Posts Tagged ‘credit card processing’

Lowest Rate Doesn’t Matter? Say What!??

Tuesday, April 21st, 2009

I recently read an industry article written by another ISO.  The article was written to other ISO and Mid Level Sales (MLS) agents and its aim was to give advice on how to sell effectively.  Halfway through the article the author gives some tips, one of which is how to differentiate yourself from the competition.  To my shock and amazement, the author claims that 1. The Best Price (lowest rate); 2. The Best Service; 3. Integrity in the Marketplace; and 4. Full Disclosure are not legitimate claims to separate yourself from the competition because everyone claims these.  You see….this is the very problem with our industry.  ISOs claim all the time to have these 4 qualities when in actuality, merchants laugh and then tell you it doesn’t exist in merchant services.  Historically, the merchants are correct to think that.  And when the author of this article states these 4 claims ARE NOT legitimate differentiators, they’ve in essence blown off these qualities (which are probably the 4 most important to a merchant).  My take from this author was “since you can’t really be the best in these 4 areas, make up some other areas that no one else cares about but you, and make the merchant think they are important.”  How lame!  BestMerchantRates.com won’t ever back down from its aggressive goal to finish 1st in all these categories.  We won’t just abandon the cause because the industry is trying to water-down these important qualities.  The author may be right about one thing: ISO’s should make the claim if it’s not true.  AGREED!  So we’ll make the claim and let our growth speak for itself.  Last time I checked, the 500 new merchants we boarded last month wanted all of these qualities and we delivered.  That’s why they signed up with us.

Understanding Credit Card Processing Quotes

Friday, March 20th, 2009

If I could give any merchant one bit of advice it would be to always read the fine print of any credit card processor quote. It is so easy for them to bold the Qualified Rate of 1.69%, but for some reason they don’t disclose that this only qualifies for certain card types, usually only a small number of them. You then find out on your first statement that your average rate is around 3.50% because they have these other categories that have additional add-ons (mid-qualified, non-qualified rates, and additional surcharges). It’s also important to pay attention to any statement fees, PCI compliant fees, cancellation fees, contract terms, terminal restrictions, and the list goes on. Basically, make sure to read all the fine print.

Here at Best Merchant Rates we pride ourselves in fully disclosing how our Large Corporate Pricing works. We do not offer the Tiered Pricing anymore because we saw how merchants overpaid for their credit card processing and how unfair and deceiving it is. In this type of processing everything is limited to only the qualified, mid-qualified, and non-qualified categories, but here at Best Merchant Rates we have one processing rate with our Large Corporate Pricing. The only additional rate you are paying is the wholesale rates of Visa and Mastercard. (Discover and American Express are separate entities so they set their own rates.) This will be reflected on your statement, giving a transparent understanding of what exactly you are paying.