Whether you are a business owner receiving payment or a consumer offering it, you likely know that payment processing is serious business. With important information like credit card and bank account numbers at stake, you want to be sure that your payment processing system is easy to use, secure and efficient.
As you begin to plan how payment processing will figure into your business, it is important to stay up-to-date and informed on the important facts of payment processing in order to make the best choice for your organization.
Below, you will find 20 myths about credit card processing set straight so you can feel confident taking your business to the next level.
1.) The fees are too high
Fact: The cost of a payment processor can actually be significantly lower than the cost of leasing a traditional wireless terminal, plus include no additional setup costs.
2.) 100% of fees goes to the payment processor
Fact: Fees from payment processors are typically charged to cover their own fees which come directly from the credit card companies, meaning that most payment processors are not looking to overcharge you- just keep their operation going so they continue to help yours.
3.) I don’t need it- I’m doing fine as a ‘cash only’ business
Fact: A recent study found that 69% of young consumers will only shop at businesses that accept multiple forms of payment, and- given that these young shoppers are the big spenders of tomorrow- it is predicted that cash POS services are expected to drop to 23% by 2017. Your cash only business may be doing fine now, but times are quickly changing- as are the expectations of consumers.
4.) All payment processors are the same
Fact: There are a lot of things to consider when you look for a credit card processing system- depending on the provider, there are different fees, services, and opportunities for integration. Don’t make assumptions when choosing a provider to work with: make sure to research your options and find one that works within the needs of your business.
5.) I don’t need a new system- I already have a POS!
Fact: It’s wonderful if you have a POS that is working for you, but payment processing systems like Pensmore which offer bookkeeping integration and mobile processing can add tremendous flexibility and efficiency to your business.
6.) Credit Card information is stored on devices after a transaction
Fact: Payment processing services take your and your customers’ safety very seriously- payment information is kept on the server, but never on the device itself, meaning that the loss or theft of any devices with the software won’t create additional problems by putting personal information at risk.
7.) Setup and integration will be too complicated
Fact: There will always be an adjustment to make when you make a change, but typically processing systems involve a simple download and sign up that makes the transition efficient and easy to understand.
8.) I’m not tech savvy- I will be out of luck if there are any problems
Fact: The best part of using a payment processing service is that it comes with help built in- you’ll never need to troubleshoot yourself with 24/7 access to online support.
9.) There is an increased risk of fraud
Fact: Payment processing service providers understand that this is a tremendous concern, and as a result have developed incredibly advanced encryption software specifically to keep users safe.
10.) It’s too difficult to switch credit card providers
Fact: As mentioned above, the download is simple and painless, and the brief transitional and educational period is worth your time if your current provider is costing you more time and money than switching will.
It is clear that switching or adopting a payment processing service that fits your business’ needs can save you time, money, and keep your business growing and relevant for the changing times.
Stay Tuned! In Part Two, you will learn more about common misconceptions regarding credit card processing, including the benefits for non-profit organizations and specific features that may make Pensmore’s services ideal for your business’ needs. For further information, be sure to contact us.