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Credit card processing, a bad experience

Posted by Alex Neir on Thu, May 05, 2011 @ 03:06 PM
Credit Card Processing

Credit card processing, a bad experience

Like many things in life, individual experience with credit card processing shapes an opinion of the industry. More often than not, that experience is greatly influenced by the sales representative that was hired to complete the account set up. If your business has had a bad experience with a credit card processing account, the rep was most likely the reason!

Why was the rep the reason for a bad experience?

Within the credit card processing industry the vast majority of companies setting up accounts are referred to as Independent Sales Organizations (ISO), with the actual underwriting and functions of the account being handled by a credit card processor. The relationship between the ISO and the credit card processor is outlined in a contract between the two entities. The contract spells out the agreement and terms for which the ISO is able to sell credit card processing.

Each ISO negotiates their contract with the credit card processor individually to determine the specifics of the service the ISO is able to sell. Things like the commission payout, price, quota, and restrictions are all specific to each ISO’s contract. What this means is that a sales representative for one ISO may be able to waive the monthly minimum fee and annual fee on a credit card processing account while another representative, working for the same processor, can not.  

Another major aspect of a perceived bad experience with credit card processing has to do with the price. Again, it’s important to understand that the price is a function of the contract in place with the processor. The sales representative your business works with has clearly defined pricing established with their processor. In order for the sales representative to make money they must “mark-up” the resale rate offered to your business. Therefore, if you feel like you have been taken advantage of, it is likely that the sales representative you are/were using had poorly negotiated contract pricing, or they are/were greedy. 

Therefore, it is exceedingly important to select am ISO and sales representative that is able to set their own pricing. A good organization will be able to work directly with your business to customize a pricing structure that meets your businesses specific needs.

Another important item for consideration when selecting an ISO and sales representative is how they conduct their business. Your sale representative shouldn’t disappear once the credit card processing account has been approved and set up. Your sales rep should be available to consult your business on best practices, issue resolution, account maintenance and general support. Your credit card processing account should be a health relationship built on trust and responsiveness for as long as the account is active.

The credit card processing account agent you select functions as your ambassador and advocate for the life of your account. Selecting the right one can completely alter your experience and ultimately change your perception of the industry.

As a wholesale ISO, Maxx Merchants has established themselves as a leader in the credit card processing industry with exceptional pricing and the industries best customer service. Allow me the opportunity to set up your account and I guarantee your expectations will be exceeded. Contact me directly at (800)917-8026.

Tags: Merchant Account, Payment Processing, Bad Experience with Credit Card Processing