Credit Card Processing: Flat-Rate Pricing
Credit card processing industries have different billing platforms. Of the many platforms, flat-rate pricing is simple and easy to comprehend. When merchants make use of the true and right flat-rate pricing, they’re subsequently charged a single rate despite the type or size of transaction for their debit, credit, rewards card and corporate transaction volume.
You may find that some service providers veil the pricing option as a flat-rate. However, merchants are usually surprised to see, on their respective merchant statement, a list of incomprehensible fees. In the actual flat-rate pricing, merchants are charged only a determined percentage of the processed volume. They may be charged a minimal fee for the transactions made or a consistent monthly fee.
The benefit of the flat-pricing to you and your company depends on what the flat-rate covers and doesn’t cover. For instance: Is the rate lower or equal to personal fees and the processor’s profits it’s designed to cover? Therefore, an analysis of the costs is needed to determine whether the flat-rate pricing will be an effective billing platform structure.
How to identify the most appropriate billing platform for businesses
Providers can gain more information on your number of card transactions and sales within a month by reviewing your credit card processing statement. This will, therefore, aid in determining whether the flat-rate pricing is convenient for you or if pricing on other platforms like tiered pricing is more effective on cost.
Additionally, a trustworthy provider has the capacity to identify hidden fees, if any, on an individual’s credit card processing statement that are inherently incurring you more costs than necessary.
Consider calculating the effective rate if are having second thoughts on how much you are paying for the merchant services you’re receiving. For a free analysis of your statement, call us at: 888-498-1456 or contact us for more information.