Accounting and Finance, Credit Card Processing

IRS Merchant Reporting 6050w

If you have a merchant account, this information applies to you. Make sure your processor has your correct TIN and tax filing name. Note: The information herein does not replace the advice of a qualified tax professional. Talk to your accountant about the impact of 6050w and your responsibilities under tax law. Section 6050w Overview…

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Processors must report all settled payment card transactions under section 6050w. And they must perform backup withholding at a rate of 28% beginning in 2012 for merchants that have incorrect TIN or tax filing names.

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Credit Card Processing

5 Great Ways to Get Ripped Off by Credit Card Processors

1 – Get bundled pricing. Bundled pricing is what you want if you’re a fan of hidden surcharges and paying (way) too much for credit card processing. Ready to get ripped off by credit card processors? Go for bundled (also called tiered) pricing. Type the term “credit card processing” into your favorite search engine and…

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We’re always talking about how to lower credit card processing fees. So, this post keeps things interesting by taking a break from the norm to discuss five sure-fire ways to get ripped off by credit card processors.

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Credit Card Processing, Legal

Minimum Charge for Credit Card Purchase

The short answer is: Sometimes. The longer answer is that it depends on the type of card. You’ll have to follow applicable rules as well. Credit cards: Yes. It is acceptable for you to set a minimum charge on credit card purchases as long as you abide by the stipulations as set forth in your processing…

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Many businesses wonder: Is it legal to require a minimum purchase amount for card transactions?

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Credit Card Processing, News

The Dodd Frank Wall Street Reform and Consumer Protection Act Financial Reform and Your Business

Within that, a relatively small portion of the act – the “Durbin Amendment” – has made decisive and controversial changes in the way debit cards are processed. These changes are meant to lower the financial burden on businesses and are already affecting businesses across the United States. What is Interchange? Changes in the Durbin Amendment…

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The Dodd-Frank Wall Street Reform and Consumer Protection Act, enacted in response to the late-2000s recession, contains the most comprehensive set of changes to financial regulation in the United States since the Great Depression.

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Press Releases

CardFellow.com Cautions Merchants about Reduced Fees Proposed by Durbin Amendment

Leading credit card processing comparison Website CardFellow.com is cautioning merchants that they may not benefit from reduced interchange fees proposed by the Durbin Amendment. The online marketplace is advising merchants to switch to a credit card processor that…

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Leading credit card processing comparison Website CardFellow.com is cautioning merchants that they may not benefit from reduced interchange fees proposed by the Durbin Amendment. The online marketplace is advising merchants to switch to a credit card processor that offers interchange plus pricing.

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Credit Card Processing

Credit Card Processing: How it Works

Knowing the lay of the land will help you to isolate areas of possible savings. Once you’re done reading this article, check out our more detailed breakdown of where credit card processing fees come from. For now, let’s dive in to how credit card processing works. Key Players Cardholder Merchant (Business) Acquiring Bank (Merchant’s Bank)…

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It isn’t necessary to have intimate knowledge of the inner-workings of the bankcard system in order to find the best credit card processor. But, it’s a good idea to have a general understanding of how credit card processing works because fees are incurred at various stages of the system.

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Credit Card Processing

Issuing Banks: Where does your money go?

It’s not really as simple as that, though. In actuality, a variety of entities are working behind the scenes, and it’s the card-issuing bank that ends up taking the largest piece of the pie. The more you know about what affects your business, the better armed you are to improve your position in the market…

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If your business charges credit cards, you pay fees. This seems straightforward enough on its surface — you might assume it’s as uncomplicated as Visa or MasterCard taking a cut of your sales.

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Credit Card Processing

Tiered Pricing VS. Interchange Plus

Understanding how credit card processing fees are determined and how different merchant account pricing models work can save your business hundreds of dollars a month in transaction costs. One of the first questions you’ll ask is “Which should I go with, tiered pricing or interchange plus?” Tiered pricing is never in your best interest, but don’t…

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Tiered pricing or interchange plus? How do you know what’s best for your business?

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