Choosing a Payment Processor
Before you choose which payment processor is right for you, it is important to know that there are some less than honest providers of this service. Many small business owners – both new and seasoned - have called CFIB to help them deal with high-pressure sales tactics, contracts that contain hidden fees and terms, and other bad behaviour. You can avoid finding yourself in a situation that costs a lot more than you bargained for by keeping your ear out for these statements:
- We work for the banks to provide a (insert number here) discount on fees.
- We are working on behalf of (Visa, MC, CFIB, Chase, etc.) to save you money/ lower your credit card costs.
If you hear these statements or something similar, you must do your research to find out if the company is offering a legitimate, fair and transparent service contract. You need to:
- Look for the total cost of contract. Until you know the total cost of contract, don’t sign anything!
- Ask for, and then carefully review the rates within the terms and conditions.
- Search out hidden fees and exit penalties.
- Ask if the company can give you a signed Code of Conduct, which was introduced by the Canadian government, with the help of CFIB, to combat unfairness and shady practices in the credit card processing industry.
Keep in mind that because you are a CFIB member, we have done a lot of the homework for you. Not only are we here to answer any questions you may have, we have also created a partnership with Chase Paymentech to ensure our members get the best rates – rates that are usually reserved only for the big players. For any questions regarding your choice of payment processor, you can contact CFIB’s Business Resources counsellors.