Accepting credit cards

Over the years, I have encountered many questions when it comes to accepting credit cards and setting up merchant accounts for small and large business.

When researching the idea of accepting credit cards you should not just look for information on the various rates and fees that will be applicable to the account. Sure, the cost is one important component, but the most important piece of your decision should be based on the reliability of the particular merchant provider (and sales office) you will be using, since after all, this is your money and your business at risk.

What is a Merchant Account anyway?
A merchant account is a special type of account that is setup to allow businesses to accept funds from credit card holders using an e-commerce storefront or a retail POS device. This account is not to be confused with a traditional business banking account.

The merchant account provider acts as the business's gateway between Visa, MasterCard, Discover and American Express and allows the money to be transferred into the merchant’s bank account.

In order to get setup to accept credit cards the business must supply the merchant provider with a few important documents that the bank requires during the underwriting process, which can include prior processing statements (if applicable), personal information (i.e. social security #, date of birth, etc.), driver's license and other pertinent information requested by the various underwriters.

A common question is what the normal cost for a merchant account is. Like every other provider, CCNJ can offer a base rate; however, based upon the business's (and owner's) credit score and the particular industry type (among other items) will allow us to better understand your business and estimate a rate to best fit your needs. To give you a range:

• Retail store doing $25,000 per month on Visa & MasterCard, with an average transaction of $25: 1.59%+ $0.25 to 1.95% + $0.25 per swiped transaction (Qualified level only. Keyed transactions, business cards, etc will raise the rate).
• Online storefront doing $25,000 per month on Visa & MasterCard, with an average transaction of $25: 1.99% + $0.30 to 2.75% + $0.30 per transaction. (Mid-Qualified level only. Business cards, etc will raise the rate).

What's the Next Step - How Do I Setup a Merchant Account?

1. Please Complete this Small Questionaire and a Merchant Account Consultant will be in contact to discuss your business's needs.

2. Please fax the following information to 201-490-5451, attn: New Accounts

• Completed Application
• 2-3 months of prior processing statements (if applicable)
• Business License
• Driver's License
• Voided Check

Most people looking for a merchant account just go out onto the internet and find the lowest credit card processing rates and signup without understanding all that goes into the process. I have had many customers that have been burned by not knowing all of the details up-front. Ask questions, don't expect the sales rep to come straight out and give you all the fees, etc on the account. If you do not feel comfortable with the deal, walk away.

Accepting credit cards also has it's risks for the fact when it comes to chargebacks. You need to make sure that your merchant provider can help you when these issues arise because you do not want your business to be listed on the "TMF List." The Terminated Merchant File is essentially a BLACKLIST from which it is almost impossible to be removed, and will force you to pay higher rates for processing, should you be approved in the future. Note - chargebacks are only one way to end up on the TMF List; other factors can land you on this list as well.

Get a FREE Rate REVIEW
Talk to a merchant account consultant at Credit Cards, NJ to analyze your current rates to see if there is anything they can do to help you reduce your monthly fees. Since CCNJ guarantees that they will meet or beat your current processing rates based on your current statements, what have you got to lose? You can either complete our brief form, or call us at 201-645-0132 and ask to speak to someone in sales today!