Credit card payments are not only limited to paying from physical stores and restaurants as most of the shopping are done online now. For this reason, more and more businesses are looking for a merchant account provider who will provide them the option to let their consumers pay them without using cash.
Choosing a Merchant Provider
Before doing so, you must consider understanding the different parts of an internet credit card procedure and know what factors you should look for.
Three Major Components
• Payment Gateway – This code transfers the customer’s order to an online merchant provider and vice versa. It enables you to accept the consumer’s billing information followed by the necessary steps prior to the credit card to be billed.
• Internet Merchant Account – It is an account with a bank which allows you to accept credit card payments from consumers. The payment gateway transfers the billing information going to the internet merchant account.
• Website – This should incorporate with your service providers, regardless of the merchant provider and gateway service that you have selected.
Cost of the Merchant Provider
Basically, each merchant providers cost differently but it usually has three types of costs:
• Up Front Application Fee
• Fixed transaction
• On Going Fix Rate
• Termination Fees
• Miscellaneous Fees
These are just some of the fees that will cost you once you have your merchant account. Therefore, you must understand which internet merchant account will provide you with most reasonable fees. Planning is one of the best things to do prior to applying so that you can save money.