4 Mistakes to Avoid When Opening a Merchant Account

Choosing a merchant account for your business is a major decision that you can’t take lightly. You’ll have to live with the consequences of your choice, and if you choose the wrong credit card processing company, your business could suffer tremendously as a result. Taking the time to educate yourself about the different options available when opening a merchant account is key to ensuring you make a well informed decision. Here are 4 big mistakes to avoid when opening your merchant account. Mistake #1: Not paying attention to rates Processing credit card transactions comes at a price, and if you don’t take your time to find an affordable service provider, you could end up seriously cutting into your profits by paying loads of various payment processing fees. Make sure you shop around and find a payment processing company that doesn’t have any hidden fees and that offers guaranteed low rates. Mistake #2: Not reading your contract before signing it Before you open a merchant account, you’ll be asked to sign a basic agreement. Never sign anything without reading it carefully first. Some payment processing companies will lock you into long, expensive agreements, or they’ll try to slip in a range of hidden fees to drive up the cost of their services. Thankfully, you can avoid all of this by spending a little bit of time reading your agreement before signing it. If there’s anything that’s unclear in the agreement, ask for clarification before signing. Mistake #3: Not taking advantage of the latest credit card processing technology The technology used for processing credit cards is constantly progressing, so it’s important to choose a payment processing company that offers the latest equipment and software for your business. Using outdated equipment can hurt your productivity and profitability. Mistake #4: Choosing a company with poor customer service You need to know that your merchant account is backed by top notch customer service, because if anything ever happens (e.g. your network goes down and you can’t process credit cards), you need to be able to count on your merchant account provider to offer fast, effective solutions for your business. Considering opening a merchant account? Turn to Veritrans for great service and guaranteed low rates. Have a question? Leave a comment and we’ll respond quickly.