During the time when your business has been down due to the slow economy including your costs are rising for accepting credit cards? Yes, your rates and fees you the company owner pay may go up, way up depending on the company you do business by way of.
One Merchant Services processor announced these were raising their rates by .27%!! What a huge increase. Definitely doesn’t stop there. I’ve seen several other companies get on the bandwagon and announce they have risen their rates quite. The largest increase I’ve seen much has been can.45%. So if you were paying 2% you will easily be paying 2.45%.
Please keep in mind this is not Visa, or MasterCard raising their rates, it is the Merchant Services Processing companies!
Time to make your Statements out!! You should have received these previously mail by now. In the last paragraph on then everything else page of your statement is where they usually disclose (hide) the rate increase. It are sometimes % the minute rates are going up and/or a transaction fee ($.xx) increase. It also states that in the event you continue to process with the company May 1st you’ve agreed to their rate increase.
It may appropriate time to shop around for a different Merchant Services Provider if your current company is raising your rates. There are masses 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 control of the books for companies, who don’t even bother opening their statements once more! This industry is very broken and quite a few of the gambling payment processors have made their statements so confusing and hard to read, that business owners quit opening them. 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 been in the payments processing industry as business relationship executive (OK salesman, but account executive sounds better) every one of the 9 years. Amongst the things I’ve learned is there are a lot of games being played at your expense.
It is extremely to process credit score cards as efficiently as possible so you merely reduce the fees you pay. Lots of the fees not only do you can be avoided if you know what to look for.