Blog

Merchants’ Blind Trust In Processors And Hidden Fees

April 13, 2017

When merchants accept credit and debit card payments from their customers, they pay fees for every transaction they handle.

 

When merchants accept credit and debit card payments from customers, they pay fees for every transaction they handle. Unfortunately, there are typically plenty of other fees associated with doing so as well, and they can add up quickly for just about any type of business. It might be wise for smaller merchants in particular to look at the ways in which these costs affect their bottom lines and their options for potentially saving money.

If merchants are concerned about these rising costs, there may be ways to deal with the issue, including working with Sterling Payment Technologies to find a solution that works better for their bottom lines.

Often, one of the big reasons these charges are not considered in terms of value is that merchants simply consider them the cost of doing business, especially because the agreements they sign with payment processors can be quite complicated, according to a report from Computerworld. While larger retailers might have the power to directly bargain with those processing companies for better deals in certain instances, many smaller ones often do not, and the fees they rack up can be significant as a result.

When merchants make the right payment processing choices, there are significant benefits.When merchants make the right payment processing choices, there are significant benefits.

Making The Right Decision
When it comes to choosing a credit card payment processor, though, companies need to consider more than just the costs they face, according to CNET. They should also look at how those companies will help them avoid fraud and deal with it when it arises, as well as how easy to use their systems are and the kinds of payment types they will accept as the landscape continues to evolve.

Further, the ability of a merchant to reach out to their payment processors when they have questions or issues is vital. Customer service is often necessary to ensure smooth use of payment platforms on an ongoing basis, and to deal with outages if and when they happen.

Why Is That Important?
When it comes to these issues, merchants will need to be able to both quickly and – on their end – affordably handle a growing variety of consumer demands when it comes to payment processing, according to Capterra. Having the ability to cut their own costs, potentially by hundreds of dollars, and simultaneously handle traditional credit card purchases in addition to EMV and mobile payments will be vital to ensuring a healthy business going forward. Moreover, some providers may also be able to help merchants get a better understanding of their payment processing needs by providing them with analytics that help them make more informed decisions in the future.

In general, the more merchants of any size can do to get a better understanding of what they need and whether their current payment processing providers meet those requirements, the better off they’re going to be. Making the most informed decisions possible in this regard can end up saving them hundreds or even thousands of dollars per year.

Back To Blog