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Credit Card Processing WTF?

Pat Whatley

Pat Whatley

New Member
Sat down this morning and started doing a cost analysis of everything, started with credit card processing.

I've always been happy with Intuit, they've been helpful, quick, and (I thought) cheap.

I'd been noticing monthly MTOT charges at the end of every month were increasing but my credit card sales have been increasing tremendously so I didn't look into it. I know I should have but it didn't happen.

Did the math today...my effective discount rate for the last six months has been almost 7%. The monthly MTOT charge is added to the discount rate to cover non qualifying transactions, partially qualifying transactions, and the most infuriating....CUSTOMER REWARDS. My original agreement as 3.675% maximum, that defaulted due to a screwed up deposit and I didn't realize it. Why in the heck am I paying for Capital One give money back to my customers?

I'm putting the old 5% off for CASH purchases sign back on the counter.
 
T

thesignguy1986

New Member
I've personally gone through 4 companies in the last 7 years and have finally stuck with square. I know it isn't as nice as having a fancy terminal but you can use your ipad or iphone which looks modern and sleek for transactions. It is a flat 2.75% for all swiped cards except American express of course. There are no hidden fees no real problems & best yet NO CONTRACT! I have only had to ask for a larger deposit line so they do not hold money which is a simple email and 1 day process. It is in my bank the next day on 9/10 times and 2 days tops which is standard. SAVE YOURSELF TIME AND MONEY AND SWITCH TO SQUARE! I know not everyone will agree but honestly the cheapest rates I'ved ever had with mo. minimums and statement fees are around 3-4%.

No I do not work for Square either just a huge fan, plus its nice to go on a job and have it with you and get money right then and there.
 
thinksigns

thinksigns

SnowFlake
I got a Square a couple of weeks ago. They charge 3.5% +15¢ for manually entered sales (which about 1/2 my transactions are). I called the processor I use for my shop terminal to find out what I'm currently paying for manual transactions. I was paying 2.6% (midqual) and 3.4% (nonqual). As soon as I mentioned Square, he lowered my rates to 2.45% and 3.05%. They also have their own version of the square to use in the field. Also, my swiped fee is 1.8%. I would definitely shop around.
 
ddarlak

ddarlak

Go Bills!
i got rid of taking credit cards 7 years ago and have not looked back.

it's a scam, people will find away to pay for it.....
 
Baz

Baz

New Member
I also use Square. No complaints here. The majority of my payables are cheques received in the mail but offering on site credit card processing has been a really nice addition to payment options. And when i don't use it i don't have to pay anything.
 
ChicagoGraphics

ChicagoGraphics

New Member
You can tact on your % rate to your customers and have them pay for it now, before it was ilegal to do now it's not.

Once you mention that to your customers they would rather pay cash or check.
 
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thesignguy1986

New Member
I didn't do credit cards when I first opened but soon as I started taking them I jumped 30% in sales in the first year alone. How people don't have them is a wonder. I agree the rates and fees do suck but people really don't have the cash on hand hardly anymore. I personally do ok for myself and never carry cash on me and if so it's only $20-$40 bucks. I'm just saying isn't not taking credit cards actually hurting your sales?
 
Baz

Baz

New Member
Offering credit card payment is just good sense. It's another method of you collecting money! Makes it easy to get a deposit for a job on the spot.
 
F

fresh

New Member
Square is great, except if you have a problem... There is literally no humans available to talk to, and they will not fight for you in a chargeback scenario.

I had my first chargeback with square, I sent them a copy of the invoice that says "no refunds once artwork has been sent" yada yada yada. Forwarded emails, proofs, etc, and the still gave the douchebag his money back.

So just beware, they do not care about you or your business.

But I do love that there are no hidden charges, and I get my money the next day.
 
OldPaint

OldPaint

New Member
i got a vehicle accident ticket. when i said i would pay it on line, they said it would be $15 more to process it. was told the best way to pay was to bring cash to the court house............
 
HulkSmash

HulkSmash

New Member
ddarlak said:
i got rid of taking credit cards 7 years ago and have not looked back.

it's a scam, people will find away to pay for it.....
Click to expand...

Most companies can't do this. We have WAY too many corporate clients that only pay with CC and wouldn't do it any other way. i'd say about 95% of my payments are Via CC. That's crazy you just got rid of it.

no thanks
 
TyrantDesigner

TyrantDesigner

Art! Hot and fresh.
I love GoPayment but I've been running on 3.25% discount on net 30 accounts paid within 3 business days and 5% off with cash payments, works out to be the tax taken off but has saved me so much more in man hours not having to hunt down clients to pay ... or have to deal with american express and their effective 8-9.5% they take out since it's on the whole amount, not pre taxed amount. Side bar, I've also discontinued taking american express. They keep sending me stickers to place on my window for that "shop small" stuff ... should be "we rape small business" instead.
 
Fred Weiss

Fred Weiss

Merchant Member
Pat White said:
You sure about that? (I'm sure it's different in USA and Canada...but still doesn't sound right)

Unless they've just changed that in the last couple of months, I'm pretty sure that's still illegal and/or in breach of your contract or some bs like that.
(I, for the record, add a couple of points to quotes if it looks like there's a chance they'll pay with plastic)
Click to expand...


Yes. U.S. law changed a number of months ago. Most gas stations in my area have gone to showing cash prices on their signs and hit you with a higher price at the pump if you pay by credit card. Stores are allowed to upcharge but so far most haven't done so.
 
visual800

visual800

Active Member
I was doing a lawn trailer for a kid and he had the square logo on his trailer I asked about it and he explained. I signed up and got my little kit in and used it. Goes straight to my account easy and it rocked
 
WildWestDesigns

WildWestDesigns

Active Member
ChicagoGraphics said:
You can tact on your % rate to your customers and have them pay for it now, before it was ilegal to do now it's not.

Once you mention that to your customers they would rather pay cash or check.
Click to expand...

Actually it used to depend on the state that you were in.

One gas station that I used to stop on the way back home to Texas in Texarkana (Ark. side, Summerhill exit if I recall correctly) for years has had a sign that gave two different prices depending on payment option.
 
L

Locals Find!

New Member
The problem with all credit card processing companies is that business cards are considered non-qualifying. I don't know about the rest of you when I get paid with a credit card it's usually a business card from the business I am selling the sign to. Not a personal card from whoever is ordering the sign.
 
rjssigns

rjssigns

Active Member
fresh said:
Square is great, except if you have a problem... There is literally no humans available to talk to, and they will not fight for you in a chargeback scenario.

I had my first chargeback with square, I sent them a copy of the invoice that says "no refunds once artwork has been sent" yada yada yada. Forwarded emails, proofs, etc, and the still gave the douchebag his money back.

So just beware, they do not care about you or your business.

But I do love that there are no hidden charges, and I get my money the next day.
Click to expand...

There is a trick to use with all credit cards. Set up an account strictly for credit card deposits. Once the cash posts transfer it to your regular business account. No available cash will usually net you a call from the processor. Then you can present your documentation. Can't take what you don't have.

I learned this trick from guys that literally make their living on eBay.

Is this 100% fool proof? Nope. Will it buy you time? Yup.
 
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