Merchant Services Provider Should Have A Good Warranty Policy For Their Equipment
According to workoninternet.com,merchant services provider also can provide electronic debit, check, and gift card services for retail and online businesses. There are literally thousands of merchant service providers in the US. Many of these companies operate legitimate businesses that are looking to form a long-term relationship, or more appropriately a partnership with business. But, there are also a lot of businesses that are only looking to make a quick dollar and are trying to scam unsuspecting businesses out of their money. When you process a credit card, the merchant service provider, gets a very small percentage of the transaction.
The remainder of the transaction goes to the card issuing bank, the card issuer and the processing bank. The processing bank is the company with all of the electronics and software that processes the credit card transaction. The processing bank is not the merchant service provider, but the merchant service provider is an authorized distributor for the processing bank. The merchant service provider gets a very small percentage of each transaction, usually less than .20%. For this reason, it is important to select a provider with a good reputation that is not going to try and scam you out of your money.
There are two types of merchant services provider that you will come in contact with. The first is the actual provider. This company will be sponsored by a FDIC insured processing bank, or several banks.
The second is an independent sales representative. This is a reseller for the merchant service provider. Since the reseller gets a price from the actual provider, the reseller has to mark up the fees, so his price will be slightly higher than the provider's. The reseller is also usually unable to provide technical support and your business will be referred to the main office for support.
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