Redstone Payment Solutions Overview
Redstone Payment Solutions May Have Overcharged You
If you accepted credit cards through Redstone Payment Solutions or any other credit card processing company between 2017 and 2019, recent changes to the law may entitle you to refunds of certain debit card and credit card processing errors and overcharges. See this post to find out if your were among the businesses affected and to learn how you can get your money back.
First Data Reseller
Founded in 2009, Redstone Payment Solutions is a merchant account provider serving most standard risk business types. Redstone appears to be a reseller of First Data‘s merchant services. The company also advertises Clover as a POS solution.
Headquartered in Houston, Texas
The company is headquartered at 10406 Lake Rd., Suite 200, Houston, Texas 77070. Redstone Payment Solutions, LLC, is a registered ISO/MSP of Wells Fargo Bank, N.A., Concord, California. Larry Petru is listed as the president and CEO of Redstone Payment Solutions.
Redstone Payment Solutions Review Table of Contents
- Costs & Contract: Redstone Payment Solutions offers a three-year contract with a liquidated damages early termination fee.
- Complaints & Service: Redstone Payment Solutions has received more than 30 public complaints.
- BBB Rating: Redstone Payment Solutions has an “A+” rating with the Better Business Bureau and has received 4 complaints in the past 3 years.
- Sales & Marketing: Redstone Payment Solutions appears to hire independent sales representatives and has received some complaints about its sales practices.
- Rates & Fees: How Merchants Got The Best Rates With Redstone Payment Solutions
Types of Businesses Served
- Gas station
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Redstone Payment Solutions Rates, Fees, and Costs
|Swiped Rate||2.69% + $0.19|
|Keyed-in Rate||3.69% + $0.19|
|Virtual Terminal Rate||1.00% - 4.99%|
|Payment Gateway Fee||Undisclosed|
|Early Termination Fee||$495|
|Monthly Minimum Fee||$40|
|Equipment Lease Cost||$4,000+|
|Equipment Lease Terms||48 Month (locked)|
Exorbitant Early Termination Fees
According to the Redstone Payment Solutions Program Guide, the standard Redstone Payment Solutions contract is a 3-year agreement with automatic renewal for one to three years. Though no rates specified, as a reseller, they may resemble First Data’s. Under a typical First Data contract, merchants who process up to $50,000 each month will receive a swiped rate of 2.69% plus $0.19 and a keyed in rate of 3.69% plus $0.19. Merchants whose monthly charges exceed $50,000 will receive a swiped rate of 2.29% plus $0.19 and a keyed in rate of 3.29% plus $0.19.
After the initial term and a Liquidated Damages early termination fee. This fee is equal to either $495 or a merchant’s average monthly costs multiplied by the number of remaining months in the contract, whichever is greater. Multiple merchants report being charged thousands of dollars upon cancellation, confirming that the company does enforce this fee.
Virtual Terminal and Payment Gateway Pricing
In addition to its storefront payment processing services, Redstone Payment Solutions also dedicates a portion of its website that advertises its virtual terminal and payment gateway services. However, pricing on either of those services is not disclosed. Additional rates and fees, including gateway fees, technical support fees, batch fees, and additional transaction rates typically apply to these e-commerce services.
Interestingly, some complainants have taken to online forums to request the right to “only” pay a standard early termination fee of $295 or less. It is a bad sign for a company’s contract terms when merchants are requesting to pay a $295 termination fee rather than the one in the contract. Clearly, merchants are more likely to see savings with a top budget merchant account provider.
Additional Rates and Fees
Some complaints also mention a monthly minimum fee of $40, but we have not found any specific details regarding the company’s transaction rates. If you have any knowledge of these costs, please share that information in the comment section below this review.Are you happy with your Redstone Payment Solutions fees? Tell us about them before your go!
Redstone Payment Solutions Complaints & Customer Reviews
|Total Online Complaints||30+|
|Live Customer Support||Yes|
|Most Common Complaint||Termination Fees|
Moderate-to-High Complaint Total
We are currently able to locate approximately 30 negative Redstone Payment Solutions reviews on this and other non-BBB consumer protection websites, and some of these complaints describe the company as a scam or a ripoff. Common themes among complainants include high early termination fees of $3,000-$5,000, nondisclosure of contract length, fund holds, and unavailable customer service. The content of these complaints has lowered the credit card processor’s grade more so than the number of complaints.
Redstone Payment Solutions Lawsuits
We have not found any outstanding class-action lawsuits or FTC complaints filed against Redstone Payment Solutions. Dissatisfied merchants who wish to pursue a non-litigious course of action against the company should consider reporting it to the relevant supervisory organizations.
Redstone Payment Solutions Customer Support Options
The Redstone Payment Solutions website lists a dedicated phone number for customer support. However, these channels are not enough to qualify it as a top-rated merchant account provider for customer service.
Redstone Payment Solutions BBB Rating Summary
Key Points - BBB
|Product & Service Complaints||3|
|Billing & Collection Complaints||1|
|Advertising & Sales Complaints||0|
|Guarantee & Warranty Complaints||0|
Note: We have adjusted this company’s BBB rating according to our own standards. To better understand why we adjust BBB ratings, please see our Rating Criteria.
Under 5 BBB Complaints
Redstone Payment Solutions has been an accredited business of the Better Business Bureau since 2011 and holds an “A+” rating at the time of this review. Of its 4 merchant complaints,1 is regarding a billing and collection dispute and 3 have to do with product and service problems. 3 complaints have been resolved to the merchants’ satisfaction, while the remaining complaint either was resolved to the dissatisfaction of the merchant or did not receive a final response from the merchant.
What Merchants Say
In addition to those 4 complaints, Redstone has also received 1 negative informal review to its BBB profile, which describes difficulty canceling service:
Should’ve stayed with our other charge card service. The salesman on the phone quoted a fantastic rate. I told him I would be selling the business in about a year. I knew the buyer had their own vendors and likely wouldn’t need my merchant credit card processing provider. I expressed that objection to the Redstone salesman, saying I didn’t want to pay any cancellation or early termination fees because of this, so we probably shouldn’t sign up with a new provider (Redstone). The Redstone salesman told me that would be no problem; I wouldn’t have to worry about any termination fees. About two months ago, after a heated conversation about their promises, they cut us off, and we couldn’t do any charges. Now, they want $4000.00 in fees. They are telling me to pay or they’ll destroy my credit rating. I deeply regret having any relationship with Redstone. I’m old and trying to retire. I’ve worked very hard for anything I have. Redstone doesn’t keep their word. I don’t recommend them and if I had it to do over, I wouldn’t have anything to do with them. If I could give them fewer stars, I would.
Merchants who find themselves in this situation may benefit from taking the proper steps to cancel their merchant account without paying a fee.
An “A” Performance
Given the content of the complaints, the volume of complaints, and the company’s resolution ratio, we have slightly adjusted the BBB’s rating at this time.
Truth In Marketing & Advertising
|Employs Independent Resellers||Yes|
|Advertises Deceptive Rates||No|
|Discloses All Important Terms||No|
Several Sales Complaints
Redstone Payment Solutions appears to utilize telemarketing and independent sales agents to market its services. This hiring practice can often produce an untrained, unregulated sales team, which is in turn linked to elevated complaint rates among merchants. In this case, we are able to locate multiple Redstone Payment Solutions complaints that mention persistent sales calls and nondisclosure of contract terms by the company’s sales agents, specifically with regard to the company’s contract length and early termination fee.
Sales Agent Issues
It appears that these issues may stem from the conduct of independent sales agents, as the company itself does not engage in deceptive advertising strategies in its official materials and even provides its program guide online for anyone to view. If you suspect that Redstone Payment Solutions is charging you undisclosed fees, we recommend seeking a third-party statement audit to find and eliminate hidden charges.
Redstone Payment Solutions Marketing Example
About Phillip Parker
Thank you for reading my review. I hope that it has helped you with your research.
Why I'm Qualified to Write About Credit Card Processing and Merchant Account Services
I'm a former credit card processing sales director who left the industry because I didn't like how it takes advantage of small business owners. It feeds like a leech on businesses and thrives by imposing fees that are nearly impossible to comprehend. Seeing a need for change, I left and built this website help business owners better understand the industry, research merchant services providers, and get refunds of excessive merchant account fees. My experience of working "behind the curtain" in the industry, and using that knowledge for good, has resulted in millions of dollars returned to hard-working small business owners as well as enterprise-level companies.
From the time that I starting working in the merchant services industry to when I left to create this website, I've been on the pulse of payments for nearly 15 years. It didn't seem fair to keep this "insider" knowledge to myself. To lift the fog, I've reviewed hundreds of companies, read thousands of user reviews, and learned the pricing tricks of every provider. If you have questions about credit card processing, you can find the answers on this website.