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Is Wave Payments a Safe Choice for Your Business?

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Maintained Since: November 13, 2013

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Wave Payments
Rating
C
3.5/5
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Pros

No monthly fees
Integrated invoicing
User-friendly interface

Cons

Higher transaction fees
Limited integrations
No in-person payments
Delayed fund transfers
Limited customer support

Overview

In this Wave Payments review, we’ll examine its credit card processing services for small businesses, focusing on transparent pricing that suits companies with fluctuating transaction volumes and seamless integration with Wave’s invoicing system. We’ll highlight key features such as the user-friendly payment gateway, mobile app, and built-in security tools, while also considering customer and employee feedback, contract terms with WorldPay, and the overall pros and cons. By the end, you’ll have a clear and complete view of Wave Payments to help determine whether it’s the right solution for your business.

About Wave Payments

Screen Capture of Wave Payments Homepage
Wave Payments Homepage

Wave Payments, also known as Payments by Wave, is a credit card processing service offered by Wave Accounting Inc., a Toronto-based software provider. Wave was founded in 2009 and has since expanded its initial service (free online accounting software) to include invoicing, payroll, personal finance, PayPal integration, and receipt management.

Products & Merchant Services

Payment Processing

Payments by Wave launched its debit and credit card processing service in late 2012 and continues to beta test its mobile payment service for iOS. The company also offers accounting, invoicing, payroll, and receipt services for merchants.

User-Friendly Payment Gateway

Payments by Wave provides a straightforward payment gateway, allowing businesses to accept credit card payments through Wave invoices or custom payment pages. The setup is simple, making it accessible for small businesses without extensive technical expertise.

Transparent Pricing Structure

The pricing structure of Payments by Wave is transparent, with no hidden fees or long-term contracts. Small businesses pay a fixed fee per transaction under a pay-as-you-go model, avoiding additional monthly costs or setup fees.

Invoicing Integration

Payments by Wave integrates with Wave’s invoicing platform, enabling businesses to create and send professional invoices, track payments, and automatically update their accounting records. This integration simplifies the invoicing and payment collection process.

Fast Deposit Times

Payments by Wave offers quick deposit times, with most transactions deposited within two business days. This ensures that businesses have timely access to their funds, aiding in effective cash flow management.

Mobile Payments with Wave App

The Wave App allows businesses to accept payments on the go using mobile devices. This functionality provides small business owners with the convenience and flexibility to accept credit card payments from customers wherever they are.

Strong Security Measures

Payments by Wave employs security measures to protect customer data and ensure secure transactions. The service is PCI DSS compliant and uses strong encryption methods to safeguard payment information.

Customer Reviews & Sentiment

Minimal Complaint Volume

Our research has identified a modest volume of negative Payments by Wave reviews. A fraction of these critiques accuse the company of engaging in deceptive practices. The majority of complaints focus on issues related to fund withholding by Wave, echoing concerns typically associated with its previous processor, Stripe. Additionally, a number of grievances are related to Wave’s accounting software, which, while indirectly connected, impacts perceptions of its Payments service. We invite you to share your personal experiences and reviews of Wave in the comments section below to help others gain a comprehensive understanding of the company’s services.Wave Customer Support Offerings

Wave’s customer support team is proactive in addressing queries and concerns through the company’s website and the comment sections of independent product reviews. Despite the absence of publicly available direct contact information for its customer support team, and observations indicating the challenge of accessing a customer service phone number, users may find additional support through the Wave Accounting software interface. Currently, based on user feedback, Payments by Wave’s customer support capabilities might not align with the standards expected from a top-tier payment processor renowned for exceptional customer service. Your feedback is crucial in helping us improve and serve you better. We encourage sharing your customer service experiences with Wave to enhance transparency and assist prospective users in making informed decisions.

This content aims to provide a balanced overview of Payments by Wave, incorporating user reviews, complaints, and customer support insights. For readers seeking more detailed information or wishing to share their experiences, engaging through comments can enrich the collective knowledge about Wave’s services.

Industry Scores & User Ratings

Online Ratings Summary
PaymentPop1
BBB Reports1
Average Rating1

PaymentPop Rating for Wave Payments

Negative Feedback

Do not use this company. They tell you that your account is all set up and ready to use. You go do a show, sell products at the show, collect payments and JUST THEN they tell you that they cannot verify you and are refunding the customer. The customer that took the product and since you were at a show you did not get their info so now the customer has their product and their money. This company is stealing from you. And instead of asking you to prove you are legit, they just do this. DO NOT USE THIS COMPANY.

Positive Feedback

There are no positive reviews published about Wave Payments on the PaymentPop website.

Wave Payments BBB Rating

Wave Accounting Inc. has been an accredited business with the Better Business Bureau since September 2013 and currently maintains an “A+” rating. The company is showing 173 complaints with the BBB. Wave Payments has a 1 out of 5 star rating based on 28 user reviews on the Better Business Bureau website.

What Merchants Say

In addition to the 173 complaints filed against the company, Payments by Wave has also had 30 informal reviews filed against it. All but 1 complaint reflect negatively on the company. The most recent review concerns issues with the app:

I have used Wave for several years. In October, it stopped importing transactions. After two weeks of working with the Chat support because I can’t find the phone support, I am told that this is *****’s problem not Wave’s problem and I have to download my statements. I don’t trust this organization and software *** **** ******** **** ** ** *******. What company that wants to grow tells customers that it can’t fix their problems?

High-risk businesses face unique challenges for a multitude of reasons. Those factors can make finding a suitable merchant account difficult. Businesses confronted by these issues should research their best options for merchant accounts serving high-risk industries.

A “B” Performance

The complaint details provided by the BBB strongly suggest that most of these complaints are related to fund-holds placed by Stripe on transactions made through Payments by Wave. As a result, we have adjusted the company’s BBB rating to a “B” for our purposes.

Processing Rates & Fees

Processing Through WorldPay

Wave offers its payment service primarily for businesses wishing to facilitate payment collection when sending invoices to customers. The WorldPay provides the actual payment processing service through an integration with the Wave Accounting app.

Payments by Wave Pricing

The pricing structure for Payments by Wave is clear, with a uniform transaction fee of 2.9% plus $0.60 for most transactions, except for AMEX transactions, which incur a 3.4% plus $0.60 fee. ACH payments are charged a 1% fee, with a minimum fee of $1 per transaction. This applies to any ACH payment ranging from $0.01 to $100 processed through Wave. The platform also supports direct bank-to-bank transfers at a rate of 1% per transaction, though these may take longer to process. There are no early termination fees or PCI Compliance fees, allowing clients the flexibility to cancel their services without penalties.

WorldPay Contract Complaints

WorldPay’s contract terms have received a “C” rating due to a significant number of complaints, primarily related to pricing and billing practices. However, these concerns are mitigated by the specific pricing options available through Payments by Wave. While Wave is not the least expensive option available, its terms are competitive. For details on Payments by Wave’s merchant agreement, you can view it here. Business owners are also advised to review comparisons of the best merchant account providers according to our recent findings.

Lawsuits & Legal History

As of our latest update, we haven’t identified any active class-action lawsuits or formal complaints filed against Wave with the Federal Trade Commission (FTC). Reports suggest that Wave has incurred fines on a few instances for violations related to consumer protection. Customers looking for alternatives to resolve their issues with Wave may find it beneficial to report their experiences to appropriate regulatory agencies. Such actions not only aid in personal resolution but also contribute to broader consumer protection efforts.

Employee Reviews & Sales Practices

No Sales Complaints

Wave appears to rely primarily on its website and traditional advertising to market its Payments app. The company does not employ independently contracted sales agents, and we are currently unable to locate any negative Payments by Wave reviews that accuse the company of misrepresenting its terms. This compares favorably to our list of best credit card processors.

No Deceptive Ads

Additionally, the Payments by Wave website does not appear to engage in any deceptive advertising strategies. We have therefore assigned the company an “A” rating in this category for the purposes of this review. If you suspect that Payments by Wave is charging you undisclosed fees, however, we recommend seeking an independent statement audit to spot hidden charges.

Wave Payments Competitors

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Bottom Line

Wave Payments presents a reliable option for small business credit card processing, characterized by its straightforward pricing model and seamless integration with Wave’s broader accounting services. While customer and employee feedback has been mixed, the overall volume of complaints remains relatively low. A significant point of concern, however, is the partnership with WorldPay, which has been known to include non-cancellable clauses in its contract terms. Such conditions can commit businesses to lengthy and potentially unfavorable financial obligations.

Despite these challenges, it is possible for businesses to secure a beneficial arrangement with Wave Payments by entering negotiations well-prepared and informed. Those considering Wave for their payment processing needs are encouraged to conduct thorough research and actively negotiate to enhance the terms available. Comparing Wave’s services and pricing with those of industry-leading providers is also recommended to ensure the best possible decision for their financial transactions and management.

Read Actual User Reviews

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All user reviews have been moved to our partner, PaymentPop.com

Contact Wave Payments

Contact & Customer Support
Co-founderKirk Simpson
CEOZahir Khoja
Headquarters155 Queens Quay E Suite 500, Toronto, ON M5A 0W4, Canada
Customer Service1 (888) 742-5049
Additional Support ChannelsOnline Contact Form
Websitewaveapps.com/payments