Business Class Discount Tickets - Merchant Services Cost Sheet

The same is true, if you have a web based business and depending on the program you use. When you swipe your customer's charge card your credit card terminal reads the type of card and charges your merchant account the proper rate. Visa merchants and MasterCard merchants are either blessed or cursed with rate adjustments, every spring and possibly in the fall. Why haven't you heard about a merchant services cost sheet?

If you did not scan a card in that category you would not have noticed a change. If you scanned a charge card in that category a lower rate should have been charged to your business. In 2008 there were a few rates that actually declined. You could be wondering at this point why your merchant services statement hasn't reflected the ups and downs of the market.

10 per scanned transaction. The cost per transaction for both companies is $. The actual cost of a customer standing at the terminal scanning their card is 1.54% for Visa and 1.58% for MasterCard. 19 per scanned transaction. I am looking at an ad that promises a rate as low as 1.64% with a transaction fee of $. These ways are all based on the merchant services cost sheet and possibly the way extra fees are assessed your account. Let us now discuss the different ways you the Visa merchant or MasterCard merchant can be billed.

You must look at the contract before you sign. You are dead wrong, if you are thinking just because the ad reads 1.54% or as low as 1.54% this is what all of your card scans are going to be, no. What is that rate going to be? You will have to enter the information manually. What if your customer's card has a scratch over the magnetic strip and won't scan at all. What is the rate going to be, if one of your customers wants to use a MasterCard World card? What rate is that going to be, if one of your customers wants to use a Visa Rewards card? This ad doesn't tell you very much.

You can then take the merchant services cost sheet and compare in plain easier to read language what you are being charged. This percentage is negotiated between you and your processor. The percentage the processor charges will be on your contract. And you request a detailed merchant services statement showing all fees and rates you can be assured of a much simpler statement, if your contract says you pay Visa/MasterCard Rate cost plus a percentage in all categories . Visa and MasterCard have a Merchant Services Cost Sheet that spells it all out. The small print will tell you in legalese that the rates will be determined by the processor. The way the charge card business works with Visa merchants and MasterCard merchants is very different than with the consumer.

Be assured there are hidden rates and or fees that you will never see, or MidQualified on your statement, nonQualified, if you see Qualified. Many processors will add fees to increase the areas in which they are loosing money or not enough profit for their bottom line, also. Over 90% of the processors will not give Visa Merchants or MasterCard Merchants a chance to negotiate their rate or fees and will hide the rates for all cards that are not card present, however.

Buyer Beware

Ray regards,