“You answer the phone. It’s yet another person trying to sell you credit card processing. I admit it… I’m one of those people. And each person has the newest, latest, greatest service at the lowest rock bottom price you could possibly imagine! Each has their own angle. I know. It’s why you don’t want to talk to me when I call,” says Cheryl Heldt, National Sales Manager of International Payment Solutions.
Part of the problem is that you don’t know what or who to believe so you tune it all out! Is that really the best decision for your business? To help, International Payment Solutions has come up with the following list of verifiable facts about credit card processing that you can rely on when you get these phone calls.
1. Termination fees. Never do business with a company that charges termination fees. This fee is a clever way to force you to stay with them.
When you find out the rates you are actually paying are much higher than the really great rates you were quoted… if you want to leave, you’re going to pay. Termination fees are not required. We NEVER charge termination fees. And don’t assume that your contract automatically expires on your anniversary date.
Most companies are now requiring 30 to 120 days notice or you will be renewed.
2. There is no such thing as a non-compliant terminal. The “compliance” you keep hearing about is called Payment Card Industry Data Security Standard (PCI DSS) Compliance. Even though all merchants must file an annual compliance report which lets the industry know that a business is taking credit cards securely, it has absolutely nothing to do with your terminal. Your terminal is fine! Unless it’s really old. But that still has nothing to do with compliance.
PINpad? You may need to have it reencrypted, but that’s it. And that’s an inexpensive fix. Also, if you’ve been using an internal PINpad and have been told you need to replace the terminal – you don’t have to! You can use the existing terminal and just get an external PINpad. This is a much cheaper option!
3. Nothing is free. If somebody says “free,” be very careful. Free equipment? Free paper? There are even ads for free processing. No for-profit company is in business to lose money. When you are offered something that is “free,” you can be sure that the cost of that something is going to be made up somewhere else; whether it’s in increased rates, a longer term contract, high termination or lost profit fees… something.
4. Special pricing for the medical industry. There are no special pricing structures for the medical industry.
This is just a sales ploy and do you want to do business with a company that lies to you from the beginning?
5. There are no good deals on leases. Do not under any circumstances enter into an equipment lease. These are huge profit-makers for the person trying to get you to sign. You’ll pay anywhere from $29 to $90 per month for years to buy a piece of equipment that you could have purchased outright for a few hundred dollars. And these leases are iron-clad and virtually unbreakable. Do not sign a lease!
6. Gimmick pricing. Somebody calls you up and says, let’s make it simple; I’ll give you a flat rate for all of your processing! Sound good? It might, but what you’ve just signed is a good deal for the company who offered you that pricing. The fact is you are now paying keyed rates for swiped cards.
And since you’re probably swiping the majority of your cards, why pay that higher cost? Call IPS today to put that money back in your pocket!
7. Your banker is not always your friend. What IPS has found is that some of the highest processing rates around are being charged by local banks. They do this for a couple of reasons. Chances are they aren’t handling the processing “in house.”
Which means they are paying somebody (like IPS) to handle it for them. So the company handling the actual processing for your bank will take a profit and your bank will take a profit. That translates to an even higher cost for you because you have two middle men. IPS worked with a merchant who was being charged 8% by his friend at the bank. Need they say more?
The more you know the better decisions you are able to make for your business. We have the experience and reputation you can rely on for your credit card processing needs and will provide you with references!
For a no-cost, no-obligation analysis of your current processing costs, call Leo Townsend at 866-522-1169 or fax your statement to 815-273-2133. IPS will show you just how much money you’ll save and never charge a termination fee!
