The Swipe Percentages are some of the most important figures on the Merchant Account Application.   The Swipe Percentages provide a breakdown of how credit cards will be accepted, and are broken down into three major categories.

Store Front/Swiped – This includes any transaction in which the credit or debit card is swiped through a terminal or magnetic reader in the presence of the customer.   This includes wireless terminals.

Telephone Order/Mail Order – This includes any transaction in which the credit card information is manually keyed into the terminal.  Traditionally, this type of transaction was most commonly performed when a customer placed an order over the telephone or mail and the merchant manually keyed the credit card information into the terminal.  The Virtual Terminal also falls into this category.  A merchant using a virtual terminal will manually key the credit card information into a computer software program.

Internet – This includes transactions where the customer enters their credit card information directly onto an Internet site.  A transaction completed using an Internet Shopping Cart falls into this category.  Occasionally an applicant will mistakenly think this question is asking the percentage of advertising that will be done on the Internet.  But don’t get the two confused.  This question is asking what percentage of sales will be completed by customers who will input their credit card information directly into an Internet Site.  It doesn’t have anything to do with advertising.

It is important to provide an accurate estimate of the Swipe Percentages when applying to accept credit cards.   At times it can be difficult to estimate these figures, especially for a new business.  If you are not completely certain about the figures than provide your best estimate.

And remember that whether you are a traditional retail store or an Internet merchant, Best Merchant Rates offers Large Corporate Pricing to everyone.  We are the first company in the payment processing industry to extend Large Corporate Pricing to everyone, regardless of how you accept credit cards. 

One of the most important figures on the merchant account application is the Annual Credit Card Sales.   It is worth pointing out the difference between Annual Credit Card Sales and Total Annual Sales.  Annual Credit Card Sales represents the annual Visa and MasterCard Sales, while Total Annual Sales represents the Total Annual amounts for all sales, including Cash + Credit + Debit + Check.

Some businesses, such as Internet merchants, may make very little (if any) cash or check sales.  For this type of business, the Annual Credit Card Sales may be identical to the Total Annual Sales.

Other businesses, such as fast food restaurants, may have a large amount of cash sales.

It is important to provide an accurate estimate of the Annual Credit Card Sales when applying to accept credit cards.   At times it can be difficult to estimate this figure, especially for a new business.  If you are not completely certain about the figure than provide your best estimate.

Every bank in the merchant services industry routinely monitors the volume of your credit card sales as a fraud protection measure.   To ensure seamless and uninterrupted service of your account, be sure that your initial estimate is as accurate as possible.

And remember that whether your Annual Credit Card Sales are $5,000 or $5,000,000, Best Merchant Rates offers Large Corporate Pricing to everyone.  We are the first company in the payment processing industry to extend Large Corporate Pricing to everyone, regardless of how large or small. 

Best Merchant Rates works with many new business owners who are accepting credit cards for the first time.  Often new business owners initially register their Business License or “Doing Business As” Statement to their home address because they are still searching for a retail location.   

Once a final retail location has been chosen, it is best to contact the authority that issued the Business License or “Doing Business As” Statement and provide the actual physical address for the retail location.   Occasionally, every bank in the merchant services industry will make a routine check to verify a physical business address, and you want to be sure that your business is registered to the proper adresss.

If your business is home based, be sure that a home based business address makes sense for your industry.   

Home based restaurant?   Probably not, unless you do a lot of Catering! 

Home based Internet Merchant?  Absolutely  -  Very common.   

Home based merchants  have the option to use a Credit Card Terminal, Internet Processing, or Virtual Terminal.    Best Merchant Rates offers Large Corporate Pricing to everyone, whether you are a home based business or brick and mortar retail location.

After signing up with a Merchant Service Company for Credit Card Transaction the first thing you should do is check your first credit card statement. I received a call from a Merchant just yesterday that has been processing for over a year now. He just started looking at his statements and realized he was being charged a monthly minimum fee since he never used his account. This is a standard credit card fee that was disclosed to him in writing. First thing he said was he didn’t think he should have ever paid the fee and he felt it was an excessive fee.  Moral of the story check your statement within the first 45 days of processing to see what you are actually paying. Besides, if you don’t think you should be paying for something and you never look at your statement, it doesn’t necessarily mean you are not paying for it.