Almost every business needs a way to accept credit card payments but the credit card processing fees can take a healthy bite out of profits unless business owners use a little savvy. Choosing a card processor seems like a trivial matter but when it can mean thousands of dollars a year in unnecessary expenses it adds up quickly. There are several ways to save on credit card processing fees that every business should know.


For credit card processing fees to be lower, the first thing to consider are equipment costs, some of them are as much as $800 dollars so businesses should chose ones that offer equipment as part of a package – that alone can help with some of the credit card processing fees business owners pay. Next, is the time factor some credit card processing fees can be saved without having to sacrifice time. Some processors take as many as five days to process payments, businesses should stick with ones that do it faster without adding unnecessary credit card processing fees for it.


Next business owners should consider the credit card processing fees themselves. A good rule of thumb is that around 2% is actually pretty fair but businesses should watch out for hidden costs and some processors credit card processing fees have a schedule that is less than black and white. The best thing to do is carefully examine contracts with processors and make sure every fee is spelled out clearly. Usually third party processors are a better option than using banks but as with everything the onus is on the business to make sure they get the best deal possible. Lastly, business owners should inquire what perks and bonuses might be available. For example some processors charge more for gift card processing with the credit card processing fees sometimes equally another .25 to .50 cents per transaction. Some processors will negotiate these lower if the merchant requests it.


A good policy to follow is for the merchant to be aware of what he or she is signing, what it’s going to cost and if there are any special benefits to working with one company as opposed to another.