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SOME FREQUENTLY ASKED QUESTIONS ABOUT
CREDIT CARD PROCESSORS
Making a choice of
merchant account provider will take some
time if you want to make the right
choice. Making a wrong choice in this
case will cost you dearly. You will
loose several thousand dollars, waste of
your precious time, frustration and
waster man – hours. Therefore, do some
research before buying a merchant
account.
1)
How to make the right choice of a
“Credit Card Processor”?
The most significant factor while
selecting a processor to process credit
cards is the firm that you choose. From
the outside, any 2 credit card companies
will look very similar. But, when you
look in to the contracts you will be
surprised to see that they are totally
different from each other.
Given below are a few questions for
which you should find the answers before
making your decision.
a)
Is this firm registered with MasterCard
and Visa?
If, yes then you are serviced by a
vendor who is licensed by MasterCard and
Visa.
b)
Does the name of the business on the
representative’s business card match the
name of the business mentioned in the
contract?
c)
What is the primary focus of the
processor?
If it is corporate accounts, then you
should not go with this company if you
are the owner of a small business.
d)
Is the customer service of the processor
24/7?
e)
Are any fees applicable for the customer
service that is provided?
f)
What is the quality of the service that
they are providing?
It will not seem, very important at
start, but later on you will be fed up
of the processor if his services are not
good.
2)
Are there any companies offering free
credit card processing?
Many people are under the false
impression that they aren’t paying a
single penny to take credit card
payments. It’s like saying that you are
getting electricity and phone services
for free. “Credit Card Processing” is
also a service and a business like any
other trade. You have to pay to get
those services. Discover, American
Express, MasterCard and Visa charge some
percentage of each transaction to every
business.
There are merchant account providers who
are authorised by MasterCard and Visa.
3)
How much fees is correct?
The rates and fees for credit card
processing called as discount rate
primarily depends on the type of your
business and the type of transactions
that you want to process.
You should get an e – payment processing
system which will not cost you much and
which suits your type of business. You
should also consider the quality,
product line and the different
processing options that your provider
will offer.
4)
Does it cost a lot to have a merchant
account?
Having a merchant account will not cost
you much. But not having it will cost
you dearly and you may have to shut down
your business.
Having a merchant account will allow
your business to accept credit cards
which will only attract more customers
to your business. |
