Choosing The Best Contractor Merchant Services
Posted: Feb 26, 2021
If you are in the construction business then you know how much hassle it can be to process payments. Your clients want flexible payment options so that they can pay at their convenience. The construction business is project-based, so it is sometimes necessary to make intermittent payments. The payment amount is often large as well. So, you need a trusted merchant service provider who can handle your payments. You should find out several such service providers before choosing one. Here are some tips that can help you choose the best contractor merchant service.
Create merchant account
Payment processors can be of two types. The ISO/MSPs can be set up with your merchant services. If a company processes more than $3,000 per month then it’s a good option. It is also a good option for construction or other business that must process irregular amounts. You can also create a merchant aggregator. This is for companies that process less than $3,000 per month. This type of account charges a flat rate instead of an annual fee. However, this type of account is risk-averse. That means if there is any irregular transaction then you will get a fraud alert and the account may be frozen, thus disrupting your business.
Reveal probable transaction amount
You must reveal the transaction amount to the merchant service provider. That way they can give you accurate pricing for their services. You should also tell them about any irregular transaction amount that you may have to process so that your account doesn’t get blocked suddenly.
No long-term contract
You should never get into any long-term contract. You may not like the service after a few months and you must be able to choose other companies without getting into any legal trouble or penalty. Also, check if there are any high termination fees. When you make a contract, make sure you read all the clauses carefully. You must revise the term period, fees, cancellation procedure, and other things.
Know the fees
You must know the monthly and yearly charges before choosing a good merchant service provider. You should request them to give the quote in writing. You should also request them to provide the full contact details that show the terms of service and other important things. You should ask them about hidden fees as well.
Level 2 or 3 processing
Level 1 transaction is when credit cards are processed using minimum information from the customers. When you are dealing with corporate cards you need more information; otherwise, the merchant service providers will charge a higher rate to process it. So, you must ensure that the service provider can give you level 2 or 3 processing of payments.
Before finalizing your choice you should make sure that the service provider has experience in dealing with similar clients. They must be experienced and knowledgeable on how to process various types of transactions safely and without much hassle. They should provide the best customer service to the clients.
Michael Bedwell is a Professional Content Writer at Host Merchant Services. He Lives in New Jersey, United States. Having years of experience in content writing he writes content on diverse categories like technology, emaorece, business, finance etc.