Who is the best merchant services provider for small business?

Merchant Account: A business account that accepts all types of electronic payments, including debit cards, credit cards, ACH, and various mobile payments.

Merchant Account Services: Services that handle the creation, communication, administration and security of Merchant Accounts. It also acts as a payment processor and is called a Merchant services provider. Very rarely, there are providers that offer total merchant services to help you run your small business as a whole. (However, it is not easy to find a company that provides genuine service, but it is also an ability to find out.)

First, let's learn about the working principle of a merchant account.


The working principle of a merchant account

First, assuming you have an account, let's summarize the process when sales occur in your business.

1. The customer pays by credit card.

2. Your Merchant account starts working. The amount is requested from the customer's card issuer and bank, and fraud checks and account verification are performed.

a. The location of your merchant account is somewhere between the customer's bank account and your business bank account.

3. Credit Card Processing is in progress. It takes only 1-2 seconds for us, but it is a very complex process. We will analyze this separately.

4. When the credit card processing is finished, the sales proceeds are transferred to your bank account. However, how long it will take after the transaction occurs depends on the case.

This looks very simple. However, creating a merchant account properly is by no means simple.


How to get Merchant account

Just fill out the form? Yes. But is the form really suitable for you? It is not easy to answer this. What if you sell in bulk? But what about the bulk standards? How about handling dangerous goods? But what about dangerous goods? PCI Compliance compliance, etc... It's not just the form that's different, it's the complexity of the application and approval process. So, you have to do a lot of research yourself or hire an expert. Assuming you run a very simple small Deli store, you need to obtain and fill out a merchant account application form somewhere, and provide your business information such as EIN (employer number).

So, where should you get these forms and provide your information?

You can go to a company that provides POS, but these are only companies that provide POS device (Hardware) and POS software, not professional service companies.

Merchant Services are experts who easily handle the creation of a merchant account. They will analyze which POS (Device & SW) to choose for payment processing and will even suggest it to you. In addition, there are companies that treat payment-related issues encountered while running a business as if they were their own, and fight for POS problems or errors until the POS company fixes them. In an unprecedented situation where my business is being damaged by malicious hacking or BIN attacks, you might be lucky to meet a genuine Merchant Services provider running around for days to convince a card processing company, a POS company, and spread the damage. So, which Merchant Services Provider is really the best Merchant Services Provider? To understand this, you first need to know how basic credit card rates are constructed. If you don't know, it's easy to be deceived by many salespeople who just pretend to be a good provider with small numbers.

Credit card fee

Traditional merchant services meant services that only provide credit card processing. Today, it becomes requires an evolutionary service that provides not only POS device/Software but also POS technical services such as online order and QR code, but the basics of Merchant Services start with credit card processing.

These days, POS companies are enticing them to contract with small businesses directly at a fixed rate by eliminating the merchant services phase. They whisper that they offer safer and better service at a much lower rate. Will this contract really work for me? The answer is absolute 'No', since their rates already include average profits.

There is a blog that explains the credit card fees well, so please check the link below for more information.


Conclusion

A Merchant Account is absolutely necessary. Choosing the right merchant service provider is very important. You may want to choose the one recommended first or the one with the lowest price, but you should choose a good merchant service without being deceived by comments that emphasize technical functions (security function, technology integration and chargeback management, etc.) or emphasize cheapness.


by AAMS24.com

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