Redstone Payment Solutions (redstonepaymentsolutions.com) is a merchant account provider serving most standard risk business types. Redstone appears to be a reseller of First Data‘s merchant services. Founded in 2009, 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., Walnut Creek, California. Larry Petru is listed as the president and CEO of Redstone Payment Solutions.
- Gas station
Sales & Marketing
Key Points - Sales & Marketing
|Employs Independent Resellers||Yes|
|Advertises Deceptive Rates||No|
|Discloses All Important Terms||No|
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 several Redstone Payment Solutions that mention nondisclosure of contract terms by the company’s sales agents, specifically with regard to the company’s contract length and early termination fee. It appears that this issue may be the result of poor conduct by only a handful of agents, as the company does not engage in deceptive advertising strategies in its official materials and even provides its program guide online for anyone to view.
Redstone Payment Solutions Marketing Example
Costs & Contract
Key Points - Costs & Contract
|Early Termination Fee||$495+|
|PCI Compliance Fee||Variable|
|Equipment Lease Terms||Variable|
According to the company’s program guide (available below), the standard Redstone Payment Solutions contract is a three-year agreement with automatic renewal for one to three years 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. Interestingly, some complainants simply 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 higher-than-average termination fee rather than the one in the contract.
We have not found any specific details regarding the company’s monthly fees and transaction rates. If you have any knowledge of these costs, 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||Hidden Fees|
We are currently able to locate approximately ten Redstone Payment Solutions complaints 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 company’s complaint volume is actually lower than expected for its time in business, but the content of these complaints has lowered the company’s grade more so than the number of complaints. The Redstone Payment Solutions website lists a dedicated phone number for customer support.
Related CPO Content
Key Points - BBB
|Product & Service Complaints||9|
|Billing & Collection Complaints||15|
|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.
Redstone Payment Solutions has been an accredited business of the Better Business Bureau since 2011 and holds a “A+” rating at the time of this review. Of the 24 merchant complaints, 15 are regarding billing and collection disputes, and nine have to do with product and service problems. All complaints have been resolved to the merchants’ satisfaction. Given the content of the complaints, the volume of complaints, and the company’s resolution ratio, we have adjusted the BBB’s grade to a “B-.”
Related CPO Content
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
Copyright & Disclaimer
Copyright © CardPaymentOptions.com, Inc. (Digital Fingerprint: 0d38c6720f0d78a701b74d58653af608). Getting paid to re-write this page? Click here to earn a reward.
Any unauthorized copying and reproduction of the content of this page, including all meta data and computer code, is strictly prohibited. While the information in the above article is believed to be accurate as of its publish date, the author and publisher make no representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the contents. The author and publisher shall in no event be held liable to any party for any direct, indirect, punitive, special, incidental or other consequential damages arising directly or indirectly from any use of this material, which is provided “as is,” and without warranties. Any and all use of trade names and/or marks are for identification purposes only and shall not be construed as a claim of affiliation, or otherwise, with CardPaymentOptions.com, Inc. ("CPO") in any form. The sole purpose of the material presented herein is to alert, educate, and inform readers. It is not intended as legal or financial advice.