Credit card processing is a method of paying or receiving payment via a credit card machine. This method saves the time of both customer and shopkeeper.
Benefits of accepting credit card payments (1)
- Legitimize the business
Accepting credit card payments legitimizes the business in the industry. Displaying credit card logos on cash registers and websites will attract customers and make them trust the company. The satisfaction of customers solidifies the position of the company in the market.
- Boost sales
The cash-only payment method hurts the sales and makes the firm lose its good customers. However, when a business or a company allows credit card payments, the base of its potential customers expands. That is how it boosts sales. Moreover, keeping a credit card in a pocket is more safe and convenient than keeping cash.
- Enhances business cash flow
Credit card transactions are processed and settled electronically. Within few days, the processor directly deposits the amount into the business bank account. This enhances the cash flow as well as discard issues associated with billing, checks, and collection of invoice from the customer.
- Inexpensive method
Most owners think that payment method through credit cards is expensive and that is not true.Credit card processing is a competitive industry that provides variousmerchant service packages. These packages are easily affordable by small businesses as well.
- Provides a competition level to business
A business lags behind the competition in the market in the absence of a credit card payment method. It is more obvious if the competitors are providing this facility. A business can only survive if it is giving convenience to the public by providing a credit card payment facility.
Top providers of credit card processing (2)
Business technology firm weave has conducted a study according to which about 30% of small business buyers cannot make a physical purchase at some stores due to the unavailability of credit card payment methods. Somewhere absence of credit card machines hurts sales, but at the same time business owners are also worried about paying extra charges to the related bank. Right now, about 1000 credit card processors are providing their services. Some top providers are as follows:
- Helcim
Heclim has been evolved since 2006 from a credit card provider to financial technology company. With beneficial fee schedules and no monthly fee, helcim is a tremendous option with an array of features for small enterprises. That is why it is considered the best overall winner. It is a level 1 PCI-DSS compliant company that provides top-notch safety features. Entrepreneurs that have Helcim can accept payments from cards like Discover, American Express, Visa, Mastercard, Google Pay, Apple Pay, JCB, and Pin debit card. Within 5 minutes, a person can sign up for a helcim account without any hardware. It offers a payments app through which a shopkeeper can accept payments. For in-person purchasing, helcim card readers are available at $299. The card reader can be connected to a desktop, mobile, or tablet. Integration of Helcim with Woocommerce and QuickBooks allows any device to convert into a work horse. It utilizes various helcim’s cloud programs such as payment app, inventory management, customer management, and point of sale (POS) system.
This company offers a single plan without any monthly charges. The owner will only pay volume-based transactions and interchange fees. It provides a tool in its website with the help of which an owner can check the effect of monthly volume on fee rates. Some of those plans are as follows:
If the volume is $0-$25K per month
- In-store
- 3% interchange fee
- $0.08 transaction fee
- Online
- 5% interchange fee
- $0.25 transaction fee
If the volume is $25K-$50K per month
- In-store
- 25% interchange fee
- $0.07 transaction fee
- Online
- 45% interchange fee
- $0.20 transaction fee
If the volume is $50k-$100k per month
- In-store
- 20% interchange fee
- $0.07 transaction fee
- Online
- 40% interchange fee
- $0.20 transaction fee
If the volume is $100K-$250K per month
- In-store
- 18% interchange fee
- $0.06 transaction fee
- Online
- 35% interchange fee
- $0.15 transaction fee
- PayPal
PayPal has been a trusted name since 1998. Several online stores are offering payment methods via PayPal. It holds a rank in the top list by providing the best merchant services to small enterprises. It has several PCI compliance certificates such as Visa cardholder information security program and Mastercard Site Data Protection program. With PayPal payments from cards like Mastercard, Visa, American Express, PayPal, Discover, and Venmo can be accepted. It provides a simple setup. PayPal here App is used for online payments. Within few minutes one can open an account and start receiving payments. For in-store purchasing cards, readers are available. The basic model costs nothing and the advanced model costs $79.99. PayPal can integrate with TouchBistro, Lavu, Vend, and Revel Systems. One can also link it with Shopify accounts, constant contact, and QuickBooks.One can start receiving payments promptly without paying start-up or monthly fees. The few structures of PayPal are as follows:
- In-store sale via a card reader
- 7% interchange fee
- $0.30 transaction fee
- Online transaction
- 9% interchange fee
- $0.30 transaction fee
- National processing
I have established in 2007 and gained appreciation from small to medium firms’ owners for its pricing transparency and reliable service. It is a PCI-compliant company. It accepts payments from Visa, American Express, Mastercard, Discover, Electronic checks, and online transactions. It integrates with Clover to deliver Clover equipment such as Clover Go, Clover Flex, Clover Mini, and Clover station. With transparency in pricing, an Interchange-plus rate system, and no monthly minimum fees, one can easily figure out the cost of credit card processing. Some of its plans are as follows:
- The restaurant plan costs $10/month
- 14% interchange fee
- $0.07 transaction fee
- The retail plan costs $10/month
- 18% interchange fee
- $0.10 transaction fee
- E-commerce plan costs $10/month
- 29% interchange fee
- $0.15 transaction fee
- Subscription plan costs $59/month
- 0% interchange fee
- $0.09 transaction fee
- Subscription plus plan costs $199/month
- 0% interchange fee
- $0.05 transaction fee
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