Getting your own merchant account setup isn’t as complicated as it looks. The most important thing to remember is that if you want to access the right payment solution without spending a fortune, you need to do your research. Find out about the merchant service provider you are considering using. Each company offers different features, pricing, and processing fees. You might even find that switching to the right provider means that you can eliminate unwanted monthly fees or get the funds from your debit card transactions faster.
As you might expect, just like there are many great merchant account service providers out there, there are some terrible choices too. Some vendors may require you to wait several business days for a transaction to be completed. Other companies will give you the speed you want, but the price will be too high for your budget. It is also worth looking for things like auto-renewal clauses and cancellation fees. Early termination fees can often reach $ 300 to $ 600. This means that if you want to switch to another high risk merchant account solution with better customer support, you will have to pay a small fortune first.
Some vendors have even hit their customers with something called liquidated damages. This means that you get a penalty based on the processing fees that would have been incurred for the remainder of your contract. The good news is that the industry is gradually improving when it comes to protecting businesses from unnecessary fees. There are some prominent providers in the market that will forgo ETF for small ecommerce businesses. If you’re particularly concerned about termination fees, you can even find companies that let you pay for your transactions on a monthly basis instead.
Setting up your merchant account
Just like finding the right credit card processor for your website or looking for payment solutions like PayPal, finding an account is easy. Type “Merchant Account Services” into Google, and you’ll get a huge selection of providers to choose from. Once you’ve found a business that you think you can trust, the next step is to interact with the vendor’s sales team. Sometimes your merchant supplier will outsource their customer services to an independent sales organization. This means that you could end up talking to someone who deals with dozens of different companies.
There are a lot of complaints online from merchants who had to deal with service teams who didn’t understand their problem and couldn’t offer the right support. Some independent agents may even lie to you about important details of the contract because they are trying to earn a higher commission. Ultimately, it’s hard to avoid dealing completely with independent agents. You can often protect yourself by reading your contract carefully before agreeing to sign anything. Don’t think the agent gives you all the details of what you are paying. If you are considering taking on a new service, get the details in writing so you can check them again.
Provide basic business information: Answer all the questions required for your merchant account. You may need to go through some sort of subscription process, where you provide your tax information, contact details, business name, etc. You will also need your bank account and routing details. Make sure you provide the bank details for your business account.