3 Reasons To Avoid Signing A Merchant Services Contract

As a small business owner, you may be tempted to sign a contract with a credit card processing company in order to “lock-in” your agreement for a scheduled amount of time. However, it’s best to avoid signing a contract with a credit card processing company and here’s why:

1.Termination Fees

As it goes with phone service companies; there is typically a large termination fee should you find yourself unhappy with your merchant services agreement. In result, most small business owners opt to stick it out rather than switch credit card processors, which is exactly what the merchant services company hopes for. Knowing that small business owners aren’t willing to pay the hefty termination fee, these companies are more likely to slack in the customer service department, which can be detrimental to your business should issues arise with your point of sales system or payment terminal.

2. Rate Increases

A credit card processing contract also requires that small business owners spend a lot of time reading the fine print of their contract. For one, there is the possibility that the contract is set to auto-renew, which is the real definition of “locked-in.” Secondly, those rates you think you will be receiving for the next x amount of time, aren’t necessarily set in stone. The fine print may hide the possibility of a rate increase, which then forces you to calculate at what point that cost will be equal or greater to the price of the termination fee.

3. Tricky Wording

We understand that starting a business is a huge investment of time and money and at Cynergy Data Texas, we prefer to be a part of your success, rather than the reason you failed. We don’t use tricky wording in the fine print – because we don’t offer contracts. Nor do we advertise limited time offers. Instead, we give you the best rate upfront and forever. We work incredibly hard for our clients to help ensure that their small business succeeds and that we remain their last credit card processor by choice.

We do our best to help make the switch as simple as possible. No contract, no headaches.
Call us at 800-760-4767 today to get started with us.