Improve Credit Card Processing Rates for Waste Management Firms
The price of purchase processing fees for a waste management firm can be very high, as customer orders are typically larger in terms of both volume and cost. This is because waste management firms generally only take on big projects which require them to maintain a region or area. Credit card processing rates are often very excessive, but fortunately, there are a variety of ways to reduce the fee down to 3% or 4% to 2% or less.
To help reduce your credit card processing rate for your waste management firm, you can work with great advisors to guide you. Contact Interchange Pros now.
How to Reduce Credit Card Processing Fees
Not a lot of organizations realize that they don’t have to be stuck with their processing fee rate. There are options available that can help them reduce credit card processing fees to keep customer costs low.
Special Utility Rate
When working with a credit card processing company, it is possible to receive low interchange rates. These special rates are only tailored to waste management services and utility companies. The utility interchange rates can reduce credit card processing fees by 70%. For this to happen, the utility interchange rate has to have an official utility merchant account. Any company that applies for a utility merchant account must be registered with a Visa that has a Merchant Verification Value (MVV) and classified with an operational MCC code. The Merchant account provider is the one who will set up this account.
How Do Utility Interchange Rates Work?
The main benefit of a utility merchant account is that you don’t pay a percentage discount rate on credit card payments. There is a flat transaction fee with a discount rate that can be anywhere between 1.0% to 2.5%. This is in addition to a transaction fee.
Negotiate With Your Credit Card Processing Company
To discuss a lower transaction fee with your credit card processing company you first have to start with identifying your particular business needs. Providing information on the types of transactions you procure each day and the credit card processing volume you have will help you negotiate a better rate. You’ll know what type of service you need and how it can best fit the type of transactions you process. Don’t settle for a promise for the renegotiation and review of your rates at a later date. Make sure you get a lower transaction rate upfront without higher monthly fees.
Lower Risk of Credit Card Fraud
When you reduce the risk of fraud and the likelihood that your customers won’t pay you, you will be able to lower your processing rates. Having an Address Verification Service (AVS) helps with this goal. Verifying the address of every customer you have will aid in preventing fraud. When you take action to avoid fraud, credit card processing companies will favor lower rates. This is because you are reducing their risk of financial loss with every transaction.
A lot of companies miss the critical step of properly setting up their account. Making small mistakes can lead to higher credit card processing rates. Double-checking and making sure you only have accurate business information and a flawless terminal setup from the start will avoid this issue.
Lower Non-Processing Fee Charges
There are other costs that come with accepting payments. These include monthly minimum processing fees and annual account maintenance fees. You can also negotiate these terms with your credit card processing company. They are separate from the payment processing fees, which means that if you aren’t sure what the fees are for, you can ask your credit card processing company to elaborate on why they’re there.
If you perform most of your transactions online, you can also appeal to credit card processing companies. This can also save hours of labor due to the fact that the virtual processing performs a majority of the work instead of manual transactions. The integrated software manages all of the finer details, as a person only has to input their information and let the platform do the rest. Processing all your transactions within 24 hour periods will also make your business structure more consistent and dependable. This appeals to credit card processors who can negotiate a lower rate.
Automatic payment can reduce charges, as recurring billing provides another opportunity to negotiate. When you request automated payments on a monthly basis, this helps to reduce security risks and create consistent and reliable credit card payments. This improves your company’s efficiency while meeting your customer demands. There is less labor, and there will be greater confidence in transactions. Credit card processing companies will view this favorably.
Learn More About Reducing Rates
If you want to learn more information about reducing rates, you can work with a professional. Contact Interchange Pros today.