Most of the information shared by these unsanctioned and unregulated resellers is intentionally misleading and confusing that even basic terminology is used incorrectly. So much so that many very well educated and professional Merchant Services Sales Professionals don't even know that they are misleading their customers.
I know this because the person that hired me used to work for one of these ISOs and she admitted that she had no idea how much she was ripping people off until she started working for a Direct Processor.
For example, there is a local ISO that likes to market himself as a Direct ISO to a large regional bank. “I go directly through the Bank…” he’ll tell his customers. The problem is, the bank is not an acquirer. In other words, the bank is also a reseller.
That is the equivalent of saying I am a food distributor and I get my food “directly from the supermarket.”
The confident arrogance of this independent, unregulated reseller, and thousands just like him is unwavering because he knows that 99.99% of the customers he says that to have no idea that the Bank is not an acquirer. In his sneaky little mind he is telling the truth without saying I am getting my food directly from the supermarket.
Now you have to ask yourself one question – If the bank charges its customers $45 for every NSF and non-customers $1.75 to use the ATM, how much do you think they are making off the ISO, and how much profit is he adding to that?
In my next post I will begin to uncover some of the truths and lies regarding Rates.
For instance, did you know that Visa is less expensive to process than Master Card? If I only had a nickel for every Merchant Services Statement I have seen that charged the same rate for both.
Are you paying the same for MC and Visa?
You deserve to know the truth.
“It’s time you had someone on your side!”
Michael J. Stone, MBA
Payments Consultant
Your local expert on Merchant Services, Payroll Services,
and Remote Deposit Capture, offering free unbiased
recommendations based on your needs.
http://www.michaeljstone.com/
Michael.Stone@e-hps.com
fax-866-477-0387
