Credit Card Processing Scams

With the increased use of credit cards as a means of payment, many small businesses are investing in credit card processing. While this is a great decision, it is important to do adequate research and comparison shop when choosing a processing provider.

There are scams being pulled on small businesses by company sales representative. The salesman claims he can save the business lots of money if a long-term contract is signed. The contract is then closed as a “no-cancel” deal, ensuring that the business cannot leave the contract. As expected, the business will pay a setup, startup, and deposit fee.

If you are able to get out of the contract (after a nice fee), you will not get your money back.  In addition, these are legal contracts, but they should be avoided.