Posts Tagged ‘Credit Card Processing Fees’« Older Entries |
Monday, April 1st, 2013
Hello to our loyal blog readers. We have a link to a great post from Forbes in regard to some of the happenings in the credit card processing industry. This article briefly talks about: Internet Sales Tax Gaining Support in the Senate and how fees are growing higher…
Thursday, January 12th, 2012
Happy New Year!
This article came across the wire a couple days ago and we think there are some important lessons to be learned from this article:
1.) Keep your data safe: Though the merchant has been able to prove that a data breach did not occur at their restaurant, many merchants aren’t so lucky. This article shows power that VI/MC and the processor has over the merchant.
2.) Hidden Fees Add Up: “In September 2008, the McCombs found that US Bancorp was taking money from its account, they said, with deductions eventually reaching $10,172. To prevent further seizures, they closed the account and found a new bank and processor, they said.” This is the exact reason why the Processing Brokerage was founded, to fight against the rise of hidden fees.
Check out the article and let us know what you think…
Tags: Credit Card Processing, Credit Card Processing Fees, Credit Card Processing Fees Legislation, Merchant Account Services, Processing Brokerage
Posted in Credit Card Processing Legislation | No Comments »
Thursday, December 8th, 2011
Happy Holidays, the following is an article from the Wall Street Journal discussing the after effects of the 2010 Dodd-Frank Bill and the recently enacted Durbin Amendment. The article talks about merchants who have an average ticket at or below $10.00 and have now seen their debit card rates increase. Let us know what you think…
Tuesday, October 4th, 2011
As many of you know, the Durbin Amendment went into effect on October 1, 2011. The following is an article from Fox Business News that explains what this means for merchants…
Tags: Credit Card Processing, Credit Card Processing Fees, Credit Card Processing Fees Legislation, Durbin Amendment, Interchange Fees
Posted in Credit Card Processing Legislation, Durbin Amendment, Industry News | No Comments »
Thursday, June 30th, 2011
Hopefully our loyal blog readers are enjoying their summer and keeping cool. The following is an interesting article in regard to the new changes that have been imposed on debit card fees. According to investors, these changes make Visa/MasterCard more profitable…
Monday, February 15th, 2010
Every couple of weeks, I like to browse the most recent payments industry articles that have been published online to see what people are saying. For the most part, I very rarely read anything that is not published by a reputable site. With that being said, I was shocked to read this weekend an article posted online by the Wall Street Journal (WSJ) titled “For Businesses That Accept Cards, Tips for Cutting Fees“. The following is how this article started:
“When it comes to credit-card fees, bigger companies have more clout with issuers than small ones. But there are ways to minimize costly processing fees, from negotiating to shopping around. Here are eight tips.” – At this point, I am very intrigued! The author is right, bigger companies will always have more clout but that doesn’t mean you can’t have a low rate.
“Negotiate processing fees – To negotiate the interchange rate, which is set by Visa and MasterCard accounts for about three-quarters of merchants’ card acceptance fees, business owners should contact Visa and MasterCard directly, says Trish Wexler, a spokeswoman for the Electronic Payments Coalition, a group representing banks and credit-card networks.” - This statement is incorrect and it is articles like these that confuse merchants on what they should do. Unfortunately, you cannot call Visa and MasterCard directly to negotiate interchange rate as this rate is un-negotiable. There are over 300 interchange rates and though you may not be able to negotiate for a better rate, there are steps that you can take to make sure you process at the most optimal rate. If you would like more information on if you are processing at an optimal rate, contact your processor or us at The Processing Brokerage and we would be more than happy to point you in the right direction.
- The Processing Brokerage
Tuesday, November 10th, 2009
We recently helped a Non Profit client who had not looked at their credit card processing rate since 1999. As it has now been a decade since their last reduction, they thought it was time to see if the market had changed and if they could reduce their fees. Needless to say, once we provided our analysis and showed them what they should be paying annually, they were shocked! The Processing Brokerage significantly reduced their fees and there are lessons that Non Profits, Associations, and Charities can learn from this case.
What happened to our client is very common for nonprofits as they are naturally focused on their cause and as long as they can accept credit cards, that is good enough for them. If you are a Non Profit reading this right now, this probably sounds very familiar: The last time you looked at your credit card processing was when you decided to take donations online or needed a new merchant account. Since that time, your organization has experienced great growth and success. With everyone being so busy, consistently meeting fundraising goals, and dealing with a scope that has probably broadened; who has the time to look at their credit card processing? Maybe that was you about a year ago and now with a changed economy, your organization needs to change as well. Either way, it behooves you to look into reducing your credit card processing fees further.
There are typically three options that you can take when attempting to reduce your credit card processing fees:
Sunday, November 8th, 2009
According to the Wall Street Journal, U.S. banks raked in $45.3 billion last year from credit- and debit-card fees charged to merchants. About 75% of that comes from interchange fees set by Visa Inc. and MasterCard Inc. Overall merchant fees, including other revenue collected by banks and processing middlemen, are up 78% from $25.5 billion in 2003, according to the Nilson Report, a Carpinteria, Calif., newsletter that tracks the payments industry.
Merchants in the U.S. paid an average interchange rate of 1.82% per transaction last year, down from 1.93% in 2005, according to the Nilson Report, an industry’s argument that fees are falling. Please contact the Processing Brokerage for information on our interchange optimization program.
To read the rest of the article about credit card processing interchange fees, please click below:
Thursday, November 5th, 2009
The Processing Brokerage wants to congratulate the New York Yankees for winning the World Series!!!