What Is A Merchant Account

Merchant accounts provide businesses with the ability to accept credit card and debit cards for purchases.

Merchant Account Includes:

Processing Services: To set up a merchant account a business owner must apply through a merchant service provider (MSP) such as CCPG. Approval of a merchant account depends on factors which include:

Applicant Credit Score
Business Type
Card Acceptance Method
Monthly Volume & Average Sales Ticket
Business’ Financial Status & Bank Account Type
Business Longevity
Return and Refund Policies

Processing Rates & Fees: There are different fees associated with having a merchant account. These fees can vary depending on the type and company providing the service:

Discount Rates: With a merchant service providers every processed sale is classified into a different qualification level such as, (Qualified, Mid-Qualified, and Non-Qualified), and is charged a discounted percentage rate associated with that qualification. The sale level and rate is determined by the type of card used, and how it is accepted and processed.

Transaction or Authorization Fee: This fee is charged for each electronic authorization request and transaction made which includes all approved sales, declined sales, returns, voids, and batch settlements.

Processing Capability Systems: Processing equipment or software is required to process credit card payments. This equipment and software is needed to make authorization requests and close sales. Depending on your business needs, equipment options include:

Terminals: Wireless, Contactless, Stand-Alone and Terminal/Printer Combination units
PC Software: Stand-alone or integrated into other business systems
Internet Gateway Solutions: Virtual Terminal or eCommerce versions