Should You Trust Kotapay With Your Payment Processing?

We take our role in providing guidance and education regarding the card payment industry very seriously. At our own expense, we have vigorously defended our right to continue expose unethical and predatory practices in the industry, successfully defeating every attempt to silence us. However, fending off frivolous lawsuits is costly. To sustain these efforts, one of the ways we generate revenue is through affiliate partnerships with ethical providers. This means that some of our outgoing links connect business owners to trustworthy, low-cost payment processors, which is what most of our readers seek. We see this revenue channel as a win-win-win for everyone involved. Business owners find good processors, processors get good clients, and we are able to continue to provide a valuable service to the small business community. We also recommend and link to many services that do not compensate us. Our priority is to guide you to the best solutions for your needs, regardless of potential revenue. If you have questions, please feel free to contact us.

All mentions of rate and fee costs are estimations based on publicly available information and client feedback. Actual costs may vary based on a variety of factors unique to your business.

Kotapay

Rating
A
5/5
full starfull starfull starfull starfull star

Pros and Cons of Kotapay

Pros

High risk tolerance
No setup costs
Gift/loyalty program
Domestic phone support
Extensive documentation

Cons

Monthly minimum fee
Early exit penalty
Three-year contract
Non-transparent pricing
Incomplete term disclosure

Overview

In this review of Kotapay, we take a closer look at the company’s history, services, and operations. We’ll explain its transition from InterceptEFT to its current ownership under First International Bank & Trust. We’ll also cover the payment processing solutions Kotapay provides, including its partnerships with BASYS Processing and its role as a reseller of Fiserv and Clover products. In addition, we’ll examine Kotapay’s customer service approach, business practices, and how these factors shape its reputation. We’ll break down the company’s contract terms, fee structure, and the regulatory environment that affects payment processors. Finally, we’ll review customer feedback and Kotapay’s rating with the Better Business Bureau. By the end, you’ll know whether Kotapay is the right fit for your payment processing needs.

About Kotapay

Screen Capture of Kotapay Homepage
Kotapay Homepage

Kotapay is a merchant account and credit card payment processor based in Fargo, North Dakota. Originally operating under the name of InterceptEFT, the company was acquired by First International Bank & Trust in 2018 and rebranded as Kotapay. The company has been in business for 25 years according to its Better Business Bureau profile.

Kotapay has announced that it partners with BASYS Processing for debit and credit card processing services. Kotapay and First International Bank & Trust are also a contracted reseller of First Data (now Fiserv) and Clover solutions.

Products & Merchant Services

Payment Processing

Kotapay handles payment processing for all major debit and credit cards across various business types.

ACH Processing

Kotapay provides ACH processing services, allowing businesses to handle direct transfers between bank accounts. This service is often used for recurring payments, payroll, and other electronic transactions that don’t involve credit or debit cards.

Clover POS Systems

Kotapay offers Clover POS systems, which provide businesses with a range of tools to manage in-person transactions. These systems are commonly used in retail and hospitality settings and include hardware and software for payment processing and business management.

Mobile Payment Solutions

With mobile payment solutions, Kotapay enables businesses to accept payments via mobile devices. This service is designed for businesses that operate outside of traditional retail environments and need flexible, on-the-go payment options.

Pay Now Payment Gateway

Kotapay’s Pay Now Payment Gateway allows businesses to process payments online. It integrates with websites and e-commerce platforms to provide a secure and straightforward way to accept payments from customers.

Customer Reviews & Sentiment

Few Complaints

Kotapay, being a relatively new entity in the market, has limited documentation at this time. The number of Kotapay reviews and Kotapay complaints is sparse. One complaint noted in the comments section of this review highlights issues with customer service. Its predecessor, InterceptEFT, maintained a commendable record as reflected in our reviews. It appears that Kotapay has upheld a satisfactory level of customer service and support following the brand transition. We welcome your Kotapay review; please share your experiences in the comment section below.

Kotapay Lawsuits and Fines

We have not identified any outstanding class-action lawsuits or FTC complaints against Kotapay. Merchants looking for non-litigious solutions with the company may consider reporting their concerns to the appropriate supervisory bodies, and we encourage them to share their Kotapay reviews in the comments of this article.

Industry Scores & User Ratings

Online Ratings Summary
PaymentPop1
BBB RatingN/A
Google Maps4.1
Average Rating4.1

PaymentPop Rating for Kotapay

Negative Feedback

STAY AWAY!! They are extremely unreliable. Different people, sometimes in the same department even, will tell you different things. Not transparent on their billing. Their website goes down often.

Positive Feedback

There are no positive reviews published about Kotapay on the PaymentPop website.

Kotapay BBB Rating

According to the Better Business Bureau, Kotapay has been in business for 28 years. However, as mentioned previously, the majority of these years have been under the name of InterceptEFT. Kotapay has been accredited by the Better Business Bureau since 2018 and currently has an “A+” rating with 0 complaints and 0 reviews in the last 36 months.

An “A” Performance Overall

According to our records on InterceptEFT and current public complaints, we have no reason to disagree with the Better Business Bureau’s rating of an “A” at this time.

Google Maps Rating for Kotapay

Kotapay has a 4.1 out of 5 star rating based on 12 user reviews on Google Maps.

Positive Feedback

I have been using Kotapay for going on my 6th year now. The support I have received has been wonderful. The service provided for my practice is excellent.

Negative Feedback

A third class and worthless company, customer services from the support department are rude. The credit card processing has not been working for 4 days now, I have a small business and lost 4 customers because of this issue. I am going to look for new services now. Bad, worthless and 3rd class company

Processing Rates & Fees

Partnered with BASYS Processing for Card Processing

Kotapay has chosen BASYS Processing as its partner for credit and debit card processing services. Although BASYS is known for its clear pricing model, specific details regarding Kotapay’s contract and rates are not readily available, and they may differ depending on the brand. The exact terms of Kotapay’s agreements, including any potential early termination fees, remain undisclosed.

Resells Fiserv (First Data) and Clover Merchant Accounts

BASYS discloses its rates online, whereas Fiserv (Formerly First Data) offers a variety of contract terms that can vary based on the merchant’s processing volume and industry. For detailed information on Fiserv’s rates, please refer to our Fiserv review. Kotapay also utilizes Clover POS systems for certain merchant accounts, enhancing their service offerings.

Negotiate Contract Pricing

At present, details regarding a specific Kotapay merchant account contract are unavailable. Merchants who have engaged with Kotapay for payment services are invited to share their experiences in the comments section. It is advisable for merchants to discuss Kotapay’s rates and contract conditions thoroughly and to review all contract documents carefully before agreeing to terms.

For broader options, merchants might consider exploring our curated list of thepremier merchant account providers.

Kotapay point of sale
Kotapay facilitates access to Fiserv’s Clover POS systems.

Employee Reviews & Sales Practices

Previous Independent Sales Teams

While there is record of InterceptEFT hiring independent sales agents in the past, there is no current information to suggest that Kotapay contracts are under the same sales systems. InterceptEFT has been known to heavily rely on independent sales agents in the past; however, their network of independent agents produced few, if any, complaints.

This compares favorably to our list ofbest credit card processors.

Variable Contract Terms

Kotapay contracts have been publicly shown to be resold BASYS and Fiserv contracts. The exact details of these contracts, when issued by Kotapay, are still unknown. Considering the wide range of companies served by the two payment processors, it can be assumed there is potentially a wide range of rates possible. If any of our readers have dealt with a Kotapay contract recently, we ask them to comment below.

Kotapay Competitors

Compare Kotapay to competitors that earned top marks.

Bottom Line

Kotapay seems to be managing its merchant accounts effectively, as evidenced by the absence of current complaints. Historically, InterceptEFT, Kotapay’s predecessor, maintained a strong reputation with few complaints and even fewer poor reviews. This track record suggests a robust tradition of customer service, which we hope has been maintained through the rebranding process.

There is no reason not to recommend Kotapay for credit card processing services. The company’s clean slate in terms of complaints is a positive indicator of its commitment to customer satisfaction. For merchants seeking a reliable credit card processing solution, Kotapay appears to be a viable and trustworthy option.

Read Actual User Reviews

All user reviews have been moved to our partner, PaymentPop.com

Contact Kotapay

Contact & Customer Support
CEOSteve Stenehjem
Senior Vice PresidentJim Haug
Headquarters4334 18th Avenue South, Suite 200 Fargo, ND 58103
Toll-Free General Customer Service(800) 378-3328
Local Office Number(701) 241-7832
Additional Support ChannelsOnline Contact Form and Live Chat
Websitekotapay.com