Merchant Club of America Review

Merchant Club of America Overview

Founded By Payment Systems Corporation Veterans

Founded in 2014, Merchant Club of America is a merchant account provider that specializes in processing payments and providing security products for standard-risk businesses within the U.S. The company is owned and operated by former employees of Payment Systems Corporation, one of the worst-rated merchant accounts on CPO. Merchant Club of America does not publicly list its back end processor, but Payment Systems Corporation was a reseller of First Data. Merchant Club of America also does not list its acquiring bank, but Payment Systems Corporation was sponsored by Wells Fargo Bank, N.A., Walnut Creek, California.

Merchant Club of America Location and Ownership

The Merchant Club of America website lists an address at 500 N. Central Expressway, Suite 110, Plano, Texas 75074, USA, but the company’s filing with the California Secretary of State provides an address at 114 Pacifica, Suite #230 Irvine, California 92618.

Zaven Tootikian, the former president of Payment Systems Corporation, is the founder of Merchant Club of America; Joe Martin, the former general manager at Payment Systems Corporation, is a business partner at Merchant Club of America; and Mathryn Eversole, the former vice president of underwriting at Payment Systems Corporation, is the vice president of business development at Merchant Club of America.

Merchant Club of America Review Table of Contents

  • Costs & Contract: Merchant Club of America appears to offer a multi-year contract with an associated credit card equipment lease.
  • Complaints & Service: Merchant Club of America has received fewer than 10 public complaints.
  • BBB Rating: Merchant Club of America has an “A+” rating with the Better Business Bureau and has received 2 complaints and 3 reviews in the past 3 years.
  • Sales & Marketing: Merchant Club of America appears to hire independent sales agents and has received a handful of complaints about its sales practices.
  • Rates & Fees: How Merchants Got The Best Rates With Merchant Club of America
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Products & Services Offered

  • Debit and credit card processing
  • Check guarantee
  • Sales analytics
  • Merchant cash advance
  • Gift and loyalty programs
  • Consumer financing

Types of Businesses Served

  • Retail
  • Mobile
  • E-commerce

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Merchant Club of America Rates, Fees, and Costs

Key Points

Debit Rate 0% + $0.39 To 5.00%
Credit Rate 1.39% + $0.10 To 5.00%
Early Termination Fee $500
PCI Compliance Fee Undisclosed
Equipment Lease Terms $139 Per Month

Higher-Than-Expected Rates

There is not a great deal of public, verifiable information about the standard Merchant Club of America contract. The company’s website does not list its rates and fees, and there are only a few merchant complaints that cite specific contract terms. The complaint cited in the above section mentions that the sales agent quoted a rate of 0% plus $0.39 for debit transactions, a rate of 1.39% plus $0.10 for credit transactions, a $10 monthly statement fee, and a $139 monthly equipment lease cost. The complainant also reported that the company’s effective per-transaction rate came out to be 3.6% overall. A second complaint corroborates this merchant’s description of the equipment lease, citing a monthly leasing fee of $145.39. Other complaints describe an early termination fee of $500, which is consistent with the fact taht Payment Systems Corporation was known to charge a $500 de-conversion fee plus liquidated damages.

Merchant Club of America Cash Discount Program

Merchant Club of America is currently advertising a cash discount program that promises to offset a merchant’s transaction fees by charging their customers a per-transaction surcharge of 3.99%. These programs are becoming more common within the industry and are capable of saving merchants some money. Unfortunately, Merchant Club of America’s program also carries the risk of a long-term equipment lease, which would make it less competitive. Merchant complaints confirm that the company packages its equipment leases with this pricing plan.

Expensive, Long-Term Contracts

Merchant Club of America appears to offer contract terms that are less competitive than industry averages. Specifically, its equipment lease costs are on the high end of what providers usually charge. Merchants are encouraged to purchase rather than lease equipment whenever possible, as most terminals can be bought outright for less than $500. We have lowered Merchant Club of America’s grade to a “D” in this section due to the contract terms we have seen reported and the contract terms that were formerly charged by Payment Systems Corporation. If you have any specific knowledge of the standard Merchant Club of America contract, please share that information in the comment section below our review.

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Response from Merchant Club of America

Are you a representative of Merchant Club of America? Add your voice to this section for free!

Merchant Club of America Complaints & Customer Reviews

Key Points

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

Growing Complaint Total

We are currently able to locate nearly 10 negative Merchant Club of America reviews, 1 of which accuses the company of being a scam. Issues cited by complainants include misrepresented rates, undisclosed fees, and poor customer service. As noted above, Merchant Club of America’s complaint volume is much lower than that of Payment Systems Corporation despite the significant overlap in upper management between the two companies. This may be due to the fact that Merchant Club of America has only been active since 2014, or it may be that the company has improved its complaint resolution procedures. According to merchant complaints, however, its pricing and sales approach remain very similar to those of Payment Systems Corporation.

Damage Control Attempts

In one instance, a Merchant Club of America representative replied to a dissatisfied merchant by offering a revised interchange-plus pricing plan—but only if the merchant deleted their public complaint. We believe that providers should try to reach a satisfactory resolution with all of their customers regardless of what those customers say about them online, so this instance does not reflect positively on the company’s customer service.

Merchant Club of America

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

Merchant Club of America Customer Support Options

Merchant Club of America offers phone and email contact information on its website, but it’s unclear whether these are dedicated to customer support. Given the content of merchant complaints, the company’s support falls short of the standard set by top-rated payment processors for great customer service.

Do you have a complaint or testimonial about Merchant Club of America? Make your voice heard before you go!

Response from Merchant Club of America

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Merchant Club of America BBB Rating Summary

Key Points - BBB

Product & Service Complaints 0
Billing & Collection Complaints 1
Advertising & Sales Complaints 0
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.

Under 5 Complaints

Merchant Club of America currently has an “A+” rating with the Better Business Bureau and is not BBB accredited. The company has received 1 complaint in the last 36 months. The sole complaint had to do with billing or collection and was successfully resolved.

What Merchants Say

Merchant Club of America has also received 2 negative and 1 positive informal review and two negative informal reviews to its BBB profile. The most recent informal review describes retaliatory behavior by a sales agent:

Scammy phone calls from out of state. Not that that’s anything special but the individual who called didn’t like that I didn’t want to talk and left a one star review of my business (first ever for me). So here ya go Steven ******** of Merchant Club. Thanks for taking the time to harass me

Merchants who experience this behavior can respond in kind by reporting the offending payment processor.

A “B” Performance

Given the company’s complaint total and resolution ratio, we have slightly adjusted the BBB’s assessment at this time.

How has Merchant Club of America treated you? Tell us about it here!

Response from Merchant Club of America

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Truth In Marketing & Advertising

Key Points

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

Outside Sales Team

Merchant Club of America appears to primarily market its services via ISOs, independently contracted sales agents, and strategic partnerships. The use of independent sales agents is commonly tied to elevated complaint rates in the credit card processing industry, and it generated a very high number of complaints against Payment Systems Corporation. Merchant Club of America has thus far avoided the sky-high complaint volume that Payment Systems Corporation received, but there are a handful of Merchant Club of America complaints that mention nondisclosure of terms and misrepresentation of fees by Merchant Club of America sales agents.

Serving Marijuana and CBD Merchants

A portion of the company’s website also advertises that it serves merchants who sell CBD as well as recreational marijuanaThis is a niche in the merchant account industry as these merchants are categorized as high risk. Marijuana merchants are especially hard-pressed to find a payment processing solution given federal laws and regulations that complicate their sales. According to the Merchant Club for America website, the company serves different types of merchants within the marijuana industry, from growers and laboratories to dispensaries.

Merchant Club of America Sales Complaint Details

One dissatisfied merchant reported receiving a rate quote of 1.39% plus $0.10 for credit cards, but that this rate was ultimately the company’s qualified rate. According to the merchant, the company’s mid-qualified and non-qualified rates were not disclosed until the merchant began processing. Other merchants complain that they never received notification of the long-term equipment leases that accompanied their merchant accounts contracts.

Merchant Club of America Employee Complaints

One complaint against Merchant Club of America has been filed by a former employee, who says the following: “As a merchant…DO NOT SIGN ANYTHING WITH THEM / DO NOT DO BUSINESS WITH THEM.” Payment Systems Corporation was the target of similar complaints by former employees. If you suspect that Merchant Club of America has misrepresented your pricing, you can double-check your monthly bill with a third-party statement audit.

Merchant Club of America Savings Calculator

Merchant Club of America promotes its cash discount program with an interactive savings calculator on its website. This calculator allows merchants to select one of five different annual processing amounts and then claims that Merchant Club of America can save the merchant 3% of that amount. This calculator relies on the assumption that merchants pay an average per-transaction fee of 3%, which they would not pay at all under Merchant Club of America’s cash discount plan. This assumption may or may not be accurate for a given merchant, but business owners should not regard this calculator as an accurate indicator of the savings they can obtain through Merchant Club of America.

Showing Its Colors

In general, Merchant Club of America is beginning to receive the same negative feedback that Payment Systems Corporation received. This negative trend has lowered the company’s score in this section to a “C.”

Did you get what you expected from Merchant Club of America? Tell us why, or why not.

Response from Merchant Club of America

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Merchant Club of America Marketing Example

Merchant Club of America Logo

Our Opinion of Merchant Club of America

Following in Payment Systems Corporation’s Footsteps

Merchant Club of America rates as an average merchant services provider according to our criteria. The company shares significant personnel links with Payment Systems Corporation, a defunct “F”-rated provider on CPO, and it appears to offer industry-average pricing and terms. We will continue to monitor merchant feedback about the company and adjust our grade as necessary. For now, merchants are likely to obtain better pricing and service from a top-rated credit card processor.

We rely on your feedback about Merchant Club of America to keep this review accurate and up-to-date. Please take a minute to tell us about your experience. We and the small business owners of this world thank you!

Thank you for reading my review. I hope that it has helped you with your research.

Why I'm Qualified to Write About Credit Card Processing and Merchant Account Services

I'm a former credit card processing sales director who left the industry because I didn't like how it takes advantage of small business owners. It feeds like a leech on businesses and thrives by imposing fees that are nearly impossible to comprehend. Seeing a need for change, I left and built this website help business owners better understand the industry, research merchant services providers, and get refunds of excessive merchant account fees. My experience of working "behind the curtain" in the industry, and using that knowledge for good, has resulted in millions of dollars returned to hard-working small business owners as well as enterprise-level companies.

From the time that I starting working in the merchant services industry to when I left to create this website, I've been on the pulse of payments for nearly 15 years. It didn't seem fair to keep this "insider" knowledge to myself. To lift the fog, I've reviewed hundreds of companies, read thousands of user reviews, and learned the pricing tricks of every provider. If you have questions about credit card processing, you can find the answers on this website.

How I Can Help You

I specialize in helping businesses get refunds of excessive fees and have recovered $1,567,184 this year alone! Submit a recent statement below to find out if you are getting overcharged. I'll take a look at it for free. If I find fees that can be refunded, hire me on contigency. I only get compensated if I put money back into your pocket.

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15 Reviews Leave Your Review for Merchant Club of America Below

  1. Christina Stratton says:

    We have been with them for 3 years now and they have raised rates on me several times. The monthly charges are crazy high for no reason. Do not subscribe with them. I am canceling asap!

    1. Brian Clark says:


      If you intend to cancel your merchant account please be sure to review how to do so without being charged an early termination fee.


  2. Edson Osorio says:

    Started using merchant club after they offered lowered rates. I had all my equipment but needed a new card reader. They told me to order it from POS company and they’d reimburse the cost. It’s been 1 month of calling and writing emails. No answer or response ever. Melissa Britt won’t answer emails about the funds. Horrible company

    This post will help: Best Payment Processors for Great Customer Service


  3. Randy ward says:

    merchant club of America mislead me and told me the only charge I would pay for credit card processing was 109 dollars a month . I asked time and time after time what’s the catch . Mo said no catch I signed up . Got my processor the next day opened it up and found out it was a lease for 109 for 4 years and customers processing with me we’re going to be charged 3.99 percent no way I’m doing this my customers won’t pay that . I’ve tried calling to get out and all I hear about is I signed contract. Very bad practice these guys are crooks stay away. . I have and will continue to fight this .i am in the middle of starting a class action lawsuit for 2,000,000 if any one of the 1000 people that want in my number is 727 710 5408. I am going to youse my share to start lobbying government for fraudulent cc companies to do jail time just like real crooks please call me

    This post will help: How to Report Bad Credit Card Processors


  4. Jordan Schaner says:

    On 1/17 I signed my grooming business up with Merchant Club. Was told how much cheaper they would be than my current machine and how simple and easy this process was. $99/month for leasing and then .01% of each transaction.
    On 1/25 unknown charges came out of my account so everything was put on hold until I found out where these charges were from.
    On 2/4 John Michael Flannagan showed up to my shop unannounced around 2:45pm. I had a baby doctor appointment this day at 3:15 and did not have time to deal with him. He said he drove all the way from Roanoke to speak with me about the unknown charges, which had nothing to do with this company. He wouldn’t stop talking to me about personal things(telling me how he “got fixed and had to ejaculate 100 times before it would be effective then ended up with twins because he didn’t ejaculate 100 times”). After these things were said to me, in front of my co-worker, so I do have a witness, I felt very uncomfortable. It was completely inappropriate and in my eyes considered sexual harassment. You in no situation talk to a young woman about your ejaculation. Period. I still feel uncomfortable that was said to me and it has been a month. He then put me on the phone with a Rob who is supoosedly his boss who I also did not have time to talk to. i was told I would not be charged for the first month and will be able to cancel if I’m not happy. Fine. I was then late to my doctors appointment which in case you all didn’t know its a $50 fee.
    On 2/8 I had to sign a document for the machine to be sent to me and was told it would be overnight-ed to me. Later that evening I noticed a charge on my account for $35.38. There was a one time activation fee for $25(which is totally understandable even though I was never told about it) and a $10 monthly fee(so that would make my monthly payments $99/month, plus the .01% of every card ran, plus this $10 monthly fee I was never told about). They also charged me $0.02 to test it. Mind you I had just signed for the machine to be sent to me. I did not have the machine in my possession but was already paying for it. I was not happy about this extra fee I was NEVER told about and was told it would be adjusted. John specifically said “I will have it fixed for you”.
    On 2/13 I still had not received the debit machine & was told it was because my paperwork was not completed. I signed my document on 2/8 so the paperwork not being completed was not my issue, I was told I would have my machine on 2/9. I talked to John again who said “It will be there today”
    On 2/14 I still have no debit machine, John said he would check the tracking and get back to me. Never did.
    On 2/15 I still did not have a debit machine. I told John I was done with this, brought up my charge of $35.38 again for a machine I still did not posses, also told him about an email that said I would be charged the monthly fee on 2/20 for the machine I still did not have. Was again told “It will be there today” failing to address my other concerns about the money being taken out of my account for a machine I still did not have. He decided to tell me how I wasn’t charged for anything yet, although its on my bank statement and how he is not responsible for deliveries even though he told me it would be overnight-ed on the 8th. i proceeded to tell him I wanted someone else’s number to deal with and handle my concerns and he refused to give it to me. Said someone was calling me and no one ever called.
    On 2/17 I asked for someones number to call again and sent my bank statement with the $35.38 charge, mind you i still had not received the machine. He tells me that the charge on my account did not looks like it was from them. I have the paper bill and it is from their merchant. He again says it will be corrected and refused to give the number for someone else to speak with.
    On 2/18, I was still never contacted by ANYONE from this company and had still not received the machine. I left a voicemail with customer service at 1:53pm and spoke with a girl at 3:43, told her everything that was going on including Johns disturbing comment about ejaculation and she said she didn’t know how to help me because I signed a lease for this machine, which I was also never told abound that a higher up would call me back. Sexual harassment to this company is clearly not a concern when this should have been delt with immediately.
    On 2/19 I left a voicemail at 10:49am, 12:02pm, and 1:14pm. Finally a Rob called me back and said he will cancel everything but wanted me to think about it for a couple of days. Will refund my money, I would not be charged for the month on the 20th and to call him directly, that I will not have to deal with John.
    On 2/20 I was charged $110.39, had still not been refunded for the $35.38 from 2/8. So now a total of $145.77 had been drafted from my account when i had been told the $38.35 would be refunded and the next payment would not be charged. I called Rob at 3:49pm and was never called back.
    On 2/21 at 9:39am I called Rob and he said “now is a bad time to call I will call you later” – terrible customer service.
    He called me back at 2:25pm and said that everything would be cancelled and money would be refunded, was told to refuse the debit machine if it ever showed up.
    On 2/26 I called Rob again at 10:57am because the money was still not back in my account and he said he did not know when it would be refunded but it will and it has been handed over to operations.
    Today I have called Rob 4 times, left him 2 voicemails, sent him a text and left a voicemail with customer service because I still have not been refunded. No one has called me back and I am still owed $145.77. This is unacceptable. Everything I have delt with from this company has been the worst customer service I have ever delt with, the sexual comment that was made to me has been brushed under the rug like it has never happened, I have been taken advantage of because I am a young business owner, and now I cannot get a single person from this comany to even contact me back.
    DO NOT DEAL WITH THIS COMPANY! WORST EXPERIENCE EVER AND I AM STILL OUT $145.77. Its sad that I will have to contact a lawyer to handle sexual harassment and to have $145 refunded because no one in the company will speak to me.

    This post will help: How to Get Out of a Merchant Account Contract


  5. Pat says:

    Their rates are not what they claim. You better read the fine print Very Close. Here is what they claim in their email sent to me to arrange my call:

    There is no long-term commitment or contract required with Merchant Cost Club, so you have nothing to lose by trying us out. We do everything on a month-to-month basis, but our customers choose to stay with us because they are happy with the rates, the equipment, and the level of service they receive from us.

    We have a no-charge account rolling out this month. Collect all of your revenue!

    • Accounts processing over 5k = 0.00/month flat
    • Accounts processing under 5k = 19.99/month flat
    • US-based customer service

    Its just simply Not True. “Month to Month”? No long term commitment or contract”? Lie. Its a lie to get your contact info and then, good luck on getting off their constant calls and emails. These guys deserve 5 Pinocchios for this garbage.

    From The Editor
    This Post Might Help: Cheapest Merchant Accounts

  6. Clarence E Sandles says:

    Charges are a lot more than they tell you up front and everyone is too busy to discuss it with you when the overcharging is detected. They cut with very sharp razors and the hide. Be careful and take plenty reference note if you decide to use this company.

    From The Editor
    This Post Might Help: Best Merchant Accounts for Mechanics

  7. Jonathan Gardner says:

    These guys are thief’s they lied and put me a lease agreement for 5000 for a f***** credit card terminal no cancellation. They are the worst merchant company on earth. There salesman Trail is a lire and these guys are the worst of the worst. biggest mistake ever. Don’t ever go with these guys they are the worst.

    From The Editor
    This Post Might Help: Cancelling a Merchant Account Without Paying a Fee

  8. Candy says:

    Great company that helps greatly reduce credit card processsing fees!

    1. Hi Candy, please reply to this comment with your business name and location to authenticate your testimonial.

  9. Nasser Dabaja says:

    A rep came to me promising very low rates and a terminal. After signing few letter while she was explaining that this is nothing just to lock in the rates and find out later that nothing she said was true and I received a lease contract after for 19$ a month for 4 years for a terminal that cost 100 anywhere else. These sales rep are scammers .

  10. Rosli Habibullah says:

    This company is a thief. Their rep said /promised something but the agreement say something else. The rep promised everything – no contract, cancel any time, no cancellation fee, etc, etc. Who got the time to read the fine print. Their rate are not any better than the rest, and very high fees. Some of those fees were never mentioned when you signed up. They promised saving. There no saving at all, but higher fees ! Don’t fall into this bullshit trap. This company is a crook !

  11. Josey says:

    Hey I’m pretty young , trying to find a new career because of a injury and I just got a job with Merchant club of America . I love the fact that your being a voice for the little guys . So far so good but I’m only 2 weeks in. If this turns out to hurt people or screw them over I’ll be sure to let you know .

    1. Shane says:

      Any response to your last comment? I’m thinking of working for them.

      1. Max says:

        Wondering how this is going for anyone working there?

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