Most business owners find credit card payment processing confusing, overwhelming, and expensive.
In fact, it has a very bad reputation and it’s considered to be a problem for the business by many. Fortunately, it doesn’t have to be that bad at all. There are ways to create a more positive experience and learning more facts about it will help you a lot. You should always understand your options and what you’re being charged for. By educating yourself you will become more comfortable and confident when it comes to credit card payment processing.
If you would like to get to the bottom of it, please continue reading this article and learn about the process, risks, fees, security, and much more.
Many business owners, especially small business owners, assume that they aren’t big or important enough to attract hackers. Unfortunately, this is not the case. Sure, everybody knows about big security breaches (such as Target’s 2013 cyber-attack) but the fact is it can happen to any company.
Small businesses are often easy targets. A study has shown that 46% of companies had been victims of cyber-attacks at least once. Another research suggests that only 33% of companies had protected themselves properly or had invested in security. Management services at PCI DSS claim that security starts with understanding its weaknesses. When you identify the deficiencies you decrease the risks and ensure that your sensitive data is safe. This refers to financial information, customer data, intellectual property, etc.
Safeguarding your data is essential and the only way to do that is to think about it in advance and be prepared. Many businesses don’t even realize that a data breach has happened until it’s too late. Here are some facts that will show you how damaging cyber-attacks can be:
Make sure you are well-informed, cautious, and prepared. Consult a professional before making a business decision if you need advice. Remember that security is your top priority as a business owner.
If you are new to this topic you would be surprised to know how many parties jump into action when a credit card is swiped. Let’s learn about them and define their roles.
There are several types of fees that can be associated with credit card payment processing. They vary based on your provider and it’s important to learn everything about them to ensure you aren’t overpaying by accident.
Transactional fees are, as the name implies, associated with each transaction you run. They are often set by the credit card company and mandatory in credit card processing. To put it simply, you are paying fees to Visa, Discover, Mastercard, or Amex to maintain your card.
Recurring fees are charged for a number of things and they are a way for providers to make some extra profit. Check out your monthly statement and keep an eye for statement fees, monthly minimum fees, annual fees, batch fees, next-day funding fees, or IRS report fees.
Now you know some basic facts about the credit card payment process and you will continue to learn more. As a business owner, you need to be well-informed and have a good strategy. It’s time to bring your business to the next level!