UPDATE 3/5/2019: Cynergy Data appears to have been fully absorbed into the Priority Payment Systems brand, and it appears that the company no longer boards new merchants under the name “Cynergy Data.” As a result, we will no longer update this review. See our Priority Payment Systems review for up-to-date information about this company.
Cynergy Data (cynergydata.com) was established in 1995 and is one of the largest credit card processors in the United States. Though Cynergy Data is a merchant account provider, the company does not appear to directly market its services to business owners. Instead, Cynergy Data partners with sales organizations (ISOs) that package and resell Cynergy Data credit card processing with their own value-added services. In some cases, ISOs market and sell credit card processing under Cynergy Data’s name even though Cynergy Data is not actually involved in the sales process.
Based in Long Island City, New York, Cynergy Data has seen its share of booms and busts. Since its inception, the company has grown and established offices in New York City, Boston, Chicago, and Atlanta, and gained over 150 employees. From 1997–2005, Cynergy Data was picked several times as one of the fastest growing companies in the United States, and in 2007 the processor acquired Abanco International. Not long after, things took a downturn for Cynergy Data and in 2009 the company filed for Chapter 11 bankruptcy protection. Cynergy Data was rescued from financial collapse by the Comvest Group, a private investment firm, and acquired for $81 million. The Comvest Group has since brought Cynergy Data to financial stability and invested millions of dollars into the company. It should also be noted that outside reviews of the company have suggested that Cynergy may be somehow affiliated with another processor by the name of Pipeline Data or Pipeline Data’s acquirer, Calpian Commerce. Afshin Yazdian is listed as the president and CEO of Cynergy Data.
Customer Reviews & Sentiment
In cases where ISOs do not wish to supply customer support after selling the merchant account, Cynergy Data appears to provide it as an added service to the ISO. Cynergy Data itself has a low-to-moderate amount of complaints considering the size of the company and how long it has been in business. Although online researchers may find claims that Cynergy Data is a scam and operates under several aliases, this is actually not the case. The “aliases” that a few merchants have accused the processor of using are actually the ISOs that resell Cynergy Data credit card processing, or possible subsidiaries of the company. In fact, most of the complaints we found regarding Cynergy are in combination with one of its ISOs or partners, with Charge.com being the most frequently named partner.
Of the negative reviews, the most common types of complaints that merchants report are “hidden” or surprise fees, nondisclosure of fees and other important contract terms prior to account setup, and difficulty cancelling accounts or stopping additional fee collection by Cynergy. There are also a few complaints directly targeting Cynergy Data’s customer support line. As always, merchants are strongly encouraged to read the merchant account agreement prior to signing any papers.
Industry Scores & User Ratings
| Product & Service Complaints | 15 |
|---|---|
| Billing & Collection Complaints | 26 |
| Advertising & Sales Complaints | 4 |
| Guarantee & Warranty Complaints | 0 |
| Delivery Complaints | 0 |
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.
There are several Better Business Bureau profiles for Cynergy Data because of ISOs that market credit card processing services under the processor’s name. At the time of this update, Cynergy Data’s actual BBB profile has “no rating” and is not accredited with the BBB. The BBB report shows a total of 45 complaints filed in the last 36 months (down dramatically from 135 at the time of our last review) with 26 regarding problems with billing and collection, 15 related to services and products, and four having to do with sales and advertising. The company has resolved 10 complaints to the satisfaction of the merchant, while one complaint received no resolution and the remaining 34 were either resolved to the dissatisfaction of the merchant or did not receive a final assessment from the merchant. Considering the number of complaints and the company’s resolution ratio, we have adjusted the BBB’s rating to a “B.”
Processing Rates & Fees
Since Cynergy Data does not supply merchant accounts directly to business owners, it is up to the ISOs to sell the merchant accounts at a markup from Cynergy Data’s wholesale cost and resell it. Therefore, rates and fees will vary by ISO and by merchant. Additionally, the ISOs may have the ability to set contract terms such as service length agreement and early cancellation fees to their own specification; however, it appears that Cynergy’s standard contract (available below) has a service length agreement of three years with a $495 cancellation fee as well as an annual PCI Compliance Fee of up to $185. Merchants are advised to thoroughly research any company that provides Cynergy Data merchant accounts before signing up for credit card processing services. See the Cynergy Data Merchant Application.
Bottom Line
Cynergy Data appears to primarily market its services through sub-ISOs and subsidiaries and also provides processing for Pipeline Data and Calpian Commerce. Overall, we have seen a moderate reduction in the amount of complaints since our last update of this review, with most of the complaints regarding fees, difficulty cancelling, and poor service.
Overall Rating
