credit cards????

Question

is cardservice international a good merchant account to use?

Answer 1

They are a good choice for some merchants. It depends on your volume, average transaction, card assortment and method of processing.

Here are a few pointers:

Credit Card Rates:
All service providers have the same base cost. Visa, MasterCard, Discover, and American Express set this cost, commonly referred to as the “Interchange Rate”. The factors that determine your interchange rate are:
•The card brand (Visa, MasterCard, Discover, American Express) and type (Debit or Credit)
•Whether the magnetic strip is read at the time of transaction
•Whether the card is a business or consumer card
•Whether all the pertinent data has been properly submitted with the transaction
•The timing of when you actually “settle” the transaction.

The rate on which you need to focus is the net effective rate. To calculate your net effective rate, simply divide all the fees you are charged by your net credit card volume (sales less credits). Service providers typically charge an authorization and transaction fee, service fee and other miscellaneous fees in addition to a mark up on the interchange rate. Do not be misled by focusing on one line item - if you are being told about one rate and one rate only, you are not getting all of the information. Additionally, watch out for the following practices that have the effect of increasing your net effective rate:

•Minimum monthly fees…avoid them! Watch for annual as well as monthly minimum fees.
•Make sure you pay fees based on net sales (sales - credits = net sales) not gross sales! Or worst yet, Gross Plus! You should get the interchange fee back if you have to issue a credit to your customer!
•You should receive your money within two business days, no longer!
•Are fees taken at month end or on each deposit? Fees taken daily increase accounting complexity and increase your cost of funds.
•Watch for other miscellaneous fees such as batch fees.
•Don’t buy new equipment if it isn’t justified.

Service:
Credit Card acceptance is a volume business…the more you process, the less you should pay. However, without a reliable service provider, you can end up paying considerably more then you should. Again, ask yourself the following questions:

•Who watches to ensure my transactions qualify for the best rate?
•Am I assigned to a specific relationship person or the next available operator?
•How do I know when my volume qualifies me for a lower fee?



Equipment costs:
Be careful about being sold new equipment. If you process low volumes you may not need a terminal. Your telephone can be used to process and settle your transactions. Make sure you are not buying a private label terminal. Some processors sell terminals that only work with their software or need special codes to be reprogrammed. Leasing terminals for unreasonably high rates ($50 month and higher for four years) is another way unscrupulous providers can take advantage of unsuspecting business owners. The cost of the lease is almost always higher than buying the terminal. A business case may be made for new equipment if you do a lot of hand-keyed transactions and your current equipment is unable to submit all the data elements necessary to qualify for the lowest rate.



Contract Terms:
Be aware that some vendors will try to lock you into long term processing contracts. This may be a good business practice if in return you are guaranteed their best price, with pricing changes tied directly to the published interchange rate, and you are pleased with the service from this company. Also be aware of the cost of terminating your relationship with a provider. If you were to close the account, determine ahead of time what the closing fees will be. To be safe, NEVER sign a merchant agreement when there is a term commitment on the day you are presented the information. Give yourself a day or two. Once you sign, you're in for the term.

Hope this helps!

Answer 2

No moving money to your Capital One card won't help you just yet. You just need to pay as much as you possibly can towards your Bank of America card every month and do not use it at all. Clip coupons, downgrade your cable or cell phone package, eat mac and cheese a couple nights a week. You'll be surprised how much extra money you will have to put towards your credit card bill. That's the best way to pay it down. About the Avon account. It's time to talk to your mom. Tell her you need her to pay that off NOW it hurting your credit especially if they are calling you b/c she is late paying. You can also call Avon and see if you can be taken off the account you may need your mom's permission to do this but if you can you should and soon.

Answer 3

They are very big and the rates are okay. I would look into Costco's merchant account - I hear its one of the best.

Answer 4

never heard anything about this company, you may want to
research the better business bureau to see if they are legitimate.
my ex wife gets offers from a lot of credit card companies that offer to repair her credit by issuing a credit card in her name, but when you get to the fine print she will already owe them several hundred dollars and her available balance is next to nothing.
just be wise and, in my opinion, deal only with "name brand"
companies or those through your bank. by the way who you pulling for in the race for the chase?