Credit Card Processing Blog
It’s Time To Stop Your Credit Card Processing Problems

Oct 28, 2015 11:00 AM / by Reliance Star

Accepting credit card payments is critical to your business’s bottom line. However, many businesses experience credit card processing problems that limit their potential and harm profitability.

Fortunately, the solutions outlined below help businesses to thrive and protect their profits.

Stop Putting Your Business At Risk For Fines And Fraud

You should do whatever it takes to help your business avoid the costs of fraud and profit-draining fines.

If you haven’t taken the necessary steps to achieve PCI compliance, you’re putting your business in serious financial jeopardy. Ignoring PCI compliance means you aren’t providing adequate data security for your customers’ payment information and are at a higher risk for a data breach. In addition to damaging your reputation with customers, a data breach could force your business to pay for a forensic audit and card replacement costs. You also could be liable for PCI compliance fines of up to $100,000 per month.

It’s also important to implement rigorous fraud prevention measures at your business. If your business accepts in-person credit card payments, you need to upgrade from swipe-based payment technology to machines that are compatible with chip and pin credit cards. Under the terms of the recent EMV liability shift, if you do not have chip and pin credit card-compatible machines, you’re responsible for the costs of any fraudulent credit card transactions made at your business.

Other fraud prevention measures to consider include acquiring a manual imprinting credit card machine and asking customers for driver’s license information for large purchases. If you ever suspect fraud for a credit card purchase, call your payment processing provider and request a Code 10 verification. This verification process enables the issuing bank to communicate with the cardholder and ensure that the purchase is legitimate. While this method does not prevent charge-backs 100% of the time, it does significantly reduce the risk.

Achieving PCI compliance and implementing robust fraud prevention measures dramatically lowers your risks of unnecessary costs, fines and liabilities.

Stop Paying The Wrong Transaction Rates

When business owners sign up with a new credit card processing or merchant services provider, they typically want the lowest possible rate and simplicity. Often, this leads businesses to sign up for too-good-to-be-true deals that don’t actually charge the promised rate. Either the unscrupulous provider adds hidden fees, or slips in fine print that allows them to raise rates at any time without notice.

Additionally, many business owners are sold on paying a flat rate. While a flat rate is best for some businesses, paying a variable rate is often better for your bottom line. Payment processing providers should show the exact rate you pay on every transaction and the exact rate they pay on every transaction. Because different transaction and card types charge varying rates, paying a flat rate often means you’re paying too much on most transactions.

Stop Using The Wrong Payment Technology

As noted above, using low-quality payment technology increases your risk of authorizing and being held financially liable for fraudulent credit card payments. Using state-of-the-art technology helps protect you from the costs of fraud and also benefits your business in many ways. Many modern POS terminals offer inventory management, revenue tracking and staff scheduling capabilities that help keep your costs low.

Additionally, to save money up front, many businesses purchase payment technology on third-party sites such as eBay. Third-party-purchased payment technology offers no guarantee of data security. Buying your payment technology in this way is like inviting hackers to steal your payment data. Always buy your payment technology directly from your merchant services provider.

Stop Leasing When You Should By Buying Your Payment Technology

Sometimes leasing your payment technology is the most cost-effective option. However, some business owners are pressured to lease technology at monthly rates that are only slightly lower than the cost to buy the technology outright. Never sign a lease for a machine before checking the cost to purchase it.

Stop Falling For Payment Processing Scams

Some unethical sales representatives from merchant services or credit card processing companies lie to customers to get them to sign on the dotted line. They tell customers what they want to hear and make outrageous promises. Inevitably, the promised low flat rate or free cruise promised doesn’t come to fruition. Instead, businesses get locked into long-term deals that they’re unable to cancel. If something sounds too good to be true, it most likely is. Avoid payment processing scams by doing your due diligence up front and choosing a high-quality merchant services company that is honest.

Start Working With The Right Merchant Services Company

Quality merchant services or payment processing companies do everything in their power to help customers succeed. Such providers go through a detailed payment transaction review with potential clients to uncover better ways to process transactions and save money. They provide around-the-clock customer support to answer questions and keep downtime to an absolute minimum.

Quality providers offer guidance and support on important payment industry guidelines such as PCI compliance and the EMV liability shift. They help business owners find the right payment technology for their needs and secure the best possible rates. Finally, such providers inform business owners of any new or ongoing security threats they need to know about.

Put an end to your credit card processing problems and start protecting your profits by working work with a dedicated merchant services provider that offers outstanding customer support.

Are you looking for a payment processing and merchant services provider as dedicated to your bottom line as you are? Schedule your free 30-minute consultation with a certified payment processing expert today.