PayPal Here Vs. Square

PayPal Here Vs. SquarePayPal Here has taken the mobile payments market by storm with a smartphone processing solution that in several ways gets the better of the current market leader, Square. Boasting live customer support, immediate funding and support for multiple payment channels including free check acceptance, it seems as though Square has some catching up to do despite the company’s rapid growth. Continue reading

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Intuit Credit Card Processing = Very Expensive!

PayPal HereIntuit is best known as the maker of the popular Quickbooks accounting software, and as the provider of the GoPayment mobile processing application. If the company’s credit card processing keeps going as it is, Intuit will also become know for exorbitant credit card processing charges and excessive downgrades. Continue reading

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PayPal Here iPhone, iPad & Droid Credit Card Processing

PayPal HereMicro merchants and businesses that need to accept credit card payments while on the go now have yet another smartphone credit card processing option. On March 16th PayPal launched PayPal Here, a service that allows iPhone and eventually Droid users to accept credit card payments through their mobile device. Continue reading

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Transaction Integrity Fee (TIF) Visa

Transaction Integrity FeeEffective April 13, 2012, Visa will begin charging a Transaction Integrity Fee (TIF) of $0.10 on transactions involving Visa debit and prepaid cards that do not meet CPS requirements. The Transaction Integrity Fee will not apply to Visa credit card transactions. Continue reading

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Fixed Acquirer Network Fee (FANF) Visa

Fixed Acquirer Network FeeThe price for admission is increasing on April 1st for any business that accepts Visa credit or debit cards. Visa’s new Fixed Acquirer Network Fee will increase costs across the board. Continue reading

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1.54% “Flat Wholesale Rate”

Q & A: 1.54% Wholesale RateI have a question about a specific company — [removed to protect the guilty]. They are saying the rate they can provide is 1.54% on qualified and mid-qualified cards (“flat wholesale rate”). The only other rate is “up to 4.61%” on non-qualified cards. Then they charge 3 cents per transaction and no basis points. Is this true and possible? Continue reading

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Are Credit Card Processing Fees Negotiable?

Credit Card Processing Fees NegotiableSome credit card processing fees are negotiable, and some aren’t. So, please put the spreadsheet aside for a moment and read this article before you call another processor to ask the fateful question, “What’s your rate?” Before you can negotiate credit card processing fees, you have to know which fees are flexible. Credit card processing is like any other industry in that there are fixed costs and markups. Fixed costs are those that a processor can’t change, and markups are open to discussion. Continue reading

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American Express Discount Rate & Merchant Account

American Express Merchant AccountAmerican Express operates on a closed loop network whereby it issues credit cards directly to cardholders and merchant accounts directly to businesses. A credit card processor that claims to offer lower American Express credit card processing fees than its competition is simply being misleading. American Express sets its own discount rates which are exactly the same for all credit card processors. Continue reading

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How to Read an Intuit Merchant Statement

Intuit Merchant StatementYou have to read between the lines to understanding how much you’re actually paying to process credit cards through Intuit. Tiered pricing, daily discount and excessive non-qualified surcharges make Intuit statements appear deceivingly simple. Continue reading

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Can I Reprogram My Credit Card Machine For Different Processors?

Reprogram Credit Card MachineSome credit card machines can be reprogrammed to work with virtually any credit card processor, while other machines will only work with a specific processor. Older credit card machines that don’t have the proper hardware and memory to support modern programs may not work with any processors at all. Continue reading

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(Evil) Tiered Pricing Merchant Account Services

Tiered Pricing Merchant AccountTiered merchant account pricing is currently the most common form of pricing for credit card processing services. Tiered pricing is opaque, expensive and is the vehicle for many of the hidden fees that plague the credit card processing industry. A more cost-effective, transparent alternative to tiered merchant account pricing is available to businesses that know enough to request it. Continue reading

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Reading A Credit Card Processing Statement

How to Read a Credit Card Processing StatementIt’s not enough to simply read a merchant processing statement; the real goal is to understand what you are reading, where your money is going, and to determine whether your business has competitive credit card processing fees. This article will lay the foundation that will allow you to understand your statements, and it will link to examples of statement analyses that will allow you to follow along as we dissect various statements. Continue reading

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Online Sales Tax Rules & Laws

Online Sales TaxAn online business does not currently have to pay sales tax in states where it does not have nexus. However, the topic of online sales tax is rapidly evolving as new laws emerge with the goal of allowing states to charge sales tax by standardizing laws and rates. Some states also have existing or emerging laws that expand the scope of nexus that dictates if sales tax can be collected. Continue reading

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Contract = Good, Termination Fee = Bad

Merchant Account ContractAll merchant accounts have contracts and terms; some merchant account contracts do not have early termination fees.
Business people and processing professionals alike often refer to this type of merchant account as not having a contract, or as having a month-to-month agreement. Both of these declarations are incorrect and create confusion regarding the true nature of merchant account agreements. Continue reading

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What is a Good Interchange Plus Rate?

Good interchange plus rateInterchange plus rates vary widely from one processor to the next. How competitive rates are will depend on your business’s processing profile and how you are gathering quotes. It’s also important to understand that interchange plus is a form of pricing; it’s not a single rate. The percentage portion of the processing markup (the “rate”) may not be, and often isn’t the most important fee in determining cost-effective credit card processing services. Continue reading

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[Case Study] Dukane Skin Care Saves Once, Twice…

Dukane Skin CareMy experience with CardFellow.com has been amazingly positive every step of the way. It’s a quick and easy process that’s actually understandable. CardFellow made sure that my business secured the best rates possible, while also making sure that there were no unnecessary fees. Continue reading

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Sam’s Club Merchant Account Services – Buyer Beware!

Sams Club Merchant ServicesSam’s Club uses First Data as a processing partner to push tiered pricing, equipment leases and cancellation fees. Sam’s Club is great for groceries, but not so good for credit card processing. Continue reading

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101 Credit Card Processing Tips

Credit Card Processing Tips

101 credit card processing tips may seem like a lot, but the more you know, the better equipped you will be to avoid pitfalls. CardFellow also begins to look really good as you learn more about processing, so we are all for education. Continue reading

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Exposing Shysters: Credit Card Processing Bait-and-Switch

Credit Card Processing Bait-and-Switch

Some credit card processors play the old bait-and-switch game of advertising rates that seem too good to be true. Spotting these shysters is easier said than done because they will in fact honor the low rates they advertise. Processors that use bait-and-switch aren’t blatantly lying; instead, they’re tactfully omitting some important details. Continue reading

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Pivotal Payments’ Cancellation Fee & Auto-Renewing Contract

Pivotal Payments

Our recent interaction with Pivotal Payments proves they’re a processor best avoided. We were able to save a business 31% over what they were paying Pivotal Payments, but Pivotal Payments had the company locked in a three-year auto-renewing contract term with a $3,900 cancellation fee. Continue reading

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