If it works, don’t fix it! While this may apply in other areas, it is a rationale that should definitely not apply in the Credit Card Processing Industry.
Unfortunately, all too many merchants fail to realize this until it is way too late and the damage has been done.
Below are some key facts of which every merchant need be aware.
1) The Merchant Service Industry is Unregulated, which allows Credit Card Processors who sell Merchant Accounts, Merchant Services and Processing Equipment to pretty much do and say whatever they please before, during and after the sale.
2) There are Bi-Annual Increases each and every year initiated by the card issuers. Although these increases are minimal and very specific to certain SIC Codes or Card Types, all too many providers take advantage of this fact and pass along exorbitant, across the board increases to each and every merchant, to every SIC Code and for all card types. Contractually, they can do this.
3) Merchant Service Providers Create Their Own Bins. There are many different cards and transaction types. The bin dictates what each will get charged. Unfortunately, many providers advertise below market rates to seduce merchants but these rates only apply to an extremely small percentage sales. The remainder get thrown into a bin that is charged a much higher premium rate costing the merchant a fortune. This is an unavoidable trap which cannot be discerned by looking at a simple merchant application.
The providers guilty of this, bank on the fact that merchants will rarely, if ever look at their statements. If the system works and deposits are timely, merchants simply move on about their busy lives. This is a huge mistake, made by all too many merchants, and costs them a fortune in the long run.
Don’t be a victim!! Look at your statement early and often! At the least you will give yourself the peace of mind you deserve and keep your processor honest.
1NPS offers FREE Reprograms of existing systems, Free Terminal Placements, Bottom Line Pricing on all EMV Credit Card Processing Devices combined with the lowest Merchant Account Rates in the industry.
1NPS WILL NOT BE UNDERSOLD!! Contact Us today for a Free Statement Analysis and take advantage of our $500 Low Rate Guarantee. A simple phone call could save you thousands of dollars a year.