Braintree Payment Solutions (braintreepayments.com) is a merchant account provider based in Chicago, Illinois. Founded in 2007, Braintree markets its services primarily to e-commerce merchants, subscription-based businesses, and merchants that key in all of their credit card transactions.
Braintree’s payment gateway offers virtually automatic PCI Compliance by storing the credit card data off of the merchants’ systems and on its own secured servers. The system allows cards to be recharged or refunded without reentering the card information and enables merchants to set up recurring charges for periodic billing purposes, such as subscriptions and memberships. Braintree also allows U.S.-based merchants to accept international payments in 134 local currencies with settlement in 21 different currencies.
Braintree was purchased by PayPal in September 2013 for $800 million. The acquisition also included Venmo, Braintree’s mobile cash transfer service. Braintree uses First Data for its card processing network, but merchants appear to deal with Braintree exclusively for the service of their accounts. Braintree is located at 111 North Canal Street, Floor 4, Chicago, Illinois 60606, and the company’s acquiring bank is Wells Fargo Bank, N.A., Walnut Creek, California. Bill Ready is the CEO of Braintree.
Braintree Payment Solutions Products and Services
- PayPal integration
- v.zero integration
- OneTouch integration
- Apple Pay acceptance
- Recurring billing
- Processing in 40 countries and 130 currencies
Sales & Marketing
Key Points - Sales & Marketing
|Employs Independent Resellers||No|
|Promotes Deceptive Rates||No|
|Discloses All Important Terms||Yes|
Braintree does not appear to use any deceptive advertising, price quoting, or sales tactics. The company markets its services primarily online and through strategic partnerships, so there is very little risk of an independent reseller misrepresenting the company’s pricing. We are currently unable to locate any negative Braintree reviews that mention the company’s sales team, and the company actively displays its full pricing and contract terms on its website. We therefore award the company an “A+” in this category.
Braintree Payment Solutions Marketing Example
Costs & Contract
Key Points - Costs & Contract
|Flat Processing Rate||2.9% + $0.30|
|Early Termination Fee||None|
|PCI Compliance Fee||None|
|Equipment Lease Terms||Not Applicable|
Braintree updated its pricing in October of 2012 and now offers just one account type with flat pricing and no service length commitments, including all of the system’s features. The company’s transaction fee is similar to that of PayPal’s and Stripe’s at 2.9% + $0.30 per transaction for all card types with no minimum fees, monthly fees, PCI Compliance fees, or cancellation fees. The only possible fees that a merchant could experience are a $15 chargeback fee in the event that a cardholder disputes a transaction and a 1% per-transaction fee on multi-currency transactions. Additionally, high volume businesses may qualify for custom rates.
In March 2014, Braintree announced Braintree Ignition, a program that allows new U.S. merchants to process their first $50,000 in transactions for free. There are no strings attached, and these merchants will simply switch over to Braintree’s normal pricing after the first $50,000 has been processed. This offer does not apply to marketplace-style platforms that utilize Braintree as their backend payment processor.
Merchants who wish to use Braintree’s payment gateway with a different processor may do so at a cost of $49 per month and 10 cents per transaction.
Complaints & Service
Key Points - Complaints & Service
|Total Online Complaints||Less Than 10|
|Live Customer Support||Yes|
|Most Common Complaint||Funding Delays|
At this time, we are able to locate only a handful of Braintree complaints, and none of these accuse the company of being a scam or a ripoff. These complainants primarily cite issues with fund holds through Braintree, but one review also mentions trouble with customer service. Although fund holds can be difficult for any business, the fact that one complainant operates an international business and the other appears to have high-risk processing patterns indicates that most traditional merchants will not encounter the same issues. There are also an overwhelmingly large number of positive reviews indicating that the company employs a responsive and helpful customer service staff. Braintree offers both phone and email support in addition to a large online knowledge base.
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Key Points - BBB
|Product & Service Complaints||0|
|Billing & Collection Complaints||1|
|Advertising & Sales Complaints||1|
|Guarantee & Warranty Complaints||0|
As of this review, the Better Business Bureau is showing that Braintree has not sought BBB accreditation. The BBB has assigned an “A+” rating based upon two complaints filed in the last 36 months. One complaint was related to an advertising or sales problem while the other had to do with a billing or collection dispute. One complaint was resolved successfully with assistance from the BBB, and the other is currently unresolved due to the complainant’s failure to respond to Braintree. It is our belief that “A+” ratings should be reserved for companies with zero complaints, so we have slightly adjusted the BBB’s rating to an “A.”
* Denotes CPO-adjusted BBB score
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About 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. Schedule a Consultation with PhillipSchedule a Consultation with Phillip