Headquartered in Woodland Hills, California, PaymentCloud (paymentcloudinc.com) is a merchant account provider that specializes in credit card processing solutions for high risk business types. The company does not publicly list any information about its founding date or its executive leadership, but some of the copy on its site makes reference to its work over “the past seven years.” PaymentCloud’s acquiring bank is also not listed on its website, possibly because high risk providers tend to work with multiple acquirers. PaymentCloud’s headquarters are located at 6303 Owensmouth Ave. Woodland Hills, California 91367. The executive vice president and managing partner of PaymentCloud is Shawn Silver, the former vice president of high risk at iPayment.
- High risk
Sales & Marketing
Key Points - Sales & Marketing
|Employs Independent Resellers||Yes|
|Advertises Deceptive Rates||Yes|
|Discloses All Important Terms||No|
PaymentCloud utilizes strategic partnerships, affiliate programs, and independent sales agents to market its services. The use of independent sales agents is usually linked to negative reviews within the credit card processing industry, but we are currently unable to locate any PaymentCloud complaints that mention misrepresentation or nondisclosure by the company’s sales team. This may indicate that the company exercises a greater-than-usual amount of control over the conduct of its ISO offices.
The PaymentCloud homepage currently quotes “Swipe Rates Starting at 0.39%.” This rate is almost certainly the lowest available qualified debit card rate for merchants who are on tiered pricing, which means that it is not likely to apply to the vast majority of mid-qualified or non-qualified transactions. We consider this type of rate quote to be deceptive because it could give merchants an unrealistic expectation of what they will pay. This is doubly true for high risk merchants, as high risk industries almost always have to pay higher-than-average transaction fees.
Although PaymentCloud has not received negative feedback about its sales tactics, we have slightly lowered its score in this section due to its lack of organizational transparency and its use of a “teaser” rate on its homepage.
Costs & Contract
Key Points - Costs & Contract
|Early Termination Fee||Variable|
|PCI Compliance Fee||Variable|
|Equipment Lease Terms||Variable|
There is very little publicly available information about the standard PaymentCloud contract at this time. The company does not list its pricing or fees on its website, and there are no merchant complaints that specifically mention rates or fees. PaymentCloud serves a wide range of business types, including high risk businesses, so it is very likely that its contract terms will fluctuate depending on each merchant’s processing history, risk level, chargeback rate, and sales volume. This is especially true of merchants in high risk industries.
One portion of the PaymentCloud website mentions that the company offers equipment leases, so merchants should be aware that equipment lease agreements may be included in the company’s standard merchant account paperwork. Equipment leases can sometimes take the form of non-cancellable agreements of up to four years and can cost thousands of dollars over their full terms. For this reason, merchants are almost always advised to purchase rather than lease equipment wherever possible.
Given the lack of information about PaymentCloud’s contract terms, we have assigned the company an “A” rating at this time. However, merchants should be sure to read and review all relevant documentation. If you have any knowledge of the standard PaymentCloud contract, please share that information in the comment section below this review.
Complaints & Service
Key Points - Complaints & Service
|Total Online Complaints||<10|
|Live Customer Support||Yes|
|Most Common Complaint||N/A|
We are unable to locate any negative PaymentCloud reviews, which is a strong indicator that the company isn’t a scam or a ripoff. In fact, there do not appear to be any positive or negative merchant reviews of PaymentCloud anywhere on the internet. Given the fact that the company claims to have been operating in the high risk sector for at least seven years, it is surprising that there is no merchant feedback about PaymentCloud. This may be due to a past rebranding, a small merchant base, or simply excellent service from PaymentCloud. In the absence of any evidence to suggest that merchants are having negative experiences through the company, we have assigned PaymentCloud an “A” rating in this category. The company offers a phone number on its website, but it’s unclear if this line is dedicated to customer support.
The Better Business Bureau does not maintain a profile for PaymentCloud at this time. We therefore will not factor a BBB rating into this review.
About Phillip Parker
Hi, I’m Phillip and I’m disgusted by the state of credit card processing in the U.S. and abroad. I believe that the industry has been overrun by people who engage in fraud and deception in order to steal money from hard working business owners. I’ve made it my mission to expose the companies and individuals who engage in predatory marketing, pricing, and contracts, or just provide terrible service. Along with uncovering the bad guys, I’ve also discovered the good guys who do stand out from the status quo. CPO is a website where you will find ratings and reviews of these companies along with advice on how to save money and which service providers consider. Together we can move the industry in a positive direction. If you would like to help support my work, please checkout “Fee Sweep” my eGuide to getting the lowest possible fees when accepting card payments. If you haven’t heard of “interchange” this advice will save you hundreds, even thousands, in processing fees.Schedule a Consultation with Phillip
Related: Phillip’s Top All-Purpose Merchant Account Picks
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