Credit Card Processing

By Eric Michaels

Merchant account providers serve as the bridge between your business and credit card companies. Therefore, finding a quality provider is crucial as you navigate your way through a period when credit and debit transactions are becoming the norm. The latest estimates say card purchases constitute around 65 percent of all point-of-sale, or POS, transactions. Knowing you'll have the support you need at reasonable fees is important.

Here is what to remember when reading merchant account reviews.

• Are the budget companies worth the savings? When shopping around for merchant account providers, you'll naturally be attracted to companies offering the lowest fees. Reviews will tell you if that discount is actually worth it. Do numerous reviewers say they got no support when it was needed? If so, you know you're going to pay less and get less in service. Low-maintenance customers might put up with outages and delays in processing, but most business owners want more from a provider.


• Well-known companies charging higher fees may be riding on reputation. A good reputation goes a long way in the merchant account industry, so you'll see the providers with better reviews charging the highest fees. Before you decide to play it safe and go with a top-rated company, find out if smaller providers have more enthusiastic customers. Bigger budgets allow for larger marketing campaigns, so that reputation may be somewhat manufactured. Choosing a smaller, hungrier provider might save you money and give you the same standard of service.


• Seek out comments about hidden fees. What you see on a company's website might not always be the price you see on the first bill. Find out if customers are complaining about hidden fees, or mention the provider changing percentages when volumes declined or increased. Consistency is crucial, whether you are budgeting expenses or paying bills at the end of every cycle. Providers who are notorious for hidden fees or raising rates should be avoided.


• Check whether it was easy for customers to join and leave providers. When business owners have a problem with a provider, it's important you have the opportunity to move on quickly. Check merchant account reviews to see whether you'll be able to get out of a contract easily. Also, look for comments about the setup process. Was it easy to get started? Once you decide it's time to move on credit card processing, you don't want to be delayed by a slow provider.


• Sizing up a contract's terms. You might want to insist on flexibility if you are just getting started with a merchant account provider, so calculate the risks of long-term deals. Is it worth the discount or would you feel safer with a short-term contract? Ask other business owners about their experiences with a provider.

Once you have several possibilities on your list, get a quote from BuyerZone's list of vendors. Reviews can lead you in the right direction, but a full assessment of the offers will get you the best deal.