A merchant services account is a type of business account. It helps companies accept and process electronic payments. This is especially useful for companies that want to offer flexible payment options to customers.
The merchant services account allows the company to accept various types of payments. This is convenient, keep your customer using both credit cards, debit cards, and mobile payments. With Chase merchant services, you can work with Visa, Mastercard, American Express, Discover, Apple Pay, Google Play and Samsung Pay.
For online businesses, chase merchant services offer e-commerce solutions that integrate with shopping carts, making it easier for customers to pay online.
POS systems or terminals for companies that accept offline payments are usually attached to the account. Chase offers round-the-clock customer support to resolve payment issues, technical issues and other requests. You can also set up access to the payment gateway. It protects the data during the transaction. And if you want to know more about how payment gateways work, we have written an article about it!
Trading service accounts often include tools to detect fraud and ensure compliance with security standards, such as PCI DSS.
If it's important for you to have transaction reporting and analytics, then a merchant services account allows companies to track payment history, sales trends, and customer behavior.
How does a merchant account work?
Let's simulate the situation. The customer pays for your product/service with a credit or debit card. This transaction goes through the merchant's POS system or payment gateway, and is then processed by the merchant service provider. Next, the service provider contacts the customer's bank to authorize the transaction.
As soon as the bank confirms that there are funds in the client's account for payment, the transaction is approved. The funds are transferred to the company's bank account within one to two business days.
Why do you need a merchant account for online payments?
Trading service accounts are a popular solution for different companies. And all because they:
accept a wide range of payment methods;
securely process transactions;
companies get access to fast and reliable payment processing;
entrepreneurs use transaction information to develop and optimize their business.
Companies such as Square, PayPal, Chase Merchant Services and Stripe are common suppliers. They serve everyone from small startups to large enterprises. And if you want to learn more about such companies, you can explore payment providers on our website.
By the way, you can become a partner.
Another important point to consider is payments and commissions. These fees are important to consider because they will affect your business expenses and cash flow.
1. Transaction fees
These fees are usually calculated as a percentage of the total sale amount and are often supplemented by a small fixed-rate commission. For example, you can pay 2.9% of the transaction amount plus an additional $0.30 per transaction.
2. Monthly fee
It covers the cost of account maintenance and access to additional services. However, some vendors may opt out if your company meets a minimum transaction threshold, such as a certain monthly sales volume. This can be beneficial for large companies.
3. Equipment fee
It’s for payment for POS systems and terminals, their maintenance and modernization.
4. Chargeback fee
When a chargeback is initiated, the payment system typically charges a commission from the seller.
There is also a fee for early termination of the contract, a fee for international transactions, and for compliance with PCI requirements.
How to set up a merchant account?
To open an account with chase merchant services, an enterprise must submit an application, provide information about the type and scope of its business, and agree to the terms regarding fees and services. An identity card and a business card may be required for verification at Chase.
Overall, chase merchant services provides businesses with a reliable transaction management solution that guarantees smooth and secure payment acceptance.
