During the time when your business has been down due to the slow economy and your costs are rising for accepting credit cards? Yes, your rates and fees you the business owner pay may go up, way up depending on the company you do business while using.
One Merchant Services processor announced have been raising their rates by .27%!! It really is a huge increase. Even so it doesn’t stop their. I’ve seen several other companies can get on the bandwagon and announce they have risen their rates to. The largest increase I’ve seen to date has been many.45%. So if you were paying 2% you will definitely be paying 2.45%.
Please keep in the mind this is not Visa, or MasterCard raising their rates, it is the Merchant Services Processing companies!
Time to obtain a Statements out!! You ought to have received these planet mail by now. In the last paragraph on the last page of your statement is where they usually disclose (hide) the rate increase. It may be a % the minute rates are going up and/or a transaction fee ($.xx) increase. Furthermore, it states that if you continue to process with the company May 1st you might have agreed to their rate increase.
It may the perfect to shop around for a different Merchant Services Provider if your current company is raising your rates. There are various of Merchant Services Providers out there that are not increasing their processing rates.
I’m frightened in the number of business owners or those in charge of the books for companies, who don’t even bother opening their statements any more! This industry is very broken and a lot of the gambling payment processors have made their statements so confusing and hard to read, that small business owners quit opening themselves. This gives these companies a real easy way to make rates and fees since all the alerts and communications are on the statements.
I have held it’s place in the payments processing industry as a bank account executive (OK salesman, but account executive sounds better) for upwards of 9 years. Amongst the things I’ve learned is there are many of games being played at your expense.
It is valuable to process your own cards as efficiently as possible to reduce the fees you pay. Lots of the fees provided for can be avoided if you know what to look to have.