume. Compared to the market, Beacon Payments’ fees do not align with the most economical merchant accounts. If you are familiar with the specifics of Beacon Payments’ standard contract terms, sharing that information in the comments of this review would be appreciated.

Beacon Payments interchange rates
Overview of Beacon Payments’ interchange rates

Employee Reviews & Sales Practices

Independent Sales Agents

Beacon Payments appears to hire independently contracted sales agents to market its services. As a general rule, this practice makes it difficult for any company to monitor and regulate its sales team’s behavior, which in turn tends to result in elevated complaint rates among merchants. There do not appear to be any Beacon Payments reviews related to its sales force.

We have located a few Beacon Payments reviews that criticize the company’s sales approach. In one complaint, a business was contacted by a sales representative, asked to sign a “merchant account application” that was actually a contract, and then was unable to reach the agent after that point. The business was surprised to see that they were being billed for a service they hadn’t received. Beacon Payments responded by issuing a full refund, and the business owner expressed satisfaction with the response and suggested that they had perhaps been too hasty filing a complaint. Some current and former sales agents with the company also state that Beacon Payments expects its agents to do a lot of door-to-door selling, which can be aggravating for both agents and clients.

Transparent Pricing

The Beacon Payments website actively promotes interchange-plus pricing, which is the most transparent rate structure available. This is a positive indicator that the company does not condone deceptive sales tactics, but the company’s overall rating does suffer from the few complaints available about its sales team. If you suspect that Beacon Payments is charging you undisclosed fees, we recommend seeking a third-party statement audit to find and eliminate hidden costs.

Bottom Line

Beacon Payments rates as a reliable credit card processing provider by our standards. The company is notable for actively promoting Interchange-plus pricing, a transparent and often cost-effective pricing model that appeals to many businesses. Beacon Payments maintains a low complaint rate, which suggests that its sales tactics are straightforward and its contract terms are competitive. This level of customer satisfaction speaks to the company’s commitment to providing quality service and maintaining ethical business practices.

However, there are factors that have impacted Beacon Payments’ overall rating. The use of independent sales agents has been a point of contention, as it can sometimes lead to inconsistencies in customer experiences and potential misunderstandings about contract terms. Some complaints have surfaced regarding the company’s monthly fees, which may be higher than expected for certain clients. Even when dealing with credit card processors that rate highly by our standards, we strongly encourage readers to meticulously examine the terms of any contract they are given. Comparing Beacon Payments’ pricing and terms to those of top overall providers is crucial for ensuring that businesses secure the most advantageous and cost-effective processing solutions.

Read Actual User Reviews

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Contact Beacon Payments

Contact & Customer Support
CEOJerry Kadish
Headquarters50 Dudley St, Cambridge, MA, 02140
Toll-Free Customer Support(877) 986-4445
Fax(617) 986-4451
Additional Support ChannelsOnline Contact Form
Websitebeaconpayments.com