Small business and credit card service - part 3
Nov 16th, 2007 by CCM Direct
When purchasing credit card machines and merchant accounts for small business, there are several things you should consider.
Is there a monthly minimum fee?… The monthly minimum fee, while seen by merchant account providers as a way to guarantee themselves an account is worth establishing, is seen by merchants as a penalty for being small or having a slow month.
-
The monthly minimum fee is not required by Visa or MasterCard. Larger merchant generally don’t have to worry about this fee as they will process enough sales during a month to never see it. Smaller merchants or seasonal merchants can see their costs for accepting credit cards be as much as double of what they should be without this fee.
-
A good follow up question to this would be, “Why do you charge a monthly minimum fee”?
-
If they tell you it is a required fee from Visa and MasterCard, you now know they aren’t being very honest with you and you can end your discussions with them immediately.
Monthly minimums are in general “for the birds”. Let CCM Direct help you get those credit card fees under control!
