Merchant Account Blog & Credit Card Processing Blog

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Understanding Different Merchant Account Types

Today we are going to discuss different types of merchant accounts for credit card processing. Their are different methoods of payments, such as face-to-face retail sales, telephone orders, fax orders, ecommerce orders, and wireless point-of-sale transactions. We will discuss each transaction type in detail below.

RETAIL - Face To Face / Swiped Card Transactions

We are all familiar with making a credit card purchase at a retail location, where our credit card is physically swiped through a credit card machine. Card information is transmitted via phone-line or tcp/ip internet connection. Card is authorized and the transaction is approved or declined. Customer signature is required and maintained by the merchant for future reference.

These transaction types receive the Best Rate for the merchant, as the card is present and signatures are verified at the point-of-sale.

KEYED - Telephone Order / Fax Order

A “Keyed” credit card merchant account is for businesses that take’s credit cards from customers who are not present to swipe through a credit card machine. Customers card information is manually keyed into a credit card machine, credit card processing software, or online virtual terminal. Card data is transmitted and verified, including customer address, zip code, and cvv2 information.

These transactions are of higher risk of fraud and typically cost slightly more in fee’s.

E-COMMERCE - Internet Sales / Order Entry

Ecommerce transactions are originated on the interent. Going to an online store, adding things to a shopping cart, and finally clicking “Check-Out”. The customer enter’s in the card information, address information, and the cvv2 code from the back of the card. Information is securely passed and authorized in real-time. Merchants as a rule, never see the customerrs card number for added security.

These transactions are of higher risk of fraud and typically cost slightly more in fee’s.

WIRELESS - Mobile Merchant / Off-Site Sales

Lastly we have a Wireless Merchant Account, where the merchant processes credit cards using a wireless point-of-sale device. Credit cards are swiped through the terminal and data is passed through a wireless signal, which is enqripted for security purposes. Transaction is approved or declined and a signature is required on the receipt. These devices are also becomming popular at restaurant settings, where the device is handed to the customer and the card never leaves the customers hand.

These transactions are considered “Retail”, as the card is present and swiped through a machine.

If you have any questions, please feel free to give me a call.

MARK SANDS
1st National Processing
http://www.usa-merchantaccount.com
1-866 828-8683

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Saving Money On Your Merchant Account Fee’s !!!!!!!!!!

Saving money on your merchant account & credit card processing fee’s has never been more simple. We have put together a program to save you hundreds, if not thousands of dollars in fees, depending on your current monthly volume. Perfect solution for any business owner looking to cut cost’s.

INTERCHANGE PLUS PRICING - Start Saving Today !!!!!

In the past, this program has been reserved for High Volume Chains, such as Wal-Mart or McDonalds. We have opened the flood gates for any business size to profit from the savings. For those of you who are not familiar with the term “Interchange”, interchange is the cost passed on by Visa & Mastercard which accounts for the majority of your transaction cost’s. Interchange consists of several hundred catagorys which any transaction could fall under. Here and links to the most recent Interchange Schedule’s for Visa and Mastercard, as you will see this is quite complicated.

To simplify matters, most merchant account’s are on a “Tiered System”, consisting of Qualified, Non-Qualified, and maybe Mid-Qualified rate. These tier’s cover any downgrades by Visa or Mastercard in which certain transactions may fall. This simplifies “Interchange”, but alway’s cost’s more in credit card processing fee’s to a merchant on the Tiered System.

BOTTOM LINE - SAVING MONEY LIKE THE BIG BOY’S !!!!!!

We are now offering “Interchange Plus Pricing” to merchants of any size. Previously reserved for large corporations, this pricing schedule will saving you money on your credit card processing fee’s and is available to any merchant account, regardless of size.

Call us immediately for a cost analysis and began saving like the big boy’s.

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Merchant accounts processing with 1st National Processing can put there fears aside with becomming PCI Compliant with the complicated standards recently set-forth by Visa & Mastercard. We have simplified the process, making it quite simple for our merchants who process with us.

First, we have painless online survey which will walk you through each step of completing your Self Assessment Questionaire, required for PCI Compliance. Once the “SAQ” is completed, you will receive an email if you need to perform a “Quarterly PCI Scan” of your website or network. You will then receive instructions by mail for performing any required PCI Scans.

Lastly, if you are required to perform PCI Scans the cost is included in our Annual PCI Compliance Fee of only $30.00. This minimal fee is cheap when compared to other processors, who charge $79-$99 and expect you to become PCI Compliant on your own.

If you are looking for more information on PCI Compliance, here’s a great 10 Minute Video that will educate you on the subject.

1st National Processing Customers can begin the PCI Compliance Process by clicking here.

MARK SANDS
1st National Processing
http://www.usa-merchantaccount.com
1-866 828-8683

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Merchant Account Rates - Credit Card Processing Rates

Merchant account rates and fees can vary from processor to processor. Unerstanding rates are key to finding the best overall merchant account rate for your business. We will look at each variable when searching for the best credit card processing rates.

Swiped Credit Card Rates: Credit card transactions which are “Swiped” through a credit card machine are usually fall around 1.69% - 1.79% depending on the processor. These levels usually bundel both Signatute Debt Transactions and Credit Card Transactions branded with either Visa or Mastercard Logos.

Keyed Credit Card Rates: Transactions where the customers card is not present and the card number is “Keyed” into credit card processing software or ecommerce merchant account where the customer manually inputs credit card information, the rate usually falls around 2.39% - 2.49% keyed.

Mid Qualified Rates: These rates are assessments by Visa & Mastercard and will vary by processors. Usually this tier is for Rewards Cards, branded either Visa or Mastercard.

Non-Quailified Rates: Again, these are assessments by Visa & Mastercard and do vary bt processor. This tier is for International Cards, Business Cards, Corporate Cards, Government Cards, and any keyed transaction that is un-qualified or lacks AVS Fraud Controls. Discount rate tier regulations.

Pin-Based Debt Transactions: These retail transactions require a Pin Number Authorization and usually price at $0.35 + 0.75% of the dollar amount. A PCI-Compliant pin-pad is required and is not
available for phone-order or ecommerce transactions.

Split Signature Debt / Credit Card Rates:  These rates are split into two catagories, seperating Signature Debit and Credit Card transactions. Usually priced at 1.39% Signature Debit and 1.89% Credit Card. Be careful here, as if your business accepts mostly credit cards, you will pay more.

Transaction Fee: Transaction fee’s cover the transmission cost and usually price between $0.20 and $0.30 depending on your processor and transaction processing methood. May include end-of-day batching of the day’s transactions for payment to your account.

Statement Fee: Each month you receive a monthly merchant account statement of transactions forr the previous month and usually prices between $10-$12 per month.

Minimum Fee: This fee is charged to Low-Volume Business doing less than $25 Month in discount rates fees. Often used to off-set free equipment placements to low-volume businesses.

Annual Fee: Merchant’s are usually charged a annual fee on the aniversry of their account. Fee will vary and can usually be waived.

Chargeback Fee: Customer disputes that result in a Chargeback are charged between $25-$35 per instance. Chargeback Prevention is needed as your merchant account can be “Closed” for excessive chargebacks.

Application Fee: This fee has pretty much disappeared, industry-wide.

If you are looking to SAVE MONEY on your credit card processing, please give me a call imediately.

MARK SANDS
1st National Processing
http://www.usa-merchantaccount.com
1-866 828-8683

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Merchants who need to process transactions from remote locations, without power or telephone lines, can apply for a wireless merchant account. Transactions must be initiated from a location where the wireless signal is available. Please note, wireless coverage area may vary and not all locations are covered. Please check signal strength on the coverage map and again note that signals will vary and are not guaranteed.

FREE NURIT 8000 GPRS

While supplies last, we are offering a Free Nurit 8000 GPRS for all new wireless merchant account applications. Terminal includes Free UPS Ground Shipping, Free Programming, and Free Set-Up. We waived the wireless activation fee and your equipment will come, plug-n-play. All we ask it that you return the equipment when closing your merchant account and credit card processing. It’s that simple.

If you have any questions on our wireless merchant account, please give us a call.

MARK SANDS
1st National Processing
http://www.usa-merchantaccount.com
1-866 828-8683

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For a limited time, we are giving away a Free Wireless Terminal with every new wireless merchnat account. We are giving away the Nutit 8000 ( $695 VALUE ). Wireless terminals are the prefect choice for merchants doing credit card processing from a location where there is no telephone access.

Perfect for mobile merchants like; Plumbers, Tradeshows, Flea-Markets, Pizza Delivery, Limosine, Taxi, and the list goes on. Wireless signals can vary from location to loaction, so please call our office see if you will have a signal in your area. We look forward to working with you.

MARK SANDS
1st National Processing
http://www.usa-merchantaccount.com
1-866 828-8683

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