Merchant Warehouse Review

Although Merchant Warehouse has far fewer complaints filed online than most providers of its size and time in business, this reviewer did uncover a number of negative reviews on other consumer protection websites and in the comment section of this review. The complaints center mostly on issues relating to misunderstandings of fees and discontent over the $99 annual PCI Compliance fee. In most cases Merchant Warehouse addressed the complaints directly and provided explanations of the circumstances from their point of view. It’s apparent that the company places great importance on maintaining a positive online reputation. The complaints are infrequent and not widespread in comparison to the company’s size; therefore, they are not a reason for concern with this reviewer. Although one dissatisfied merchant created a blog to label Merchant Warehouse as a scam, no evidence has been found to support such a claim.

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.

As of this review, Merchant Warehouse maintains an “A+” rating with the Better Business Bureau and has been accredited since 2002. According the the BBB.org website, 170 complaints have been filed in the last three years with all but 30 resolved to the merchant’s satisfaction. The bulk of the complaints are related to billing and collection issues and product or service problems. The company also has 46 negative customer reviews filed against its profile, but these complaints are not screened or subject to review by the BBB. Due to the types of complaints filed, it is advised to thoroughly read your merchant account agreement and to make sure you understanding the company’s full pricing before signing.

By far the biggest appeal of Merchant Warehouse is that this provider offers month-to-month contracts with no early termination penalties, an attribute that makes the company stand out in an industry for which multi-annual service agreements are common. Pricing and fees of a Merchant Warehouse merchant account are more typical with processing rates varying from one merchant to the next based upon a merchant’s business type, processing volume, risk profile, and the agent setting up the account. In addition, the company charges a $99 annual PCI Compliance fee along with other common monthly fees. All rates and fees appear to be negotiable prior to account activation, so merchants are encouraged to fully read their agreement and discuss fees prior to signing.

Merchant Warehouse scores well in this review primarily due to well-rated customer service and the fact that the company offers month-to-month service agreements. Although the company’s score suffers from a low volume of complaints for its size, it appears that Merchant Warehouse works diligently to resolve them. The primary complaints of the company’s service are the $99 annual PCI Compliance fee and merchant confusion over some of the monthly fees, both of which signal a possible need for better disclosure prior to account activation. Overall, we believe that the vast majority of Merchant Warehouse customers are satisfied and that new merchants are safe with this company.