Shopping around for credit card processing services? You’ve realize that is not the most honest industry. Hoping to find a straight answer to your question?
We made a list to help YOU avoid the problems of the credit card processing industry. We’ve made a list of the top three things to watch out for when shopping for credit card processing services.
#1 Teaser Rates
Credit card processors love to advertise rates “as low as” i.e. 1.59%. Unlucky for us all this is a lie. There are not any standards for advertising in the merchant service industry. What they don’t disclose are all the extra fees. You’ll see “assessment fees”, “card-brand fees”, “mark-ups” and non-qualified charges added on top.
#2 Lease Agreements You Can Never Cancel
“Why rent when you can own?” We hear it all the time.
But here is the catch… Instead of selling you a terminal at a fair sale price, they will lock you into a 60-month leasing agreement. Not to mention with a 25% buy-out clause and a high interest rate. By the time you’re done with your lease, you paid thousands of dollars for a terminal worth a few hundred.
Why are equipment leases so common? Because those processors get a very large up-front commission from the leasing company. So leases are in their best interest, not yours. Watch the bigger bank names. These tend to happen from them in our area.
#3 Contract Cancelation Fees
Most processors have cancelation fees or early termination fees. They forgo providing a good service at a good rate to keep your business. Instead they install long-term contracts. This to try and deter merchants from switching to a more affordable provider.
Interested in a more transparent way to do business? Just email us at NashvilleBuyLocal@Gmail.com to talk directly with us.
