ProPay Credit Card Processing 2023: Reviews & Complaints

Just as an example of fees, here’s a breakdown I did a couple years ago comparing ProPay to UBC. UBC did have low rates compared to other merchant companies that had the standard monthly fees but they were still more expensive overall than ProPay. You can use the chart comparison to drop in any merchant companies you’d like to compare and contract to see which is best for you.

Kim, I know you’re a fan of United Bank Card, but after Kerry added those additional fees that I had declined when I signed up that suddenly appeared on my statements months later (more than once), along with a few other non-Kerry problems, I’d had enough. I won’t even go into what I had to do at my bank to prevent UBC to keep charging my account after I’d cancelled!

UBC might offer an interest rate that starts at 1.79% for swiped cards, but if I get a card that won’t swipe, an online order, phone order, outside orders given to me by the hostess with the credit card number on the order form, the store and forward won’t work (oh yes, that happened quite a bit), or whatever the reason was that I had to manually enter in the credit card numbers or call for phone authorization, it’s 3.58% with UBC versus the 3.25% with ProPay, so about half my transactions with UBC were MORE than the interest charged through ProPay. I can get ProPay for a yearly fee of $29.95, which includes Internet processing and phone authorization for the same 3.25% rate. (Interest rates go down to 2.99% and a $59.95 yearly fee with the Premium Plus, but let’s stick with the Premium for comparison.) With phone authorization, I don’t need a terminal. I can use my 3-ply receipts for their credit card receipt, so I save money since I already use those and don’t have to buy the heat sensitive receipt rolls for a terminal, too.

I’d like figure out the average fees for each company for the same scenario. ProPay Premium charges a yearly fee of $29.95. UBC charges a yearly fee of $79. ProPay doesn’t charge a fee for statements. They’re available via email/online for free. UBC charges $10 a month for a hardcopy statement fee (even if it’s ONE piece of paper) and an ADDITIONAL $10 if you want an online statement. ProPay charges $.35 per transaction. UBC charges $.25-.30 per transaction. ProPay charges $.30 for each transfer of funds from your ProPay account to your checking (or use the complimentary debit card to use the money for free). UBC doesn’t charge a transfer fee, but they charge a $.35 batch fee each time you send the info from the terminal to UBC in order to process the payments. With ProPay there is no monthly minimum. With UBC, there is a $25 monthly minimum so if you’re not doing the parties or getting many credit card orders (even if you are doing the parties), then that $25 comes out of your pocket instead of your profit. UBC has the money in your account within 3 days and ProPay, the longest I’ve heard is 5 days to get it into your ProPay account and then into your checking account ( or use the debit card when it shows up in ProPay two days).

So let’s take a look at the fees for a year for credit card sales of $200 a month, $1000 a month, and $3000 a month, with the average sale being $50 for 4 transactions at $200, 20 transactions at $1000, and 60 transactions at $3000. I chose those sales amounts to reflect the Party Gal who does a small amount, a mid amount, and a high end volume of sales per month. I’ll use the lowest fees (interest and batch fees) for both so I’m not going to include the wireless terminal because it’d average out to higher transaction fees and another $35 setup fee and $20 a month for Cingular wireless service plan

ProPay at $200/month:

Yearly fee: $29.95 ($2.50/month)

Interest rate: $78 ($6.50/month)

Per Transaction fee: $16.80 ($1.40/month)

Acct Transfer (optional): $15.60 ($1.30 avg/month at one a week)

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Cheaper than UBC: $140.35/year (Minimum fees = $29.95/year)

UBC at $200/month:

Yearly fee: $79 ($6.58/month)

Interest rate: $300 ($3.58 a month but minimum of $25 month required)

Per Transaction fee: $12 ($1/month)

Batch fee: $18.20 ($1.52 avg/month at one batch a week)

Statement fee: $120 ($10/month)

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$529.20/year (Minimum fees = $499/year)

ProPay at $1,000/month:

Yearly fee: $29.95 ($2.50/month)

Interest rate: $390 ($32.50/month)

Per Transaction fee: $84 ($7/month)

Acct Transfer (optional): $15.60 ($1.30 avg/month at one batch a week)

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Cheaper than UBC: $519.55/year

UBC at $1,000/month:

Yearly fee: $79 ($6.58/month)

Interest rate: $300 ($17.90 a month but minimum of $25 month required)

Per Transaction fee: $60 ($5/month)

Batch fee: $18.20 ($1.52 avg/month at one batch a week)

Statement fee: $120 ($10/month)

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$577.20/year

ProPay at $3,000/month:

Yearly fee: $29.95 ($2.50/month)

Interest rate: $1,170 ($97.50/month)

Per Transaction fee: $252 ($21/month)

Acct Transfer (optional): $15.60 ($1.30 avg/month at one batch a week)

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$1467.55/year

UBC at $3,000/month:

Yearly fee: $79 ($6.58/month)

Interest rate: $644.40 ($53.70/month at 1.79%)*^

Per Transaction fee: $180 ($15/month)*^

Batch fee: $18.20 ($1.52 avg/month at one batch a week)

Statement fee: $120 ($10/month)

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(Cheaper than ProPay) $1041.60/$1211.76*/$1381.80^/year

*$750 in sales at 3.58% and $.30 transaction fee for keyed in transactions

^$1500 in sales at 3.58% and $.30 transaction fee for keyed in transactions

(It’s safe to assume that 25% of all sales will have to be keyed in/phone authorizations for any number of the reasons I listed above, though my average was more 50%, which is why I figured out both averages besides the 1.79% for 100% of sales. Either way, having a credit card present or a swipeable card available for ALL transactions is unrealistic.)

Looking at the stats I calculated, if you’re doing a small or mid-range amount of sales, it’s actually cheaper to go with ProPay. If you’ve got a high volume of sales, then yes, UBC is the way to go. There’s a savings of $425.95 from using UBC. However, even though it’s cheaper for high volume sales with UBC, with the keyed in/phone authorized transactions added into the equation, that difference in savings by using UBC then becomes $255.79 if a fourth of transactions are keyed/phoned in and $85.75 if half of the transactions are keyed/phoned in. Realistically, yes, I’D rather have the difference in fees in MY pocket instead of ProPay and if I was doing $3,000 in credit card sales, I’d keep looking. I’m not right now so it’s a better deal to go with ProPay so I DO end up with the extra money in my pocket.

With all rates aside, I just can’t support UBC after all the problems I’ve had. I will NEVER recommend them, even though Party Gals has taken UBC as their “official” merchant account. I was SERIOUSLY disappointed when I realized it was UBC sponsoring the Party Gals merchant account. It would take a MAJOR change in their practices before I’d ever consider UBC as a possibility, though I don’t ever see a change in UBC’s practices or my opinion of them.