One of the most complex and expensive operational costs businesses deal with is the merchant processing fee, yet you cannot do away with a merchant account. Having a merchant account contract is what stands between you and a cliff. So how can you get lower credit card fees for your business? Many business owners will tell you that gross over-payments in credit card processing fees are part and parcel of their lives. They lose thousands of pounds in excessive fees and when they try to switch providers and reduce costs before the expiry of their contracts they get buried under …
If your business needs to accept credit or debit card payments, you will need to open a merchant account. Put simply, this is a type of bank account that manages the credit or debit card payments you receive from transactions that are either face to face, over the phone or on the internet. The reason why a merchant account is needed, as opposed to simply using your existing business account, is that card payments have a very real risk of credit card fraud. It is necessary for the credit card holder’s details to be authorised and to make sure that …
Any business that takes direct payment from customers for goods or services needs to be able to accept credit and debit cards. This entails more than just having a bank account. Card payments require a validation process so that the cardholder’s details and ability to make payment can be verified. This means that the vendor needs to have a merchant account. Essentially, this is an account which is separate from the business’ normal bank account, and it only handles transactions made via credit or debit card. Depending on how the company sells its products or services, more than one merchant …
