Getting Zero-Cost High Risk Payment Processing With Providers like

Businesses have the primary objective of increasing their profit margins by reducing their costs. While it might sound easy, it is not that simple. Things are easier said than done, particularly in the realm of small online businesses. Nevertheless, it should not stop you from finding ways to increase your profit margin. 

And the best way that this article will tell you about is the incorporation of zero-cost credit card processing. It ensures that you don’t have to pay the surcharge fees for each transaction. Let’s find out what zero-cost credit card processing is all about and how you can benefit from it in this article. 

What is Zero-Cost Credit Card Processing? 

Before going to the part where you can benefit from zero-cost credit card processing, we need to understand what it is. The zero-cost credit card processing saves you from paying the fees for every credit card transaction. This can also include the surcharge fees that your business has to pay. 

All merchants or SMEs (small and medium enterprises) would have to pay transaction fees of up to 3.5%. So, if your customer pays you $200, then the $7 would go towards the processing fees. The rest of the $193 is what will get from that particular transaction. 

While this might sound like a nominal amount, it can quickly add up if all or most of your transactions are through the card processors. Nevertheless, you can use a credit card processor, such as that can implement a surcharge program. As a result, you can benefit from zero-cost credit card processing. 

How to Benefit from the Surcharge Program? 

The processing fees have to be paid. When you accept payments through credit cards, the processing fees would become due. But the real question is who would have to pay that fee? Usually, it is the small business owner or the merchant who has to bear this cost of doing business. 

However, another option that is available for you is to enroll in the surcharge program that the various service providers offer. You can find a reliable high risk payment processing provider, such as, who would allow you to pay the cost to the customers for the processing fees when they pay via credit cards. 

Surcharge programs provide the customers with an alternative. They can proceed to pay through their credit card but would have to pay the surcharge fees. But if they want to avoid that issue, then they can consider going for cash or debit cards. Doing so will allow you to reap the following benefits: 

  • Works with various card brands, such as MasterCard, Visa, American Express, etc. 
  • Saves you from paying any credit card processing fees 
  • Operate seamlessly with online payments or POS (point-of-sale) transactions at a physical store
  • Enhances your capabilities to know about the cash inflows 
  • Enables you to keep all the money that the customers pay through their cards
  • Complies with most of the state’s laws 

Important Things to Keep in Mind for Surcharge Programs 

Before you can proceed with the surcharge program, it is important that you keep the following things in mind. 

  • Surcharges should cover the processing costs – Simply put, the surcharges that you have to take from customers aren’t making profits. Instead, they should cover what you have to bear. So, if you have a surcharge rate of 3.5%, then you should only charge to the customers. 
  • Process the fee and the cost of purchase simultaneously – An important thing to note is that the surcharge should be charged at the same time as the purchase. Also, it should be in a separate line item so the customer can be aware of it. 
  • No surcharge fees for transactions through cash or debit card – The zero-cost credit card processing with providers is specifically for credit transactions. Therefore, there won’t be any surcharge that you have to pay on debit cards or cash transactions. The processing fees for the debit cards are relatively lower. Therefore, the merchant would have to bear it. 
  • Your customers need to know about the surcharge – Last but not least, your customers should be completely aware of the surcharge program. This means that they should know about the extra charge if they choose to pay through their credit cards. Most card-processing service providers would include a label on your website or the POS. 

Final Words 

If you partner with a credit card payment processor, then you would have to lose around 3.5% for every transaction. Nevertheless, that is something you can avoid by getting into a surcharge program. 

It would ensure that you get all the money you receive from the customers directly into your account. In that manner, it would allow you to enjoy optimal growth for your business in the long run.