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CardWorks Credit Card Processing 2023: Reviews & Complaints
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CardWorks, is a merchant account provider for businesses located within the United States. CardWorks Acquiring is the merchant services division of Cardworks Inc. and a sister company of Merrick Bank, so CardWorks Acquiring should also be regarded as a division of Merrick Bank Merchant Services. The company’s primary focus at this time is on offering consumer lending and investment products, which may include alternate funding such as merchant cash advances.
In 2023, CardWorks Payment acquired Dataline Systems, a company that provides business process outsourcing and financial services operations support.
CardWorks Payment Processing
CardWorks processes all major debit and credit cards for most business types. Their services include EMV card readers and swipers, mobile payments, gift cards, EBT, and more.
E-commerce Payment Processing
CardWorks provides businesses with online payment processing capabilities. As more consumers shift towards online shopping, having a secure and efficient e-commerce payment system has become increasingly crucial. CardWorks offers a secure online payment gateway that allows businesses to accept and process payments online.
Mobile Payment Solutions
With the increase in mobile commerce, CardWorks has stepped up to offer mobile payment processing solutions. These services allow businesses to accept credit and debit card payments using mobile devices, making it perfect for businesses with a mobile presence or those who operate outside of a traditional storefront.
Point of Sale Systems
Point of Sale (POS) systems offered by CardWorks are designed to integrate seamlessly with businesses. These systems go beyond processing payments; they can assist with managing inventory, tracking sales, and generating detailed reports. The POS systems are also customizable and can cater to a range of businesses, including retail, restaurants, and service industries.
Gift and Loyalty Card Programs
Understanding the importance of customer retention and brand loyalty, CardWorks offers customized gift and loyalty card programs. These programs can help businesses increase customer retention, boost sales, and promote their brand.
Security and Fraud Prevention
Security is a top priority at CardWorks. They provide payment processing solutions that comply with the Payment Card Industry Data Security Standard (PCI DSS). They also have robust fraud prevention measures in place, offering businesses peace of mind when it comes to the security of their transactions.
Location & Ownership
CardWorks is located at 6900 Jericho Turnpike, Suite 208, Syosset, New York 11791 and is a registered ISO/MSP of Merrick Bank, South Jordan, Utah. Donald Berman is the company’s founder and former CEO. As of 2022, Dan Pillemer became the president and CEO of CardWorks.
Table of Contents
- Costs & Contract: Offers a three-year contract with a Liquidated Damages early termination fee. The company relies on…
- Complaints & Service: Complaints number fewer than 10 on…
- BBB Rating: Has an “A-” and CardWorks Acquiring (which has been accredited since 2018) also has an “A+” with the Better Business Bureau. CardWorks Servicing has received…
- Sales & Marketing: Appears to hire independent sales representatives and has received…
CardWorks Customer Reviews
Here's What Their Clients Say
|Total Online Complaints||<10|
|Live Customer Support||Yes|
|Most Common Complaint||Hidden Fees|
Consumer Credit Complaints
The vast majority of CardWorks reviews online seem to express frustration with the company’s non-merchant services operations. CardWorks appears to have taken over the consumer credit card services of one or more failed businesses, which means that CardWorks is responsible for collecting the outstanding amounts owed by the former customers of now-defunct companies. It uses the name “CardWorks Servicing” when undertaking these collections efforts. If you have your own CardWorks review to make, please do so in the comments below.
Complaints From Merchants
Most public CardWorks reviews, therefore, seem to have been written by individual consumers who are frustrated with the company’s collections division, which is separate from the company’s merchant services branch. Many of these complaints express confusion over which entity they are supposed to be dealing with, which may or may not be attributable to a lack of communication by CardWorks.
We have found evidence of a class-action lawsuit against a “CardWorks Services LLC” that was settled for $100,000, though there is little information on this suit and whether it applies to CardWorks Servicing LLC. or not.
In March 2020, CardWorks was sued by Card Processing systems over an alleged scheme to steal clients.
July 2020 saw another class-action suit brought against CardWorks Servicing by a former employee, who claims the company owed telephone workers for unpaid time. This suit appears to be ongoing.
Dissatisfied clients who wish to pursue a non-litigious course of action against the company should consider reporting it to the relevant supervisory organizations.
CardWorks Customer Service Options
CardWorks appears to offer extensive merchant customer support through the phone, a client portal, and a customer support form. Client support is available during business hours M-F, while tech support is available 24/7
CardWorks Customer Service Number
- (866) 210-4625 – Toll-Free Customer Support
Other Support Options
CardWorks Online Ratings
Here's How They Rate Online
Note: We have adjusted this company’s BBB rating according to our own standards. To better understand why we adjust BBB ratings, please see our Rating Criteria.
Over 60 Complaints
The BBB maintains separate profiles for CardWorks Serving and CardWorks Acquiring.
CardWorks Servicing is not an accredited business of the Better Business Bureau but has an “A-” rating at this time. The BBB shows a total of 69 complaints filed in the last 36 months. Only 18 of these 69 complaints were resolved by the company to the satisfaction of the merchant. The remaining 51 were resolved to the dissatisfaction of the merchant or received no final response.
CardWorks Acquiring also received an “A+” rating from the BBB, who have accredited the company since 2018. This division of CardWorks has had 0 complaints filed against it.
What Merchants Say
In addition to the 69 complaints, CardWorks has also received 3 informal reviews to its profile. The most recent CardWorks Processing’s informal review through the BBB describes an unexpected account closure:
Simply closed my account without reasoning, and have yet to return my money.
Clients in this situation should look into how to make their payment processor release their money.
A “B” Performance Overall
In light of the company’s complaint total and resolution efforts, we are awarding CardWorks a “B” in this category.
CardWorks Fees, Rates & Costs
A Closer Look at The Contract
|Monthly & Annual Fees||Yes|
|Processing Rates||1.00% - 4.99%|
CardWorks Terms and Conditions are for a three-year agreement with automatic renewal for two-year terms and an early termination fee of $350 or Liquidated Damages, whichever is greater. One CardWorks complaint in the comment section of this review also describes a $10 monthly customer service fee and a $20 monthly minimum fee. We have found some mention of an annual PCI Compliance fee of $180 on other websites.
Virtual Terminal and Payment Gateway Pricing
In addition to its storefront payment processing services, CardWorks also dedicates a portion of its website to advertising its virtual terminal and payment gateway services through either Authorize.Net, Braintree, BridgePay, CyberSource, NETePay, NMI, or several other solutions. However, CardWorks rates will depend on which gateway a business utilizes. Additional rates and fees, including gateway fees, technical support fees, batch fees, and additional transaction rates typically apply to these e-commerce services.
As of a recent update, CardWorks is advertising a pricing plan called “CWA Select,” which bundles all monthly costs into a single, fixed monthly fee that varies according to each client’s processing volume and average ticket size. This fee begins at $49.99 per month and does not include ACH, ACH return fees and change fees, American Express fees, American Express chargeback/retrieval fees, gateway fees, and other value-added service fees such as wireless carrier, check services, or gift cards. This plan may be appealing for businesses that prefer a predictable monthly cost.
The company’s industry-average contract terms are counterbalanced by its low number of complaints related to pricing and fees, so it seems that most CardWorks clients are satisfied with the rates they pay. However, CardWorks pricing does not rank among the cheapest merchant accounts at this time. If you have any knowledge of the standard CardWorks contract, please leave that information in the comment section below this review. We also encourage business owners to check out our list of the providers of the best merchant accounts.
CardWorks Employee Reviews & Sales Tacitcs
Should You Work For Them?
|Uses Independent Resellers||No|
|Discloses All Important Terms||No|
Mixed Sales Approach
CardWorks appears to utilize an in-house sales team as well as independently contracted sales agents to market its services. We are only able to locate one CardWorks review reporting nondisclosure of contract terms by a sales agent, which suggests that this may have been an isolated incident. This compares favorably to our list of best credit card processors. CardWorks also operates a large number of sub-ISOs and resellers under its Merrick Bank brand, but these businesses do not appear to be serviced by CardWorks Acquiring.
No Red Flags
CardWorks does not appear to engage in any deceptive advertising on its website or elsewhere. In general, the company appears to divide its sales efforts across a number of sectors within the finance industry. If you suspect that you are being charged unexpected CardWorks fees, we recommend seeking a third-party statement audit to find and eliminate hidden charges.
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