The Best Questions to Ask Before You Open a Merchant Account

open-a-merchant-accountIf you want to use a merchant service provider, you’re eventually going to need to speak with a merchant service provider. These calls can be intimidating for newbies who are more interested in selling a product than finding a mechanism to accept payment. This guide will help you direct some pointed questions at your representative.

After reading this guide, you’ll be able to choose the best payment gateway for your business based on the benefits that directly help you the most.

 Ask About Pricing

One way to tell you’re working with a good company is to ask about pricing structures, which is a fairly common question. Your rep should be able to clearly explain the differences between the different payment structures (flat rate, tiered pricing and interchange).  If the rep doesn’t understand these differences, or doesn’t have a good explanation for why one is better for your business than another, then you should pass.

Ask the Right Questions

Contracts are fairly standard, but it’s best to get month-to-month service so you have the freedom you need as a business owner to choose whichever payment processors work best for you. You should also ask about funding times, which ideally should be no longer than about 48 hours. Other questions to ask include online reporting, setup fees (which shouldn’t exist without software or hardware to incorporate), and any questions you may have regarding Amex.

With mobile wallets catching on, mobile credit card processing might be another concern you’ll have during this process. If you’re planning to accept Google Wallet, Apple Pay or any of the other services that utilize mobile devices, be sure to inquire about fees and implementation for that technology as well.

 

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