Merchant Services Quotes – What to Look For In Payment Processing
Choosing a new payment processor is an important task, as payments are at the core of all businesses. But with so many options on the market, it can be hard for merchants to know how to differentiate one processor from another. When requesting a merchant services quote, many business owners will focus on price and price alone, but price is just one of a number of factors that should be considered. In addition to price, key areas that impact not only a merchant’s payment services, but the operation of their business, include availability of support, choice in hardware and software, the ability to reduce chargeback losses, next day funding availability, and more.
Interchange-Plus Pricing
Pricing is obviously at the forefront of most merchants’ concerns since it impacts their profitability directly. While all merchants think about fees, not all think about fee models. But the way a payment processor charges matters. Generally speaking, three pricing models are available: flat-rate, tiered, and interchange-plus. Flat-rate and tiered pricing offer simplicity – but at a cost. Because transactions are grouped under the highest rates possible, average fees are almost always inflated. In comparison, interchange-plus pricing dynamically updates the fees for each transaction based on the actual interchange rate charged by the card companies. The result is that the lowest rate is applied to each transaction rather than the highest. And because interchange-plus pricing is based on publicly published interchange rates, it’s also the most transparent model available.
Dedicated Support
When it comes to something as important as getting paid, uptime is important, and it’s crucial that any issues be dealt with as quickly as possible. When problems inevitably arise, a merchant can’t afford to struggle to get support, spend hours on hold, or be shuffled around on the phone from one department to another. Payment processors offering dedicated support teams provide each of their merchants with a single point of contact who handles all their issues. As a result, the merchant and their account manager can form a real relationship, and, even more importantly, the account manager can truly get to know the ins and outs of the merchant’s business. That kind of direct, knowledgeable support ensures that even the most complex issues can be dealt with quickly and effectively.
Hardware and Software Choice
An affordable merchant account with excellent support is important, but so is having the flexibility to connect that account to the right hardware and software tools to meet a merchant’s needs. In addition to payment processing, merchants need payment terminals for in-store sales and an ecommerce gateway for online sales. When requesting a merchant services quote from a payment processor, it’s important to inquire about two things: the types of hardware and software available through the processor, and the number of third-party solutions that can be integrated with the merchant account. The more options available, the more likely it is that a merchant will be able to get the right systems for their needs at the right price. Equally important, more integration options mean a merchant’s services will be better able to scale as the merchant grows and their needs change.
Chargeback Defense
Chargebacks are an unavoidable part of doing business, but losing chargebacks is often avoidable – with the right tools. When shopping for a new payment processor, merchants should inquire about what kind of chargeback and fraud defense tools are included with their services. An advanced chargeback defense tool, like the BAMS Dispute Assistant Manager, can be of immense value by helping merchants stay on top of all new disputes and file winning responses faster and easier. While occasional legitimate disputes will still result in lost revenue, merchants with advanced chargeback defense tools can avoid losing money on illegitimate chargebacks while also avoiding the potential reputation damage that can happen when chargebacks start to pile up.
Next Day Funding
Experienced merchants switching from one processor to another should always inquire about a payment processor’s funding terms. Next day funding is an important feature that ensures a merchant’s money hits their account as soon as possible – sometimes as little as ten hours after a transaction. But not all payment processors offer next day funding, and of those that do, cutoff times vary. Finding a processor that offers the most favorable funding terms possible should be a top priority for merchants with the experience and business history necessary to qualify.
BAMS is one of the industry’s most trusted payment processors, offering merchants a wide variety of payment services at some of the lowest rates available. The BAMS interchange-plus pricing model ensures merchants always have access to the most competitive and transparent transaction fees. To ensure continuity of service and support, every BAMS merchant is assigned a dedicated account manager from one of the most experienced teams in the industry. Finally, BAMS merchants have access to a host of additional services, including dedicated support, dozens of hardware and software integrations, next day funding, advanced chargeback defense, level 3 processing, reporting and analytics tools, and more.
To request a merchant services quote or find out more about everything BAMS has to offer, reach out to a member of the team or get started with a free five-point price comparison today.
