MagicPay Review: Fees, Comparisons, Complaints & Lawsuits

MagicPay
Star FullStar FullStar FullStar FullStar Full
MagicPay

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PhonePhone(855) 891-2600 View Pricing

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Serving Both Standard and High-Risk Business Types

Founded in 2012, MagicPay is a Boca Raton, Florida-based merchant account provider that serves both standard and high-risk business types as well as offshore merchants. The company is a reseller of iPayHere (formerly known as SwitchPay), but it is also partnered with other processors in order to serve its high-risk accounts.

MagicPay Payment Processing

MagicPay processes all major debit and credit cards for most business types. Their services include POS systems, mobile payments, e-commerce solutions including virtual terminals, and QuickBooks integration.

MagicPay Location and Ownership

MagicPay is headquartered at 1616 NW 2nd Ave, Boca Raton, FL, and does not disclose the identity of its acquiring bank. Rami Levi is the founder and CEO of MagicPay.

MagicPay Review Table of Contents

  • Costs & Contract: MagicPay offers interchange-plus and tiered pricing and a month-to-month contract through Switch Commerce with no early termination fee.
  • Complaints & Service: MagicPay has received fewer than 10 public complaints.
  • BBB Rating: MagicPay (as MagicPay Merchant Services, LLC) has an “A+” rating with 0 complaints and 10 reviews. The company has been accredited by the Better Business Bureau since July of 2019.
  • Sales & Marketing: MagicPay does not appear to hire independent sales agents and has not received any complaints about its sales practices.

Should You Trust MagicPay?

Lawsuits, Reviews & Complaints

Here's Who We Trust.

Complaint Summary

Total Online Complaints
<10
Live Customer Support
Yes
Most Common Complaint
N/A

Nearly Clean Complaint Record

We are unable to locate more than a few negative MagicPay review at this time, which is a strong indicator that the company is not a scam or a ripoff. This clean complaint record may be due to excellent pricing and service provided by MagicPay, or it may be that the company has yet to grow its merchant base to a size that would generate widespread complaints. It’s also possible that come complaints intended for MagicPay are instead filed against iPayHere or its former name of Switch Pay. We have no reason to believe that this is happening, so we’ve given MagicPay an “A” in this section for the time being.

MagicPay Lawsuits and Fines

We have not found any outstanding class-action lawsuits or FTC complaints filed against MagicPay. Dissatisfied merchants who wish to pursue a non-litigious course of action against the company should consider reporting it to the relevant supervisory organizations.

MagicPay Customer Service Options

MagicPay offers 24/7 customer support by phone to its merchants and its support team appears to operate at a level that is comparable even to top-rated credit card processors for great customer service.

We have located multiple MagicPay customer service phone numbers:

(855) 891-2600 – 24/7 Toll-Free Support
(561) 880-8472 – Fax

MagicPay also offers a customer support form on its website and a customer service email address at info@MagicPay.net

Is the BBB Rating for MagicPay Accurate?

Better Business Bureau Profile

See Which Processors Offer No Monthly Fees And No Contracts.

BBB Summary

Product & Service
0
Billing & Collection
0
Advertising & Sales
0
Guarantee & Warranty
0
Delivery
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.

Newly Created Profile

MagicPay has received an “A+” rating from the Better Business Bureau since its profile was created in May of 2019. The company became accredited in July of 2019. Since the creation of its profile, the company has received 0 complaints but has been given 8 positive informal reviews.

What Merchants Say

The company has received 10 informal reviews on its BBB profile, all positive. It should be noted that these reviews are not subject to authentication by the BBB.

A Well Deserved “A” Rating

It is the policy of this website to award companies with a clean complaint record an “A” rating in this category. While the BBB only keeps complaints posted for a 36-month window, the recent creation of MagicPay’s profile within that timeframe means that the company has yet to receive a complaint in its history. As such, we award MagicPay with an “A” rating.

Are you a representative of MagicPay? Add your voice to this section for free!

How Expensive is MagicPay Service?

Rates, Fees, and Contract Terms

Don't Fall Into An Expensive Trap. See Who The Worst Processors Are.

Cost Summary

Swipe Rate
2.39% + $0.20
Keyed-In Rate
3.49% + $0.20
Interchange-Plus Rate
Interchange + 0.50% + $0.10 - $0.21
VirtualPay Rate
2.20% - 3.20% + $0.30
VirtualPay PRO Rate
Interchange + 0.75% + 0.20
VirtualPay Plan Fee
$15 Per Month
VirtualPay Pro Plan Fee
$30 Per Month
Starter Plan Fee
$10 Per Month
Premier Plan Fee
$20 Per Month
Wireless Terminal Plan Fee
$30 Per Month
Early Termination Fee
$0
PCI Compliance Fee
Undisclosed

Month-to-Month Agreement

The standard MagicPay contract is a month-to-month agreement through iPayHere that can be canceled at any time without an early termination fee. The company’s pricing depends on whether a merchant opens a mobile account, a retail account, an all-in-one POS account, an internet account, or an offshore/high-risk account.

Mobile Processing Pricing

Mobile MagicPay merchants can choose either the “Starter” or the “Premier” plan. The Starter plan costs $10 per month and charges a rate of interchange plus 1% plus $0.10 per transaction. The Premier plan costs $20 per month but offers a lower rate of interchange plus 0.5% plus per transaction. MagicPay states that the Starter plan is best for merchants processing under $3,000 per month, while the Premier plan will be better suited for merchants processing more than $3,000 per month.

Retail Processing Pricing

Retail merchants who sign up through MagicPay can choose the PC & iPad POS plan, the retail terminal plan, or the wireless terminal plan. Merchants who choose the PC & iPad POS plan will accept credit cards at their businesses using secure software that runs on a PC or iPad. This plan costs $10 per month and charges interchange plus 0.5% and $0.05 per transaction. The retail terminal plan offers merchants a conventional countertop credit card terminal and costs $20 per month as well as interchange plus 0.5% and $0.05 per transaction. The wireless terminal plan costs $30 per month and charges a slightly higher per-transaction fee of interchange plus 0.5% and $0.10. Retail merchants may also opt for tiered per-transaction pricing of 1.69% plus $0.20 (swiped qualified), 2.39% plus $0.20 (swiped mid-qualified), or 3.49% plus $0.20 (keyed qualified, keyed mid-qualified, or both swiped and keyed non-qualified). Merchants are generally advised to choose interchange-plus pricing because it is the most transparent model available.

Virtual Terminal and Payment Gateway Pricing

E-commerce merchants with MagicPay can choose the “VirtualPay” plan or the “VirtualPay PRO” plan. The VirtualPay plan costs $15 per month and charges a per-transaction rate of 2.2% plus $0.30 (qualified and mid-qualified) and 3.2% plus $0.30 (non-qualified). The VirtualPay PRO plan costs $30 per month but offers a lower per-transaction rate of interchange plus 0.75% plus $0.20.

High-Risk Processing Pricing

Offshore and high-risk merchants will receive custom pricing that, as a general rule, will be more expensive than the company’s standard-risk accounts. Merchants operating in high-risk sectors may find the best rates and service through the top-rated high-risk merchant account providers. MagicPay does not mention whether it charges a PCI compliance fee on any of these pricing plans, but it may include PCI compliance in its monthly fees for each plan. Considering MagicPay’s month-to-month agreements with broad pricing flexibility, we have given the company an “A” in this category.

We also encourage merchants to check out our list of the providers of the best merchant services.

Does MagicPay Use Deceptive Marketing?

Advertising & Sales Strategy

Audit Your Current Statement To Find Its Hidden Fees

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Key Points

Employs Independent Resellers
No
Advertises Deceptive Rates
No
Discloses All Important Terms
Yes

No Sales Complaints

MagicPay appears to market its services via an internal sales team and traditional advertising. There is no evidence at this time that the company utilizes independently contracted sales agents, and we cannot find any MagicPay complaints that mention deceptive contact by the company’s sales team.

This compares favorably to our list of best credit card processors.

Straightforward Pricing

The MagicPay website quotes a number of different per-transaction rates under the company’s interchange-plus and tiered pricing plans, and it appears that these rates are transparently listed. Given the company’s straightforward pricing and clean complaint record, we have assigned it an “A” in this category. However, if you suspect that MagicPay is charging you undisclosed fees, we recommend seeking a third-party statement audit.

Does MagicPay Deserve Your Business?

Review Summary & Our Thoughts

A Solid Payment Processor

MagicPay rates as a reliable merchant services provider according to all available information. The company is not showing widespread merchant complaints and appears to offer transparent, competitive contract terms. Our rating for MagicPay may be subject to change once the BBB establishes a profile for the company, but for now it compares favorably to the best overall merchant account providers.

Customer & Employee Reviews

What Others Are Saying About MagicPay

6 Responses

  • Alicia

    I applied with MagicPay after Looking for a local merchant processing agent. A representative named Rami Levi setup my account, it was relatively simple, however required some personal documents. Easy mobile app to use.

    • Phillip CPO
      administrator

      Hi Alicia,

      Please reply to this comment with your business name and location in order to authenticate your testimonial. Thanks!

      • Alicia Gatmas

        My business name is Food by Alicia. I have a mobile food truck.
        Location is Boynton Beach, FL .

  • Lorinda Fallini

    Called for customer service and they answered the phone directly. Rami was very sensitive to my concerns and promptly corrected the issue.
    Honest and straight forward service!
    Thank you!

    • Phillip CPO
      administrator

      Hi Lorinda,

      Please reply to this comment with your business name and location in order to authenticate your testimonial. Thanks!

  • Nikolay Kudra
    helpforyou.diffuzzio.com

    Hello. Tell me, please, if you have a service of accepting donations of
    cards on our website of a non- profit organization, the registration of
    the EU (Lithuania). http://helpforyou.diffuzzio.com/
    Best regards. Director. Mykola Kudra

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Phillip Parker
Credit Card Processors
< 1 min read
6 Comments
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