Transcript

Payment Depot: Leveling the Playing Field

РАУМЕNT DEPOT: LEVELING THE PAYING FIELD SUPER STORE MOM & POPS SHOP SUPER STORE CREDIT CARD 0000 0000 0000 000 NAME 00/00 The credit card processing industry uses confusing and deceptive pricing tactics so merchants never know how much Visa/Mastercard and the processor are making off of them. The graphic below explains how Payment Depot is "leveling the paying field." UNDERSTANDING CREDIT CARD PROCESSING Credit Card Processing Consists Of Two Components: 9071 3164 02.04.2010 Base Costs 2 Markup Costs The rate directly from Visa/Mastercard (which varies depending on the type of card used) The rate that the bank or processing company makes on top of that 75%-80% The rate that you pay to process a credit card transaction is a combination of base costs and markups called merchant 20%-25% discount. Base costs should account for the largest portion of expense (about 75% - 80%) followed by the markup (about 20% - 25%). Base Costs Markup Costs For example, First Data (the largest credit card processor) pays the same interchange fees and assessments as a small local bank. Base credit card processing fees are made up of interchange and assessments, and they're the same for all processors. No processor can give you a lower rate or a better deal on base costs. Therefore... In order to get the LOWEST RATES, you have to... 883:88883188 SHOP FOR THE 1- LOWEST OVERALL MARKUP Big Box retailers are able to negotiate with banks to get the fees from Visa/Mastercard passed directly to them, CREATING AN UNFAIR ADVANTAGE FOR LARGER COMPANIES. MOM & POPS SHOP MOM POR SUPER STORE SUF FR STORE Small businesses had little to no leverage for markup negotiation, UNTIL NOW... For the first time ever, small businesses can get the same pricing as their big box competition by using Payment Depot. With subscriptions starting at $20 a month, Payment Depot will pass the rate from Visa and Mastercard directly 38-88 to your small business... ALLOWING YOUR SMALL BUSINESSES TO KEEP MORE PROFITS! WHY OTHER PROCESSING SOLUTIONS DON'T WORK AS WELL Other Credit Card Processing Companies Don't Offer The Lowest Overall Markup: Mobile Flat Rate Example Example 1 Square offers 2.75% flat rate on all transactions. A Processing Company offers you a flat 1.69% rate. Since most of their cus- The merchant is told they are getting a great rate, but it actually only applies to a small percentage of their transactions. The fine print says a rewards card or busi- ness credit card costs over tomers are using a debit card for the transaction, the actual fee from Visa/Mastercard averages below 1%, meaning Square is making over 1.75% on each of your transactions! That adds up quickly. 3%, a far cry from the 1.69% that was initially quoted. Annual credit card transaction total $250,000 Annual credit card transaction total $250,000 Square's Profit X 1.75% Processor Markup X 1.69%-3% Total Profit to Square $4,375 Total Fees Paid $4,225-$7,500 DID YOU KNOW? The Durbin Amendment, passed in 2010, was implemented to help lower swipe fees for businesses. PAYMENT DEPOT SAVES SMALL BUSINESSES MONEY Based on a business that processes $20,000 a month in credit card sales with an average transaction of $50 $800 3X More $700 $600 2X More I Mark Up $500 Base Cost $400 $300 $200 $100 $0 Payment Depot Standard Square Square charges a flat 2.75% fee, which means they make a huge profit on the majority of your transactions, which are debit cards that should be only 1%! Processor $20 Monthly Subscription Includes surcharge for rewards cards and other miscellanous fees. $0.25 per transaction It's as simple as that! While Visa/Mastercard do charge different rates for all of the different types of cards, those are the costs of doing business with credit cards and they are the same regardless of who you use to process. CREDIT CARD Your profits should grow, not your credit card fees. With Payment Depot your subscription fee stays the same no matter how much you process. www.paymentdepot.com Sources: http://www.cardfellow.com/blog/credit-card-processing-fees/ | https://www.bestmerchantrates.com/compare/ EA Credit Card 145 3247 S07 %24 %24

Payment Depot: Leveling the Playing Field

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One of the hidden costs of doing business is credit card processing fees: the small percentage that banks and intermediaries skim off each credit card transaction. This infographic explains where thes...

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Payment Depot

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Business
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