Is US Alliance Group a Good Payment Processor? Pros & Risks

US Alliance Group is a merchant account provider serving both small businesses and large institutions. The company formerly operated this service as a division of itself called Electronic Cash Systems, Inc., but it appears that they are now operating under their parent company’s name. However, the name Electronic Cash Systems is still in use on at least some of the USAG website, and it is likely that the company is still using the name in some instances. According to its website, Electronic Cash Systems is an MSP of both Global Payments and First Data (now Fiserv). The company also advertises Clover for POS solutions.

US Alliance Group offers standard payment processing services

Payment Processing

US Alliance Group processes major debit and credit cards for businesses categorized as “low to moderate risk.” Their offerings include EMV terminals, Clover POS products, ATM machines, and mobile payment solutions. Additional services include virtual terminals, payment gateways, PCI compliance, ACH processing, online security features like tokenization, e-commerce solutions, remote deposit capture, cash advances, Bitcoin machines, gift and loyalty programs, and data reporting and analysis. These services are offered under three names: Electronic Cash Systems, Alternative Payments International, and Precision Payments International, though the distinctions between these names are not clearly defined.

POS Systems

US Alliance Group provides POS systems to streamline checkout processes and improve customer experiences. These systems feature inventory management, employee management, and reporting and analytics tools.

Mobile Payments

Acknowledging the importance of mobility in today’s business environment, US Alliance Group offers mobile payment solutions. These solutions enable businesses to accept payments on-the-go, whether at trade shows, outdoor events, or customer locations.

Virtual Terminals

For businesses operating online, US Alliance Group provides virtual terminals that facilitate internet payments. These terminals are easy to set up and integrate smoothly with various e-commerce platforms.

E-commerce Payment Gateways

US Alliance Group offers e-commerce payment gateway solutions that ensure secure and reliable online payment processing. Their gateways integrate with popular shopping cart platforms and include features such as fraud detection, chargeback management, and more to help businesses mitigate risks associated with online sales.

Moderate Complaint Volume

As of our previous update, we were able to locate over 35 negative reviews of USAG/Electronic Cash Systems (ECS) on other consumer protection websites, many of which accused ECS of being a scam or ripoff while expressing confusion over the company’s liquidated damages clause. In addition, it seems multiple business owners were only able to get USAG/ECS to pay their end of an ATM placement agreement after complaining on consumer protection websites. If you have your own experience with US Alliance Group to share, please do so in the comments below.

Business Consumer Alliance Complaints

It should be noted that a large number of the negative US Alliance Group reviews we’ve found were on Business Consumer Alliance, which is the former Los Angeles branch of the Better Business Bureau. These complaints have since been entirely purged from the Business Consumer Alliance’s profile for Electronic Cash Systems, but they are available via direct links. It is unclear why these complaints have been hidden if they are still stored by the Business Consumer Alliance, but we will note that the Business Consumer Alliance is an entity of controversial origin.

At the time of our last US Alliance Group review, we found one particular complaint with the BCA that was especially serious, as the client stated that “[t]he sales agent initially informed me that the service would be $9.50/mo. Turns out I was charged $4229.70 for their services.” Surprisingly, this figure is accurate, as confirmed by a company representative’s response to the complaint:

The customer was assessed an early termination fee because, under the terms of the Merchant Agreement the customer signed, a breach of the agreement results in termination and assessment of an early termination fee. More specifically, the customer terminated the agreement by failing to process transactions and/or switching processing to another provider. The terms of the agreement provide that “in the event that Client terminates this Agreement within (5) years from the date of approval by ECS or this Agreement is terminated by the servicers within (5) years from the date of approval, Client will be charged a fee for such early termination in the amount of one ($100.00) multiplied by the number of months remaining in the existing term”. Company calculated the number of months remaining in term of the agreement and assessed termination fee accordingly.

This complaint indicates that it is standard practice for the company to enforce early termination fees of multiple thousands of dollars. The company’s overall complaint rate is moderate for a business of USAG’s size, but it seems to indicate a customer service department that is neither responsive nor available.

USAG/Electronic Cash Systems Customer Support Options

USAG/Electronic Cash Systems offers a dedicated support line on its website, but it is possible that the company outsources its support to either Global Payments or First Data (Fiserv). If this is the case, then there could be even more USAG/ECS complaints scattered across the online profiles of its two processors. Either way, the company’s support options do not earn it a place among top payment processors for great customer service.