Many companies advertise a free credit card terminal for their clients. The reality is that most of these terminals are not free when you factor in all the costs. Here are the charges to look for when you decide to use a “FREE CREDIT CARD TERMINAL PROGRAM“:
- Annual Fee: Most merchant services companies charge an annual fee. Many charge multiple annual fees. What you need to watch for is an exorbitant annual maintenance fee. These can run anywhere from $99 all the way up to $150. If the company is going to charge you that much money every year to use their terminal why not just buy it outright?
- Monthly Maintenance Fees: This is just another way of getting you the merchant to cover the cost of the credit card terminal over time. Again – you may not be paying for the terminal up front but if you have to pay a monthly fee (in addition to the regular monthly fee associated with having a merchant account) then why even bother to use the terminal. Over time you will end up paying more than you would have buying the terminal outright. These fees typically range from $20 to $25 a month.
- Higher Credit Card Processing Fees: This is another way of getting you to cover the cost of “free credit card equipment“. The company offers you the terminal at no cost but they bump up your rates. They can be pretty sneaky about how they go about it. You may be sold on one rate, 1.59% for example, when in reality you are going to pay more in mid and non-qualified rates. (Your best bet is to be on an interchange plus pricing system which eliminates any mid and non-qualified rates). Companies also sign you up with an introductory rate and then increase your fees every six months. If you are locked into a contract with them then you are only out is paying an early termination fee.
MRI Payment Solutions does not endorse this type of free terminal program. We never charge an Annual Fee, never charge Extra Monthly Fees, we guarantee the lowest price for life and can offer month to month contracts so you are never locked in.Get your FREE Quote »