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The Top 6 Merchant Services: Square Flagship Merchant Services HelcimPayment Depot Fattmerchant Stripe. You want to look at what the payment processor offers in addition to credit card processing. Do they offer free POS systems, hardware, mobile payments, integrations, etc? Helcim – The Best For Small Business.
Merchant service providers ensure that all these entities work cohesively and make the end-to-end payment process hassle-free through the following steps. Let’s assume the customer’s preferred payment method is a credit card: The customer makes a purchase and presents their credit card to the merchant.
The steps to process a credit card transaction Step 1: Authorization Request The process initiates when a customer presents their credit card for payment. The merchant’s point-of-sale (POS) system sends an authorization request to the acquiring bank (also known as the merchant bank) via a payment gateway. These can add up.
Some popular processors offering interchange plus pricing structures include Payment Depot, Stripe, and Helcim. Flat-rate pricing With this model, the payment processor charges a fixed percentage or flat fee on all transactions. They’re usually charged as a percentage plus a per-transaction rate, such as 3% + $0.10.
Consider the average transaction size and volume your business handles, as some processors are better suited for larger transactions, while others are ideal for high-frequency, low-amount payments. Does your business model include recurring billing? Need to send invoices or only take payments at a point-of-sale?
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