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North American Bancard, in operation since 1992, is a merchant account provider that has grown into one of the largest merchant services providers in the United States. This credit card processor is a large super ISO that specializes in providing credit card processing services supplied by First Data (now Fiserv) and Global Payments but manages its merchant customers directly with in-house customer support. The company also markets a mobile point-of-sale app and card reader called “PayAnywhere” and is the parent company of Electronic Payment Exchange, Humboldt Merchant Services, CDITech, Money Machine, Point & Pay, Velocity, and Argus Payments (now “Inovio“). In May 2017, North American Bancard acquired Total Merchant Services for an undisclosed sum. In September 2020, North American Bancard also acquired SALIDO, a leading hospitality technology provider. March 2022 saw the company acquire B2B payments firm Paytrace.
North American Bancard Payment Processing Services
North American Bancard processes all major debit and credit cards for any size of business. Among their extensive product and solution offerings are storefront web-based payments, EMV and NFC solutions, NAB PCI Plus security, Quickbooks merchant account integration, payment reports, touchless pay, discounts for cash payments, inventory and customer management, employee tools, loans, gift and loyalty programs, check processing, dispute management, and billing tools. In terms of payment options, they offer the Payanywhere family of card readers, smart terminals, smart POS, and pin pads; Igenico pin pads; e-commerce setups; the Authorize.net and USAePay payment gateways; and the NAB virtual terminal.
In-Store Payment Processing at North American Bancard
North American Bancard provides traditional point-of-sale (POS) systems designed for brick-and-mortar businesses. These POS systems accept a variety of payment types and can be customized to meet the specific needs of a business.
Online Payment Solutions of North American Bancard
For businesses that operate online, North American Bancard provides secure e-commerce payment solutions. This includes a payment gateway that is designed to process online transactions securely and efficiently, thereby facilitating smooth online sales.
Mobile Payment Services by North American Bancard
For businesses that require mobility, North American Bancard offers a mobile payment service. This service enables businesses to accept payments through a mobile device, providing flexibility for transactions in various locations.
North American Bancard’s Security Measures
North American Bancard employs several security measures to safeguard transactions. They aim to protect businesses and their customers by reducing the risk of fraudulent transactions and data breaches.
Software Integration at North American Bancard
North American Bancard’s services can be integrated with different business software systems. This feature facilitates easy management of sales data and provides businesses with valuable insights into their operations.
Location & Ownership
North American Bancard lists Wells Fargo Bank, N.A., Concord, CA, BMO Harris Bank N.A., Chicago, IL, Citizens Bank N.A., Providence, RI, The Bancorp Bank, Philadelphia, PA, and FFB Bank, Fresno, CA., as its acquiring banks. The company is headquartered at 250 Stephenson Highway, Troy, Michigan 48083. Marc Gardner is the president and CEO of North American Bancard.
North American Bancard Pros and Cons
- Major sales issues, including lawsuits
- Poor contract terms
Table of Contents
- Costs & Contract: Offers a three-year contract with a liquidated damages clause and…
- Complaints & Service: More than 200 complaints published…
- BBB Rating: “A+” rating despite having received 105 complaints and 35 reviews in…
- Sales & Marketing: Hires independent sales agents and has…
North American Bancard Customer Complaints & Reviews
Here's What Users Think
Total Online Complaints
Live Customer Support
Most Common Complaint
Numerous Customer Complaints
We have found a moderate-to-high number of negative North American Bancard reviews, many of which are filed in the comment section of this NAB review. The company appears to make some effort to respond to and resolve public complaints; however, North American Bancard would fare much better in this review if it did a better job of preventing the problems that are causing the complaints in the first place. If you have a North American Bancard review to make, please do so in the comments below.
Common Complaint Themes
Many of the complainants report difficulty resolving problems and minimal cooperation from North American Bancard prior to filing a public report. The most commonly reported problems are agents using deceptive sales tactics, hidden and surprise fees in the North American Bancard rates, sudden rises in fees shortly after service begins, non-disclosure of the service length agreement, and the cost of the early termination fee. Nearly all of these problems can be traced back to agents who fail to verbally disclose important terms of the contract. These agents are either unaware of the terms or rely on merchants to read the fine print prior to account setup; however, we hold providers responsible for their agent’s actions since the provider enforces the terms and conditions of the contract and sets the policies by which agents can sell their services.
North American Bancard Lawsuits and Fines
In September 2002, the State of Arizona filed a complaint against a client that processed through North American Bancard, a Nevada corporation called CP Direct, Inc., alleging violations of the Arizona Racketeering Act. CP Direct ultimately admitted to defrauding tens of thousands of customers by falsely advertising penis enlargement supplements. As a result, the company was ordered to pay restitution of more than $4 million and to forfeit assets totaling over $45 million. In May 2004, the receiver for CP Direct, Lawrence J. Warfield, filed suit against Marc Gardner of North American Bancard alleging violations under the RICO Act, conversion, and unjust enrichment.
Specifically, Warfield’s complaint alleged that Global Payments, the backend processor for North American Bancard, placed CP Direct on its watch list in under a year of processing due to an excessive rate of chargebacks. The complaint further alleges that as a result of this, North American Bancard advised CP Direct to create a new company and reapply for processing under the untarnished name. According to Warfield, CP Direct continued to accept its customers’ credit card payments under the fictitious and fraudulently maintained name of “Nutritional Supplements, Inc.” at the direction of North American Bancard. Warfield further claimed that CP Direct was ordered to pay a monthly consulting fee of $250,000 (plus bonuses of $50,000 for every million dollars over $8 million in monthly sales) directly to Marc Gardner as a condition of North American Bancard processing payments for the company. According to Warfield’s complaint, these payments totaled over $700,000. In July 2006, Marc Gardner was scheduled to be deposed in the case, but Marc Gardner’s counsel terminated his deposition immediately after he was sworn in.
Unfortunately, we are unable to locate any third-party sources or legal documents that explain how this suit was ultimately resolved. However, the parties were known to have reached a settlement amount in April 2006. It is therefore likely that the suit was settled. If you have any knowledge of how this case was resolved, please share that information in the comment section below this review.
In 2016, a number of suits were brought against North American Bancard regarding alleged illegal contacting of numerous parties by phone and fax. Allegedly, North American Bancard violated the Telephone Consumer Protection Act of 1991 by autodialing phone numbers and sending out advertising faxes without consent of the receiver. Many of these suits have reached settlement, including a recent $2.2 million settlement over faxes to a Chicago chiropractor and others.
In April 2020, former employee Teresa Harwood filed suit against Marc Gardner of North American Bancard, alleging that Gardner had created an environment of sexism at the company that was hostile to women. The suit seems to be ongoing at the moment of this writing.
2021 saw a further settlement from North American Bancard in yet another alleged TCPA act violation.
There was a new suit filed in 2023 against NAB, but as of yet there is no public information on the case.
North American Bancard Customer Support Options
North American Bancard offers phone and email customer support to all of its clients and may also provide support for its subsidiaries’ merchant accounts.
North American Bancard Customer Service Numbers
- (866) 485-8999 – Toll-Free General Customer Service
- (877) 840-1952 – Sales
- (866) 485-8999, ext 1200 – Tech Support
Other Support Options
North American Bancard Reviews Online
Our Better Business Bureau Profile Assessment
Over 100 North American Bancard Complaints
North American Bancard has been an accredited business with the Better Business Bureau since 2001. As of this review, the company has an “A+” rating with the BBB despite having 105 complaints filed against it in the last 36 months. Only 38 of these 105 complaints were resolved by the company to the satisfaction of the merchant. The remaining 67 were resolved to the dissatisfaction of the merchant or received no final response.
What Business Owners Say
In addition to those 105 complaints, the company has also received 35 informal reviews on its BBB profile. 34 of those reviews were negative, making only 1 positive in tone. The most recent negative review calls the company a scam:
This is a real scam, they just took $1790 dollars out of my account because they never lose, they say they charge me for something I never contracted, I have no contract with them, I have not made any transaction (I have asked for proof that I have used that service) and so far they do not answer me. It is incredible that scam companies of this type exist. The worst thing is that if you see their website they say that they have A+ in BBB which is an absolute lie. Someone has to do something to stop these scams and return the money to us who with so much sacrifice we strive to grow our companies.We need to put 1/8 of a star because making them deserving of 1 star is giving value to these scammers
Clients who find themselves in this situation may benefit from learning how to cancel service without paying a fee.
An “F” Performance Overall
In light of the company’s high complaint total and numerous negative reviews, we have adjusted the BBB’s rating to an “F.” BBB ratings are subject to client and user manipulation, especially when it comes to larger companies like North American Bancard. Read our ratings guide to learn more.
North American Bancard Fees and Rates
A Closer Look at the Contract
Monthly & Annual Fees
Variable Merchant Account Contract Terms
North American Bancard’s merchant account rates and fees vary from one merchant to the next based on a variety of factors, including each business; type, processing volume, and especially the agent setting up the account. The company states its standard contract rate begins at 1.69% while offering a pay-as-you-go rate of 2.69%. Despite this, the company lists their rates as being as low as 0.29% on their website. Business owners should be wary of company advertising deceptive rates as low as this. In addition to deceptive rates, merchant reviews reflect that the company charges an expensive monthly charge to lease point-of-sale equipment through them. It should be noted that most credit card terminals can be purchased for under $500. Non-cancellable, long-term leases mean a merchant can pay thousands for that same equipment making them a contract term to avoid.
Virtual Terminal and Payment Gateway Pricing
In addition to its storefront payment processing services, this processor also dedicates a portion of its website to advertising its virtual terminal and payment gateway services. According to its website, the company offers 8 gateway options, including Authorize.Net and USAePay. Pricing will depend on which gateway a business utilizes. Additional rates and fees, including gateway fees, technical support fees, batch fees, and additional transaction rates typically apply to these e-commerce services.
Liquidated Damages Cancellation Fees
North American Bancard’s standard contract (available below) has a service agreement of 36 months with what appears to be a Liquidated Damages Early Termination Fee that is automatically debited from a client’s checking account upon cancellation of service. Essentially, clients who cancel service prior to the expiration of their contract will be expected to pay the remainder of any monthly fees that would have been assessed throughout the entire contract, with the minimum early termination fee costing $295. Due to this policy, clients have reported cancellation fees totaling thousands of dollars. Additionally, businesses may also be subject to additional fees if they lease equipment and cancel early. Because of policies like this, we encourage business owners to check out our list of the providers of the best merchant accounts.
Other North American Bancard Fees
Based upon client reports, North American Bancard also charges a variety of unexpected monthly fees as well as an annual PCI Compliance fee of at least $79 (may vary). See the North American Bancard Terms and Conditions.
North American Bancard Jobs and Employment
Hiring Standards and Ethical Marketing Assessment
Uses Independent Resellers
Discloses All Important Terms
“Hiring Mill” Practices
This processor’s most frequently cited drawback appears to be its marketing practices. In particular, the company appears to function as a “hiring mill” that relies heavily upon recruiting independent agents and resellers. This marketing practice often results in problems for businesses and damage to a provider’s reputation because the sales practices of resellers are hard to control. This does not compare favorably to our list of best credit card processors.
Misleading Sales Tactics
Numerous North American Bancard complaints suggest that its agents are poorly trained on the terms and conditions of the company’s merchant account contract and are encouraged to sell expensive accounts in exchange for large commissions. In fact, a large number of complaints report that agents misrepresented fees and policies in order to persuade them into signing up for services. It also appears that the company’s underwriting policies do a poor job of screening out businesses that are likely to have their funds frozen.
Cause for Concern
North American Bancard’s fees are listed on its website as rates “starting at just 0.29 percent, with no cancellation fees and a month-to-month agreement [and] free equipment.” We consider this language to be deceptive because a business owner signing up with this credit card processor is in no way guaranteed these terms. Additionally, there is an ongoing class-action lawsuit regarding the company’s false advertising of its PayAnywhere mobile credit card readers as “free,” when in fact the company charges undisclosed monthly fees for the use of the equipment. In light of these ongoing issues, the company keeps its “D” rating as of this update. If you suspect that North American Bancard is charging you undisclosed fees, we recommend seeking a third-party statement audit to find and eliminate hidden costs.