Variable Processing: Potentially the Lowest Fees
Variable processing plans, also called "Cost Plus" plans, give you the actually processing costs that the exchanges (ie Visa and Mastercard), plus a small, fixed dealer percentage from us. There may also be monthly statement or per-transaction fees, depending upon your processing volume and other factors. This gives you the potential for the lowest costs in the industry, provided that you know your clientelle. If your clients primarily use standard debit cards or basic credit cards, this could work out great for you. However, if your clients use a lot of rewards- or points-based credit cards, your rate will be higher. Those "free perks" are actually paid by the merchant in the processing fees. So, while a basic card may cost you between 1.5 - 2.5% to run, a rewards card may be 4 - 6%, or even higher!
This type of plan is great for merchants who know their clients well, and can monitor their processing statements regularly to be sure that they understand their fees. Some merchants get great rates with this type of plan, while others would benefit from a flat-rate plan.
Contact us today to get your Credit Card Processing setup!
Flat-Rate Processing: Your Plan for Avoiding Surprises
Flat-rate processing plans allow you to know exactly what each credit card transaction will cost you as the merchant. Designed for merchants who process $1000 or more per month, this type of plan has no monthly fees or per-transaction fees, but simply costs a fixed, flat percentage (normally set at about 3.25% or better) on each sale. That way, you can easily plan and price accordingly, knowing exactly how much each transaction will cost.
This type of plan is great for merchants who want stability in their credit card processing fees. Keep in mind, however, that there may be additional nominal fees like gateway fees (normally $0.10 - $0.25 per transaction) if your accout is hooked up to process payments on your website.
Contact us today to get your Credit Card Processing setup!
0% Processing: Your Ticket to Avoiding Fees
0% processing plans, also called "Cash Discount" plans, lower your effective processing fee to zero, by passing the cost on to your customer. These plans generally have no monthly or other fees, so you, as the merchant, see 100% of your funds deposited. When your customer pays with a credit card, your terminal or point of sale system will automatically charge them a convenience fee (normally around 4%); but when paying with cash or check, etc., that fee is removed.
This type of plan is great for merchants who accept credit cards as a convenience, merchants who offer low-margin or discounted merchandise, or merchants who work with a high-end clientelle who expect the fees in their line of business. It is popular among restaurants, where the fee is minimal in comparison with higher itemized hospitality taxes and tips on the receipt. It is also liked among merchants who provide luxury services or events, like hunting and fishing lodges.
Contact us today to get your Credit Card Processing setup!
