Payment processing provides your business with authorized credit and debit card transactions, giving shoppers greater convenience when making a purchase. According to the Federal Reserve, more than 80% of Americans have at least one credit card. Therefore, partnering with a credit card processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... could lead to safer and more convenient purchases.
You can add significant value to your business operations through payment processing solutions, regardless of your business type, whether it is for F&B, a boutique, or running a bookshop. However, choosing the right payment processing solution can significantly impact your business profits and requires careful research and planning to quantify the costs.
Reach out to National Merchants Association, a leading advocate in merchantA business that accepts credit cards for goods or services. services, for a guided approach to selecting the most suitable payment processing for your business needs.
The Basics of Payment Processing
Payment processing allows your business to manage frictionless merchantA business that accepts credit cards for goods or services. transactions with customers across multiple channels. For example, you may partner with an aggregator (large-scale payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services....) or work directly with individual (and often specialized) payment processors.
Your payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... may help you set up a merchantA business that accepts credit cards for goods or services. account before proceeding with their services. The merchantA business that accepts credit cards for goods or services. account is an intermediary that connects your business account with your customer’s bank account, enabling secure electronic transactions.
Payment processors charge a recurring bill for their services, including monthly statement fees, flat per-transaction fees, or annual PCI (payment card industry) fees. Therefore, confirming the details with each vendor is essential to avoid unwanted surprises in your payment processing bills.
Payment Aggregators
While aggregators/third-party payment processors such as Stripe, Paypal, Dwolla, and Square may conveniently handle large volumes of transactions, they come with several considerations. For example, payment aggregators may charge high processing fees and have more extended fund holding periods that may affect your business cash flow.
Alternatively, payment processors provide your business with more freedom in transactionAn act between a seller and a cardholder that results in either a paper or an electronic representation of the cardholder’s promise to pay for goods or services received from the act. The action between a cardholder and a merchant that results in financial activity between the merchant and cardholder’s account.... management. However, you should assess and compare the cost, security, customer service support, and each processor’s available credit card options to determine the most suitable fit for your business operations.
Benefits of Payment Processing for Your Business
Payment processors generally help your business to process a sale quickly and securely. As a result, your customers will have the option of making purchases while avoiding the fuss of conventional manual transactions.
Accept Debit and Credit Card Payments
PYMNTS’s survey titled “Digital Economy Payments: How Mobile Is Changing US Consumers’ Shopping And Payment Habits” reports that 37% of consumers use debit cards for their purchases while 32% use credit cards. According to the same report, only 13% of customers prefer cash transactions.
Therefore, payment processing can help your business attract a wider pool of customers who turn to card-based transactions. Payment processing benefits e-commerce and brick-and-mortar stores where you may provide customers with attractive zero-fee credit card processing.
Offer Multiple Payment Options
Aside from accepting credit and debit card transactions, your payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... empowers customers to pay via their preferred method. Mercator Advisory Group’s Buyer PaymentsInsights: Payment Methods-Consistency and Flexibility report showed that 10.3% of consumers prioritize multiple payment options when shopping.
Your payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... can improve your business by supporting flexible payment alternatives, such as virtual terminals and direct payment via digital wallets used by millions of customers worldwide.
Facilitate Payment Scalability
Your business will require new payment solutions as it develops and expands, accommodating increased customer demands and transactionAn act between a seller and a cardholder that results in either a paper or an electronic representation of the cardholder’s promise to pay for goods or services received from the act. The action between a cardholder and a merchant that results in financial activity between the merchant and cardholder’s account.... volume. A reliable payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... offers a complete payments solution that scales with each stage of your business, so you will face minimal downtime when managing your payments.
Additionally, top payment processing companies may offer long-term strategic packages to help your business minimize processing fees while optimizing transactions.
Acquire Valuable Accounting Insights
Modern payment processing solutions enable your business to gain valuable customer purchase trends and insights from various sales channels. In addition, your payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... can help integrate the process into your accounting systems, giving you real-time data on customer payment preferences and the most popular type of discounts.
Additionally, an automated accounting integration prevents any human error from manual data entry, which might affect the accuracy of your metrics and reports. Finally, the detailed information captured and compiled by your payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... can help you refine future business processes by creating winning customer strategies.
Optimize Security
Security should always remain a priority with the convenience of modern payment transactions. Collaborating with a trusted payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... like National Merchants Association will equip your business with flexible security add-ons that will gain the trust and loyalty of your customers.
For example, your payment processing plan includes advanced PCI DSSA set of twelve high level requirements and more than 230 sub-requirements that detail the way in which each objective should be met. This is the guide to avoid security breaches and cardholder compromise. guidance to protect your most valuable customer payment data. Alternatively, your processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... might remotely upgrade the firmware in your card-reading devices to maintain maximum security.
Coping with the Larger Fraud Issue
Malicious fraudsters may often target smaller businesses due to their simple operational structures and limited security resources. Partnering with an established payment processorA large data center that processes credit card transactions and settles funds to merchants. A processor connects to the merchant on behalf of an acquirer via a gateway or POS system to process payments electronically. Processors edit and format messages and switch to bankcard networks. They provide files for clearing and settlement and other value-added services.... provides your company with the tools and features to safeguard your customers and transactions from opportunistic parties.
Payment processors can help you closely watch transactions across multiple channels, including ACHAutomated Clearing House (ACH) is an electronic payment Network that exchanges funds via Electronic Funds Transfer (EFT) throughout the U.S. Over 98% of the nation’s banks including the Federal Reserve belong to the ACH. ACH is the paperless funds transfer system maintained by the Federal Reserve or other entities that have networks to exchange electronic funds transfer items.... transfers, POSThe time and place a sale takes place. Also refers to the devices used to transmit the credit card transaction. activity, and mobile purchases. In addition, your vendor will assess cardholder data to eliminate the risks of fraudulent activity in the complex business environment.
Ultimately, partnering with a reliable vendor provides your business with a comprehensive payment solution that lets you focus more time and effort on other aspects of running your business. From transparent customer data to many payment options, you can significantly expedite transactions and improve your customer’s experiences to keep up with the demands of the modern business landscape.
National Merchants Association – Your Guide to Optimized Payment Processing
At National Merchants Association, We Work For You®. Partnering with National Merchants Association equips your business with the industry leader in payments and the industry experience to help you create the most effective integrated payment systems.
About National Merchants Association
National Merchants Association is a merchantA business that accepts credit cards for goods or services. advocacy group dedicated to reducing the unnecessary fees associated with accepting credit card payments. Since 2004, they have delivered tailored payment processing solutions and best-in-class merchantA business that accepts credit cards for goods or services. service and support for all levels of risk. Whether it’s high-risk or low-risk, brick-and-mortar or e-commerce, National Merchants Association will create the best processing experience for your business. For more information, visit National Merchants Association or call (866) 509-7199.