Miscellaneous Fees

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Miscellaneous Fees

Ok, so most of our readers know by now, about, discounts and authorizations and such, let’s dive in to the unholy waters of “other fees”.   Let’s define what they mean and who get’s the money.

Set up Fees:

This fee may be charged by your sales professional for the set up of your account

or for the Terminal or gateway.  Some acquirers provide the equipment or gateway for no charge, they typically charge more for service or have a high termination fee to make up for the out of pocket expense. The key here is to know if you are paying for the third party or gateway or if the fee is merely to set up your account.  So the real question is are we “licensing” the gateway or “paying” the sales professional to write the deal?   Typically, there is “wiggle room” in these fees, but know that you’d not work for free, so should your sales professional?  If it’s actually a “licensing” cost, well, that money is gone and not much to get around it unless there is some type of “promo” going on because sales are slow.  If there is “jump” because they don’t last.

 

Monthly Fees:

Many acquirers name their monthly fees differently. Be sure to ask what all

your monthly fees amount to and what you get for those fees. Most accounts have some form of a

monthly fee often referred to as a customer service fee, statement fee, maintenance fee or account fee.

Do not sign up for any warranty or maintenance program. You will be better served paying for any

equipment if it malfunctions and/or buying your own supplies when needed.

Annual Fees: Some acquirers charge an annual fee. Make sure you get value if you are paying

an annual fee and you clearly understand what that fee entails.

 

Minimum Fees:

Most acquirers charge a minimum fee that will be assessed if your combined

discount and transaction/authorization fee do not exceed a certain amount. The minimum fee is

assessed by subtracting the amount you were billed for your discount and transaction/authorization fee

from the minimum fee amount.  Famous trick applied upon merchants who “demand a super low rate and get it”  because they never pay it, instead the representative factors in the rate they want to charge in to the “minimum rate” and puts the fee in that spot.

 

Third Party or VAR Fees:

Third parties can be a needed and necessary component of your

merchant account. While it would be too long to list all third party fees here, it is important with any

third party to compare their fees with at least one other similar third party to ensure the fees are in line

with their competitor. Common third parties include Internet Payment Gateways and wireless

transaction providers.

 

Early Termination Fees:

One of the widest disparities in acquiring pricing is in the Early Termination Fee. This fee is often overlooked because it is not assessed until you close your account and is not associated with your account set up. Be sure to clearly understand your Early Termination Fee. Never agree to an Early Termination Fee that is charged regardless of when you close.  Buyer beware.  Free terminals often aren’t free and are “paid for” on “exit” as an alternative Early Termination Fee.

Contact Merchant Zoom today and we’ll consult with you on your best options.

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

Content Release Date April 24, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

PCI – Risks – Level 4 Requirements

Payment Card Industry’s Data Security Standards and the guidelines small merchants should follow.

Payment Card Industry (PCI) Compliance All merchants must be PCI compliant.  PCI compliance refers to a merchant’s compliance with the industry’s Data Security Standards (DSS) which are promulgated to protect cardholder data.  Not only do you want to protect cardholder data to ensure your customer data is secure but should you be hacked and found to be operating outside of industry standards then you could be liable for significant fines from the Card Networks as well as required to notify all impacted customers; certainly a very expensive and embarrassing situation.

The size of your business dictates the required administration and validation needed to comply with the industry’s Data Security Standards.  From Visa’s website, you can validate your level, however as most merchants are Level 4, we have indicated those requirements and attributes below.

Level 4: Merchants processing less than 20,000 Visa e-commerce transactions annually and all other merchants processing up to 1 million Visa transactions annually

REQUIREMENTS

Annual Self Assessment Questionnaire (SAQ) recommended • Quarterly network scan by an Approved Scan Vendor (ASV) if applicable • Compliance validation requirements set by acquirer

The full definition of all four levels can be found at the following site:

http://usa.visa.com/merchants/risk_management/cisp_merchants.html

While the requirements for PCI compliance vary radically depending on the type of merchant and method of processing, keys to remember are:

All merchants must complete an SAQ.  These are managed by the PCI Security Standards Council and can be found at:

https://www.pcisecuritystandards.org/saq/index.shtml

The PCI Security Standards Council was founded by American Express, Discover, JCB, MasterCard and Visa.  The Standards Council is an open global forum launched in 2006.  Basic rules for small merchants include:

– PIN data, magnetic stripe data, CVV data must never be stored in any format. – If cardholder data is stored, it must be encrypted and if physical copies are kept, they must be in locked cabinets. – Any third party storing, transmitting or processing card data must be PCI compliant and listed as PCI compliant on the following site:

https://www.pcisecuritystandards.org/security_standards/vpa/

– If your card processing equipment, PC or software is connected to the Internet, you should install a commercial grade firewall and get scanned quarterly by an approved scan vendor (ASV).

 

Contact Merchant Zoom today and we’ll consult with you on your best options.

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date April 17, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

Fixed Acquirer Network Fee (FANF)

Today we are going to  learn about one of the Card Association Fees, known as the FANF.

 

On April 1, 2012, Visa® began a new Fixed Acquirer Network Fee (“FANF”) assessed to acquirers on a merchant Taxpayer ID basis. The FANF fee applies to all businesses that accept Visa® credit and debit cards, regardless of who their merchant services provider is.

 

This means that all Acquirers, are assessed these fees.  The MSP Network Fee will also apply to all Visa® transactions.

 

Separate FANF charges are imposed on (i) merchants processing transactions where a

cardholder is physically present (“CP Merchants”), with the exception of merchants primarily

operating as Fast Food Restaurants and (ii) merchants processing transactions where a

cardholder is not physically present (“CNP Merchants”), which shall include merchants acting as

merchant aggregators for other merchants, or merchants primarily operating as Fast Food

Restaurants (MCC 5814). If a merchant falls into both categories described above, the merchant

will be charged the FANF charge and the MSP Network Fee as both a CP Merchant and a CNP

Merchant. The MSP Network Fee will be charged to all CP Merchants and CNP Merchants

regardless of the type of merchant.

 

For CP Merchants with less than 50% of their monthly Card Present sales volume from the High

Volume Merchant Category Codes (“High Volume MCCs”), FANF charges are assessed on a per

location basis, with fees ranging from $4.50 ($2.00 FANF + $2.50 MSP Network Fee) per

location per month for CP Merchants with one to three locations to over $26.50 per location

per month for CP Merchants with more than 250 locations.

 

For CP Merchants with at least 50% of their monthly Card Present sales volume from the High

Volume MCC, the FANF charges are assessed on a per location basis, with fees ranging from

$5.40 ($2.90 FANF + $2.50 MSP Network Fee) per month for CP Merchants with one to three

locations to over $7.50 ($5.00 FANF + $2.50 MSP Network Fee) per location per month for CP

Merchants with more than 20 locations.

 

For CP Merchants, FANF charges and the MSP Network Fee appear on statements as FANF CP

and MSP Network Fee.

 

Contact Merchant Zoom today and we’ll consult with you on your best options.

 

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 

Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date April 10, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

1099-K IRS FAQ

1099-K Internal Revenue Code (IRC) Section 6050W

Form 1099K is used to report income received from income received from electronic payments such as credit cards, debit cards, PayPal, and other third party payers. In most cases, the payment settlement entity (PSE) will send you a 1099K by January 31.

Section 6050w of the IRS tax code enacted by the Housing Assistance Tax Act of 2008 took effect on January 1, 2011 and required payment processors to report merchant income to improve tax compliance by businesses that accept credit cards.

Processors must report all settled payment card transactions under section 6050w, as well as perform backup withholding at a rate of 28% beginning in 2012 for merchants that have incorrect TIN or tax filing names. Merchants should confirm with their processor that they have the correct individual Tax Identification Number and tax filing name.

The IRS must receive the total payment volume received by US account holders whose payments exceed both below levels per year:

  • $20,000 in gross payment volume from sales of goods or services.
  • 200 separate payments for goods or services in the same year.

 

A Merchant’s payment processor should ask their payment processor to update their account(s) with a tax ID number, if they do not already have one. A Merchant’s tax ID number could be one of the following:

  • Your Social Security Number (SSN)
  • Your Employer Identification Number (EIN)
  • Your Individual Tax Identification Number (TIN)

Below are guidelines to determine which tax ID number a Merchant should provide. A Merchant should keep in mind to use the tax ID number that they use when reporting any taxable income related to their Merchant Account to the IRS.

Business Entities with an EIN: Merchants who operate through a business legal entity such as a corporation or partnership provide the company EIN and company name.

Sole Proprietors with an EIN: Merchants who operate as a sole proprietor using an EIN, provide company EIN and their own name. They should not provide a business name or a DBA name (“Doing Business As”) with their EIN.

 

Individual Sellers and Sole Proprietors without an EIN: Merchants who are an individual seller or sole proprietor and operate under their SSN or ITIN provide their SSN or ITIN and name. They should not provide a business name or DBA name with their SSN or ITIN.

Contact Merchant Zoom today and we’ll consult with you on your best options.

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 ddress

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date April 3, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

Millennials – Reaching Them

Ah…politics…picky consumers….things keep changing….they always have folks.  They always have.  Fact is they will always change.  Right now we see big box retailers suffering huge painful deaths, while, the brands they built, such as “Sears’ Craftsman” get sold off to competitors like “Black and Decker”.  Sounds ominous for us little retailers, but facts couldn’t be further from the truth.

Little business on “Main Street America” is up 2.9% and building out in strip malls all over America at a frantic pace.  Consumers or should I say “Millennials” are just tired of their parent’s old brand and old marketing techniques and same old products.  JCPenney, Macy’s, Sears, oh my…a staple of the “Millennials” parents don’t look like they are going to make it.   They aren’t adapting well.

Even Wal-Mart is succumbing to fact that eBay and Amazon has changed the world and is offering free 3 day shipping direct to your home.  Big restaurant chains are in similar positions.  Yet, everyday we see another small company open another small restaurant and the “Millennials” flock to it like a moth to light.

Cybersecurity which used to threaten “small business” seems to target mostly large business.  No one really cares about cyber currencies like “bit coin” .  Millennials aren’t going to give their money to big box restaurants and retailers.    At least, not unless there is no other option.  Don’t take this as  “who gives a damn” attitude.  Millennials have money, they are technically savvy, and they are demanding.  They understand the value in a marketplace and demand it.

If you are a small business.  You better take their form of payment the way they choose, from standard credit and debit to mobile phone payments.  You had also consider omni-commerce and social media marketing over traditional methods.  This generation tends to listen to the radio and watch TV less than any generation before it.  Millennials will talk to you.  Ask them – how to you find a “restaurant” like mine?  Etc. Etc. …. They will tell you….if you ask and choose to listen….if you don’t, that’s fine, understand, Millennials aren’t going to complain about it when you find yourself selling off your “assets” …. They will have already moved on to whoever is interested in speaking directly to them….

Contact Merchant Zoom today and we’ll consult with you on your best options.

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date March 27, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

Connection Choices

How you choose to connect to your merchant account processing network may seem like a simple, perhaps, not even a question to ask point, but the fact is it could be the single most important impacting your customer service.  This article is restricted to retail, face-to-face environments as our topic.

I can’t tell you how many times I’ve been in line and wondered what the hold up.  Then I’ve watched customers get upset, sometimes even leave.  When I get up to the cashier only to find out that their choice of connection methods has cost them, in terms of angry customers, lost revenue, and more.

Let’s start with a few basics.

The old standard is POTS or Plain Old Telephone System or “Land Line” which refers to traditional copper wired phone.  Typically it’s the slowest connection, but it’s also the most reliable connection and least likely to fail.  Funny fact, most credit card terminals are still programmed on “Land Line” because they are so reliable.  Transactions run 6-7 seconds plus “dial time”.  That’s a long time per card swipe now days.  Most people are using this as “rollover” or “backup line” when the Internet lines go down.  That’s a highly recommended method for anyone who doesn’t want downtime.

Don’t confuse “Land Lines” with VOIP or Voice Over Internet Protocol which looks like a land line phone but is actually just the internet – or so called “Digital Lines”.  Digital Lines don’t work very well with credit card terminals period.  They are not recommended for use at anytime.  If you are using VOIP, then you obviously have an internet connection, you’d be more reliable using that type of connection.

Internet Connections come in a few flavors.  First of all there is “cellular data” such as “LTE” and those work great for low volume mobile phone and tablet readers.   Next, there is “Wi-Fi” which syncs up to your router to provide fast Internet inside your location.  This would be a great option when using a PC, a Mac, or even a Tablet/Phone device that stays inside the “Wi-Fi” zone.  Just make sure you’ve “locked down” your “Wi-Fi” with encryption and passwords.  Transaction times can run at a blazing 1-2 seconds, as long as your device isn’t asleep.

 

The ultimate connection continues to be a “LAN” or corded Internet connection to your router.  It’s the most reliable and it’s the fastest, plus it’s the most secure.  Transaction times can be as quick as ½ a second.

Contact Merchant Zoom today and we’ll consult with you on your best options.

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date March 20, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

Alternative payment methods (APMs) Risks

With the “perceived cost of accepting cards” alternative payment choices have appear to fill those desires to replace.  You may think you haven’t heard of them, but I’m sure you actually have, let’s review a few.  There  are eight different types, which include peer-to-peer (P2P) payments, money service businesses (MSBs), eWallets, mobile payments, prepaid cards, vouchers, bank debits and credits or linked bank accounts and cryptocurrencies (BitCoin).

Cybercriminals (hackers) seek unauthorized access to data Payment hustlers seek unauthorized access to payment methods.

We are not going to go in to details about what each of the types are, but we are going to explore the three most common ways a merchant is exposed to risks when taking non-traditional payments.  It’s no surprise that as credit cards have increased in security, the payment hustlers have been hard at work finding other payment method avenues to fraud.  EMV and those merchants that have adopted it have seen a large decrease in fraud activity.  Simply put – it’s harder to use traditional payment methods of credit cards then it is APMs.

“Because fraudsters are finding it harder to launder proceeds through credit card networks, they are looking for less monitored payment types — they are exploiting loopholes and looking for weaknesses.”  APMs are extremely vulnerable because of their tendency to unwittingly enable crime and fraud.

Mobile wallet transactions are expected to grow to $1.35 trillion in 2016.   Mastercard says, digital wallets comprise 75 percent of conversations about new payment methods, somewhere in the neighborhood of 2 million mentions on social media.  “When people talk about new ways to pay, digital wallets dominate the conversation,” he noted, underscoring the increasing popularity and usage of APMs, such as digital wallets and P2P payments.

P2P payments, will be used by nearly 100 million adults in the U.S. this year, which is about a 25 percent increase over last year and equates to about 38 percent of the U.S. adult population.

There’s no doubt that these types of APMs are not going anywhere anytime soon.

Three Common Fraud Themes

Payment hustling, sequential digital wallets and local law arbitrage.

Example 1) a merchant was engaging in counterfeit pharmaceuticals, the account was closed; but  as in many cases, (25 percent of merchants terminated for misconduct will later restart the very same prohibited services).  The site was relaunched using a popular P2P payment method and “announced” it no longer accepted credit cards and incentivized customers to use the APM for transactions.  That’s the payment hustle — when a fraudster is shut down on one payment method but starts back up using another.

Example 2) Since digital wallets can be funded with a credit card or bank-linked account (think the big box retailer with red colors and 5% discounts), card networks have required that if you operate this way, which is called staged digital wallets, an operator has to register with the network to ensure the systems aren’t being abused.  Some operators may put another wallet in front of that, which is known as a sequential digital wallet. This enables the first wallet to be funded with a credit card, and then that money is used to fund another wallet that hides who the cardholder is and how the money is being used from the card networks.  Now the consumer can go gamble, buy counterfeit goods or do other things because the wallet they are using is essentially hidden from the card networks.

In the 3rd and final example) consumers simply utilize the mobile wallet of another country to make purchases of things that are illegal in their own countries, which is referred to as local law arbitrage.

In any case, you as a merchant must figure out if it’s worth the risks.  If you can avoid the reputation damage, law enforcement intrusion or regulator scrutiny that can come as a result of being held liable for fraud taking place.

If you are a small company – sticking with tried and true credit and debit and the occasional gift cards and perhaps an ApplePay once in a while might be your best option while people who can afford the risk work out security to protect the merchants.

 

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 

Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date March 13, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

Consumers And Merchants: Together On Mobile Payments

Mobile payments get a lot of attention these days.  They have been in the media endlessly.  Companies invested in them heavily.  Anticipated widely for at least the better part of the last decade.

But despite all the industry enthusiasm, two critical groups have remained largely unaccepting of mobile: merchants and consumers.

The good news, there is finally evidence that those figures are starting to shift just a little bit that both consumers and merchants are actually starting to move a bit closer toward that long-forecasted mobile inflection point.

Commerce is finally moving toward mobile and digital visibility

Mobile is in it’s early stages. eCommerce is in it’s middle stages. Retail is in it’s final stages.

The move toward the middle stage is accelerating faster than anyone had expected.

Where you as a merchant?

Are you in Retail?  Good.  It’s firm but dying.  Look around you big box is suffering everywhere and closing up shops.  Now specialty retail is following suit.  Are you in eCommerce.  Great.  It’s well established and growing year over year.  If you aren’t online, you need to be because it may just replace your retail business.  If you aren’t in Mobile – WHY?

Do this.  Start by taking mobile payments at your retail location.  Next get your online eCommerce working.  Then get it working on mobile.  Then tie it all together.

Wait.  Wal-Mart’s doing that.  Seriously.  Wal-Mart has retail dominated yet it’s competing head-to-head against Amazon.  What does that say to you?

And you aren’t…..why?

MerchantZoom is just the company to bring that to reality for your company.  The short answer is be ready when your consumer is ready.  Let’s start here.  If they present – say – YES we can take your PHONE as PAYMENT!  Give MerchantZoom a call today and we’ll help you be ready.

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date March 6, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

Interchange and Association Fees

According to Oxford, Interchange is

in·ter·change

NOUN

the action of interchanging things, especially information:

[more]

“a free-market interchange of goods and services”

That’s pretty close, In merchant services parlance, interchange is a fee that is set by the credit card networks, charged to merchant services providers, passed along to merchants and paid to the issuing banks for the acceptance of payment card transactions.

What’s interesting is that these fees are set by the card networks, and are the same for all merchants of the same type.  In other words, Interchange is the level playing field between all parties.  If you are a “fast-food establishment” then you have the same interchange as the big boys, like McDonalds.  You can download Visa’s interchange fees, right here, and MasterCard’s fees right here.

Card Association Fees

In addition to Interchange fees that the merchant service provider must pay to the issuing bank, there are fees that are charged by Visa/MasterCard/Discover. There are several different fees that they assess, that are based on many factors, like the amount of volume you process per month, whether or not your customers physically present the card to you, the types of security precautions you take, possible international surcharges, and others. Since many of these fees depend on the circumstance of each transaction, they’re impossible to predict with 100% accuracy. However, the basic fees that the card associations charge are roughly 0.12% of volume, and $0.02 per transaction. Just like the rates that merchant service providers must pay to card-issuing banks, these fees are paid by all providers

The bottom Line

Add to this the “plus” or “mark-up” your card processor charges, plus their monthly fees for equipment, PCI, and statements, etc. and you have your bill.  You can’t negotiate Interchange or card association fees.  However, you can negotiate all the other fees.

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 

Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date Feb 27, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com

Merchant Services for Small Businesses

One of the most important decisions a small business can make is which merchant service they will use for credit card processing. There are many things to consider, which is why we’ve created this list.

This list takes into account that the primary concerns of a small business are price and reliability, and those are the most heavily weighted factors in our ranking methodology. We believe that simple, clear, concise pricing is the key factor.  I.E. paying for what you need and nothing more as a small business. Thus, we illustrate plans that are to understand, the fewer fees there are, and the clearer their pricing structure.

There are four types of pricing you will find among the various processors. Tiered pricing is complicated, often with many different fees that over time can really add up, and sometimes it’s not so easy to tell which fees you need to worry about and which times. Then there is bundled pricing. This is simpler than tiered pricing, clear and concise, but sometimes inflexible. Interchange Plus and Flat Rate pricing are the simplest pricing structures, they allow you to plan because you always know exactly how much the service will cost you.

First priority for you is Pricing Structure: Choices are, Tiered, Bundled, Interchange Plus, Flat Rate

Contractual Obligation: Month to Month is ideal, but at least get no termination penalty.

Customer Service:  A minimum today is 24/7 Hotline or Helpdesk.

Fee Simplicity: Fee or No Fee really depends on the fee vs. the rate.

Application Fee: If you as a merchant are getting a really good deal, this might be the only thing the representative is making money on.  If that’s not the case app fess can usually be removed and waived.

Termination Fee: See Application Fee

Gateway Fee: A fee of $10-$25 a month with SSL is fair, anything above that is price gouging.

PCI Compliance/Non-Compliance Fee: If you as the merchant are in control of this, then do it and don’t worry about it.  If however, you’ve done it, and you still get charged, it’s time to complain.

Setup Fee: Are you as a merchant demanding in person setup and training?  Then that’s the fee you are paying for.  If however, you are simply calling a 800# to install….it’s pure profit and can be eliminated.

Monthly Minimum: If you can’t bill $25 a month you shouldn’t have a merchant account.  You should look to PayPal or Square.  If you can bill $25 it shouldn’t be an issue, unless your merchant account person wants to charge you more than $25, in which case that’s a no go.

Perhaps it’s time for you to consult with Merchant Zoom….

Headquartered in Pinole California, MerchantZoom, Inc. was founded by Wally Arakozie. Previously employed by one of the largest merchant processing companies here in California for nearly a decade. Since the company’s beginnings MerchantZoom, has grown into a reputable national merchant provider.  Along with delivering state of the art technology and competitive rates, MerchantZoom, thrives on personalized local customer service and support. In order for your business to ZOOM!

 Address

759 Appian Way Ste 1A Pinole, CA 94564

E-Mail Us

Info@mchzoom.com

Contact Us

1-844-624-9666

Website

www.mchzoom.com

Facebook

https://www.facebook.com/mchzoom

LinkedIn https://www.linkedin.com/in/mchzoom

Twitter https://twitter.com/mchzoom

 

Content Release Date Feb 17, 2017 – MerchantZoom Inc.

Press Release by 72 Charms LLC, content is the responsibility of MerchantZoom, 72 Charms simply does it’s work for hire, contact us if you need to promote your business, otherwise, contact, MerchantZoom at http://mchzoom.com to take care of your processing needs.    If you need social media content management or WordPress design reach out us at www.72charms.com