The 7 Factors to Consider before Picking a Credit Card Processing Company
You need to pick a credit card processing company if you decide to allow credit card payments by clients. Choosing the right processing company is not easy because of the numerous factors to bear in mind and the large number of providers in the market to select from. Next is a look at 7 factors to consider when selecting a credit card processing provider.
While a majority of card processing companies do process major cards, but not all accept options like electronic benefit transfers EBTs, prepaid cards, and gift cards. That situation can lead to lost revenue if your provider does not process the alternative payment options. It is, therefore, important to inquire from your clients about the cards they use most so that you can identify a credit card processor that can accommodate such options.
You may be asked to open an account with the bank of the credit card processor. When faced with such a scenario, find out how much of your money they can put on hold and the situations that could warrant such an act to happen by reading their contract. It is also necessary to find out about the frequency of cash withdrawals allowable from the account.
The reputation of the card processor has to be beyond question. This aspect is determined by speaking to merchants who are using the company. The financial stability of the card processor also needs to be checked.
You need to evaluate the customer care system of the card processing company. Problems may arise when processing clients’ card payments, making it essential to only hire a card processing provider that can address such issues fast. It is also possible that, later on, you may need answers to credit card processing questions, and that makes an evaluation of the customer care system in place an important exercise.
Credit card processing involves a number of fee and costs. Additionally, every card processing company has its own set of charges. You, therefore, need to learn about such fees to that you can pick a card processor that suits you best. Exercise caution when evaluating a card processor that charges rates that are way too low because there could be hidden charges that you may not be aware of until it’s too late.
Ask about fraud detection and prevention measures that the company plans to offer because you need to protect your business against such threats. You also need to know whether you will be asked to pay for such services or if they are included in the payment plans.
Card processing companies may charge for their software and equipment. You need to compare the rates charged in such instances if you wish to get the best.