Capital One Merchant Services Reviews & Complaints

Capital One Merchant Services Logo
4.3
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How did they treat you? ▼

Pros & Cons
Pros: Cons:
Advanced analytics tools. Account stability issues.
Competitive rates. Contract terms can be rigid.
Reliable fraud protection. Limited global reach.
Seamless integration. Potentially higher fees.
24/7 customer support. Complex pricing structure.

Overview

In this review of Capital One's credit card processing services, we will provide a detailed overview of the company's offerings. We will cover the range of services they provide, including point-of-sale (POS) systems, mobile payment solutions, and e-commerce capabilities. The review will identify the types of businesses that might benefit from these services. Additionally, we will examine client and customer reviews to highlight common trends and potential concerns. The article will also address the company's pricing structure, contract terms, and specific services provided. By the end of this review, you will understand whether Capital One's credit card processing services meet your payment processing needs.

About Capital One Merchant Services

Capital One Merchant Services is a division of Capital One bank that provides merchant accounts and other business solutions for small businesses. Capital One is partnered with WorldPay for its merchant services, meaning that merchants will deal with WorldPay rather than Capital One for most of their payment processing services and support. Founded in 1994, Capital One is a large national banking company that has traditionally focused on consumer credit services and personal banking.

Spark Pay Discontinued

In recent years, Capital One took an interest in credit card processing with the launch of its SparkPay mobile phone processing service in mid-2013 and the more recent introduction of an iPad-based point-of-sale system called Spark Point of Sale. Both products have since been discontinued.

Capital One Merchant Services Payment Processing

Capital One processes credit and debit card payments through virtual and smart terminals, hosted web pages, and mobile readers. They allow most major payment methods including swipe, EMV, contactless, keyed-in, phone order, email invoicing, PayPal, most major credit cards, and gift and loyalty cards.

Capital One Customer Reviews

Here's What Their Clients Say

Customer Reviews Summary
Total Online Complaints <10
Live Customer Support Yes
Most Common Complaint N/A
Recent Lawsuits No

Low Complaint Total

Our search didn’t reveal any Capital One Merchant Services reviews that categorize the company as a scam or a ripoff. Negative feedback associated with Capital One Merchant Services mainly pertains to Spark Pay, which is no longer operational. These reviews are limited and sporadic. The most frequent issue mentioned is fund withholding, a common concern among providers offering easy signup processes and free mobile processing apps. Although WorldPay has numerous negative reviews online, we found no specific complaints about its partnership with Capital One Merchant Services. We welcome your Capital One Merchant Services reviews in the comments section below.

Capital One Merchant Services Lawsuits

No significant class-action lawsuits or FTC complaints have been filed against Capital One Merchant Services. Clients seeking non-litigious resolutions for their concerns with Capital One Merchant Services are advised to report them to relevant supervisory bodies.

WorldPay Customer Support Options

WorldPay provides phone and email support to all its clients, including those coming through the Capital One partnership. While it’s uncertain if the customer service experience is superior through this partnership, we remain open to updating our assessment based on future feedback from businesses.

Capital One Online Ratings

Here's How They Rate Online

No Dedicated Profile

Capital One Merchant Services does not have its own Better Business Bureau profile at this time, but Capital One as an overall entity does have a BBB page. The BBB is currently assigning Capital One an overall rating of “A-” based on 10,821 complaints and 1,151 reviews. Since this profile does not specifically field complaints related to Capital One’s merchant services division or WorldPay, we will not factor it into this review for now.

Capital One Fees, Rates & Costs

A Closer Look at The Contract

Cost & Fees Summary
Cancellation Penalties Yes
Monthly & Annual Fees Yes
Processing Rates Variable
Equipment Leasing Yes

WorldPay Contract Overview via Capital One

Capital One, acting as a reseller for WorldPay, extends the merchant services provided by WorldPay without offering unique contractual conditions. The terms, including pricing and fees, largely reflect WorldPay’s own structures and can vary based on the account representative’s discretion. The relationship with Capital One doesn’t materially alter the standard service offerings of WorldPay.

Diverse Rates and Agreement Lengths

Pricing under WorldPay can fluctuate based on several factors including merchant category and the avenue through which services were procured, either directly or via a reseller like Capital One. Advertised rates stand at 2.90% plus $0.30 for swiped and 3.30% plus $0.30 for keyed transactions. Reports suggest a direct arrangement with WorldPay might lead to higher fees and lengthier contracts compared to engaging through a reseller.

Three-Year Standard Agreement

Entering a WorldPay agreement through Capital One necessitates careful review of the contract, typically set for three years with subsequent yearly renewals unless a 90-day pre-expiration notice is issued. Early termination might incur fees ranging from $95 to $495. WorldPay also applies a monthly PCI compliance fee between $15 and $25, with an annual $69 charge possibly for IRS 1099 compliance, both considered higher than industry norms.

WorldPay’s equipment leasing options, facilitated through ISOs for terms from 12 to 48 months, are dependent on the merchant’s credit profile, offering a purchase option at lease end. Considering most credit card terminals cost less than $500 outright, long-term leases can significantly inflate equipment costs, suggesting a purchase is often the more economical choice.

Assessment of Pricing Competitiveness

Factors like potential high termination fees, automatically renewing contracts, and elevated compliance charges necessitate a cautious approach. WorldPay’s standard offerings, as facilitated by Capital One, are not positioned among the most competitive merchant account options available. Merchants are encouraged to review contract details thoroughly and consider alternatives for more favorable terms.

For additional insights and comparisons, merchants may find value in our selection of highly recommended merchant service providers.

Capital One Employee Reviews & Sales Tacitcs

Should You Work For Them?

Jobs & Marketing Summary
Uses Independent Resellers No
Telemarketing No
Misleading Marketing No
Discloses All Important Terms No

Inside Sales Team

Capital One appears to rely primarily on traditional advertising and strategic partnerships to market its services. Like many other large banks, Capital One utilizes its existing personal banking services as a channel for attracting business customers. There is no evidence that the company utilizes a team of independent sales agents, and we are currently unable to locate any negative Capital One Merchant Services reviews that describe deceptive sales tactics by the Capital One sales team.

No Deceptive Quotes

Capital One also does not list any misleading rate quotes or unrealistic guarantees on its website. All of these factors incline us to award Capital One an “A” in this category for the time being. If you suspect that Capital One is overcharging you, however, you can double-check your pricing with a third-party statement audit.

Our Capital One Review Summary

Our Final Thoughts

Capital One Merchant Services holds an above-average rating as a credit card processing provider based on all currently available information. Essentially mirroring WorldPay’s suite of products and services, the company surprisingly does not seem to be attracting a significant volume of complaints. However, given WorldPay’s reputation, businesses are encouraged to conduct a thorough comparison of Capital One’s offerings and pricing against those of top-rated merchant services providers. Such diligence ensures that they receive the most favorable terms, balancing reliability and cost-effectiveness, while navigating an increasingly competitive payment processing landscape.

Location & Ownership

Richard Fairbank is listed as the CEO of Capital One, which is headquartered at 1680 Capital One Dr, McLean, VA.

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Which is Most Important for You?

If you had to pick one, which quality would you say will be the most important with your next credit card processor? Tap or click your selection to register your vote:

  1. Low Transaction Fees
  2. No Monthly Fees
  3. No Contract
  4. Reliable Customer Support
  5. Quick Signup

Testimonials & Complaints

How Did Capital One Treat You?

1 User Reviews

  • Christopher Ackley

    Had my card for 3 years, I’ve never missed or been late a single payment. They will not increase my $300 limit, but are more than happy to charge me $30 for going over my limit by $2. But if I tried to go over my limit $100 they declined it. There’s also a yearly fee of $60. I’ve likely paid $300 just in fees since I’ve had this card. They’re a horrible company that wants to charge you fees rather than being a high quality credit company. I wouldn’t recommend capital one to even those with the worst credit cuz that’s who they are trying to entrap. I’d recommend Canadian Tire and American Express are far beyond better. Do not do business with these shysters. I imagine most of these ratings are fake and paid for by capital one.

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