QuickBooks Payments (quickbooks.intuit.com/payments/), formerly known as “QuickBooks Merchant Services” or “QBMS,” is a credit card processing option included with the QuickBooks accounting software by Intuit. The backend card processing services for QuickBooks Payments are handled by Intuit Merchant Services. We have decided to review QuickBooks Payments separately because the terms and conditions of a QuickBooks Payments account are different than those offered through Intuit’s traditional merchant accounts. Intuit also appears to be gradually folding its GoPayment mobile processing solution into QuickBooks Payments under the name “QuickBooks GoPayment,” so merchants should be sure to clarify which product they are signing up for. QuickBooks Payments allows merchants to process credit cards via their QuickBooks accounting software, which also includes automatic bookkeeping of the transactions. Brad Smith is the CEO of Intuit, which is headquartered at 2632 Marine Way, Mountain View, California 94043.
Sales & Marketing
Key Points - Sales & Marketing
|Employs Independent Resellers||Yes|
|Advertises Deceptive Rates||No|
|Discloses All Important Terms||Yes|
QuickBooks’ credit card processing option is primarily marketed through direct email and mail marketing, online advertising, and via the QuickBooks accounting software. Intuit doesn’t appear to use independent sales agents, but does have a reseller program that allows other sales organizations to market and sell its services. These third-party organizations may contract with their own independent agents, which could inflate pricing or cause changes to terms and conditions. For this reason, merchants are advised to deal directly with Intuit when setting up a QuickBooks Payments account. We are unable to find any complaints that mention nondisclosure of fees or deceptive rate quoting from QuickBooks Payments, so we’ll assign the company an “A+” rating for now.
Costs & Contract
Key Points - Costs & Contract
|Swiped Rate||1.6% + $0.25 or 2.40% + $0.25|
|Keyed-in Rate||3.2% + $0.25 or 3.40% + $0.25|
|Early Termination Fee||None|
|PCI Compliance Fee||Variable|
|Equipment Lease Terms||Variable|
There is no setup cost for a QuickBooks Payments account other than purchasing the QuickBooks accounting software. Additionally, there is no service length requirement or termination fee for cancelling the QuickBooks credit card processing option. However, merchants who accept a free copy of QuickBooks in exchange for setting up a QuickBooks Payments account may be subject to a software “recovery fee” if they cancel service within 24 months of opening the account. The recovery fee is stated to be the market cost of the QuickBooks accounting software as of the date of cancellation.
QuickBooks Payments offers two separate pricing plans for merchants. The standard plan is free to use and charges 2.40% plus $0.25 per swiped transaction and 3.40% plus $0.25 per keyed transaction. The pro plan charges a monthly fee of $19.95 and offers lower rates of 1.6% plus $0.25 per swiped transaction and 3.2% plus $0.25 per transaction. Both plans charge a flat $0.50 per ACH transfer. Merchants may also be required to pay other incidental fees as well as an annual PCI Compliance fee that is based on the number of estimated transactions per year: $35 for 1-24 transactions, $50 for 25-99 transactions, or $100 for 100+ transactions. Merchants are encouraged to fully read and understand the pricing portion of the merchant application before setting up an account.
It’s important to note that merchants who sign up with Intuit Merchant Services to use desktop terminals or POS systems will be subject to different terms and conditions than those offered by QuickBooks Payments. The terms through Intuit Merchant Services could include cancellation fees.
Complaints & Service
Key Points - Complaints & Service
|Total Online Complaints||<10|
|Live Customer Support||Yes|
|Most Common Complaint||N/A|
There are relatively few QuickBooks Payments negative reviews considering the popularity of the QuickBooks accounting program among small businesses in the United States. However, among the available complaints, the most common types found regard difficulty using the program and its credit card processing features (QuickBooks does require a little training if you are new to accounting programs), fund holds, account closure, failed integration with the QuickBooks point-of-sale software, and difficulty getting issues resolved with customer support. Due to the low amount of complaints, these reports appear to be mostly isolated incidents and do not indicate widespread problems.
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QuickBooks Payments does not have a dedicated Better Business Bureau report, so this portion of our review will not be factored into the service’s overall rating. Intuit’s main BBB report, which covers its entire suite of products and services, has an “A+” rating. The grand majority of the complaints filed with the BBB have been resolved to the customers’ satisfaction.
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About Phillip Parker
Phillip Parker is a former merchant services agent turned small business advocate and the author of "Fee Sweep," which teaches merchants how to dramatically lower their processing rates, eliminate junk fees, and avoid fine-print scams. He founded CardPaymentOptions.com to help merchants enact positive change in the credit card processing industry. Schedule a Consultation with PhillipSchedule a Consultation with Phillip
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