There are so many reasons to check your credit card processing statements and no reasons not to. Yes they are hard to read but not impossible and I can’t emphasize enough the need to check these statement and understand them. If you can’t do it yourself contact an expert to check and confirm your rates. Here are some reasons for past experience:
- Normally it is difficult to compare contract rates and charged rates because many businesses don’t have a copy of their original contract and don’t keep increase notices. However, recently I found two that I could and to my surprise they were being charged more in both cases than the contract called for. I have been able to get a refund for the fist and am awaiting an answer for the second.
- Most Processors include notices of fee changes in their statements. When receive such notices you have the right to cancel your contract without penalty good opportunity to negotiate a rate decrease or make a change.
- Analyze your fees and understand them look at notices and calculate the cost of new fees and fee increases. One Processor added a new fee to many merchants last year of 1.14% of every credit card sale? That is huge considering most of our clients are paying between 1.80% and 1.90% total for credit card transactions including interchange, markup, brand fees and fixed costs.
- If you have employees and/or multiple outlets look for signs of problems. High refund % or numerous card not present refunds.
This is just a sample of the information on your monthly statements there is more. Below is our rating of credit card statement. This is based upon the most common format used by each Acquirer they have a number of formats available.
- Chase Paymentech: One of the better statements, shows all fees and the applicable sales while also showing the rates for each.
- Elavon: Most of our experience with Elavon is with the Cost Plus statement which is good showing all fees and the applicable sales while also showing the rates for each.
- First Data: The worst statement in use fees are shown without the corresponding sales they apply to or the rates. Very difficult to audit.
- Global Payments: Not bad but fees and sales are shown together but some do not show the rates you have to calculate them. Some lines also have 2 fees on the same line, percentage and per item.
- Moneris: Difficult to audit some fees and applicable sales with rates are shown but not all. The new pricing system is confusing
- TD Merchant Services: Not bad shows all fees and the applicable sales while also showing the rates for each.