One thing that small businesses must think carefully about when setting up shop is what credit card processing service can address their needs best. You must take the time to select a card processor that can ensure smooth transactions, low monthly costs, reasonable transaction costs, and the like.
A mistake that small business owners often make is simply using their existing bank's services for this. Accountant Kwame A. Michel warns that banks do not always have the most reasonable deals. Moreover, they are known for charging hefty card processing costs, which can add to your expenses.
Technology has introduced new payment options and enhanced security for these processors. As such, today's retailers can now determine the best credit card processor according to low costs, flexible terms, customer support, security levels, and accepted payment methods.
Keeping all of this in mind, here are some of the top retail credit card processor options in the market today:
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With National Processing, payments can be processed in a brick and mortar or online store through a mobile point of sale system. Their billing software can send invoices, and minimize chargebacks and fraudulent activity. There is no monthly minimum with National Processing.
Opening an account with Flagship will also grant you access to an online reporting tool for better analysis and tracking.
Opening an account with Payment Depot means you will be able to accept payments online or in a physical store. These will be transferred into your account with two business days. It is a great choice for businesses with high volumes.
High-risk businesses need not worry about possible problems because ProMerchant also assigns you a dedicated account manager.
One way to charge customers card fees is by adding a line on the invoice with an item called "credit card surcharge" and calculating it at standard rates. If you have your system set up correctly, this can be done automatically without any manual effort.
You can also ensure that card surcharges are processed smoothly by setting them as automated charges against each customer's account when they place their order.
Avoid processing your own card through a merchant account that you are affiliated with. You should also avoid paying someone else when it's not necessary because this can be considered fraudulent and money laundering—both of which are considered strictly prohibited by card companies.
Card surcharges are optional fees added when customers use their credit cards to pay at checkout. These can be legal, unless restricted by state law. Such fees can work on an individual basis or as part of the brand level surcharge; the latter adds the same fee to all transactions from that one payment network such Visa or Mastercard.
To increase your account eligibility, it is important to maintain a positive credit rating. Be honest about previous merchant accounts, bankruptcies, liens, or judgments. From there, take the time to compare and contrast different processors in order to find one that best suits your needs.
Merchants typically pay roughly a processing fee of 1.5% to 2.9% depending on the type of card, but 3.5% for a keyed-in transaction due to the increased risk associated with this kind of purchase.
From the above information, it is evident that there is a credit card processing solution for every possible concern you can think of. Choosing the right payment processing service is a matter of weighing your options, considering interchange fees, looking at the reputation of payment processors, and knowing what will serve your customers best.
Interested in learning more about credit card processing companies? Get in touch with Processing Card today!
