The Top 5 Hidden Fees in Payment Processing and How to Avoid Them
In the world of credit card processing, the statement "The devil is in the details" takes on a new meaning. Hidden fees are the unwelcome devils lurking in the fine print of merchant statements, often going unnoticed until they've accumulated into a significant expense. But fear not. In this post, we'll expose the top five hidden fees in payment processing and provide you with strategies to avoid them.
1. Terminal Lease Fees
Many processors will offer to lease you a credit card terminal. This may seem convenient at first, but over time, these lease fees can add up to several times the actual cost of the equipment.
How to Avoid: Purchase your terminal outright. The upfront cost might be higher, but you’ll save money in the long run.
2. High PCI Compliance Fees
Payment Card Industry (PCI) Compliance fees are charged for the service of ensuring that your business meets security standards. However, some processors exaggerate this cost or charge it even if you’ve already taken steps to become compliant.
How to Avoid: Get informed about what PCI compliance entails and confirm what specific actions the processor's fee covers. If possible, complete the self-assessment questionnaire on your own to avoid this fee.
How We Are Different: Our PCI Compliance Fees are $3.99 each month and we will set up the PCI system to run the scans for you each month to help you stay in compliance.
4. Non-Qualified Transaction Fees
These are additional fees charged on transactions that don’t meet certain criteria, which are often not clearly defined. The result is you’re charged more without a clear understanding of why.
How to Avoid: Ask for a clear explanation of what constitutes a "non-qualified" transaction and monitor your statements closely to dispute any that don’t make sense.
How We Are Different: We can walk you through how to avoid these fees.
What’s the Solution?
The best way to avoid these hidden fees is to partner with a transparent payment processor like The Merchant Way. We believe in straightforward billing without any hidden surprises. Our approach includes:
Transparent Pricing: We clearly outline our fee structure upfront.
No Long-Term Contracts: Say goodbye to early termination fees with our month-to-month service agreements.
Personalized Equipment Plans: We’ll help you choose the best equipment purchase plan without the burden of leasing.
Free PCI Compliance Support: We provide assistance to help you become PCI compliant without extra charges.
Tailored Solutions: We evaluate your business to ensure you don’t pay for services you don’t need.
Navigating the minefield of hidden fees doesn't have to be a solo journey. With a trustworthy processor, you can focus on growing your business, confident that the only surprises you'll encounter are the pleasant ones - like seeing your savings grow.
Interested in learning more about how The Merchant Way can help your business avoid hidden fees? Contact us for a free statement analysis, and let's start a conversation about transparent and fair payment processing.