Common Myths about Small Business Merchant Services

Filed under: Credit Card Processing

Tagged with: · ·

Don’t be fooled by common myths that are spread in the payment processing industry. It is easy to jump to conclusions about the services that are offered. But, the most important thing that you can do is talk to an industry professional so that you understand your options for credit card transactions.

If merchant account services seem too good to be true, then it is possible that you are being fooled. Here are a few things that you need to know about the industry to ensure that you are protecting your company:

  • Debit Card Rates: It is easy to assume that debit cards are processed at the same rates as credit cards. Even though debit card looks the same as a credit card, there are different rates for the various types of cards. If your merchant services provider is charging the same rates for debit and credit cards, then it is possible that you are paying too much for debit transactions.
  • Leasing Equipment: There are certain situations where it might make sense to lease the equipment that is used in your local business. But, if you do the math, you will see that it isn’t a good financial decision to pay a monthly fee for the equipment. If you have the option to buy the terminal instead of renting it, then it will probably save you money in the long run. Once the terminal is paid off, then you no longer need to make a monthly payment for the equipment fee.
  • Level 3 Data Processing Costs: Some companies are misleading because they make you think that all transactions can be processed at a Level 3 data processing rate. But, the truth is that there aren’t many transactions that meet these qualifications. Certain data points need to be met for the transaction to quality for the low rate.

If you want the truth about the credit card processing industry, then you need to talk to our team for more information. We are here to answer your questions and ensure that you are receiving the best services in the industry. Call Veripay to learn more: 888-891-0811