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What is merchant account processing?
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Merchant account processing is a mouthful, but try not to be too intimidated by what is actually a very simple, easy process. Merchant account processing refers to a special account that is created in order for a business to accept credit card payments. The account is established between a bank and the merchant themselves. The merchant pays transaction fees and monthly service fees, and in exchange can process credit cards from their customers. The money that is debited from a credit card payment is transferred to the merchant's business checking account in a few days, minus the transaction fee. The process from start to finish is less than a minute, and setting up merchant account processing is a straightforward process.
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How does merchant account processing work?
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Once you have your merchant account processing services approved and in place, the next step is to obtain credit card processing equipment for your point-of-sale purchases. A credit card terminal is a simple piece of equipment that reads the info on a swiped credit card, and transfers the transaction details to the issuing bank, which then approves the transaction and transfers the funds to the merchant's bank account. Credit card terminals are relatively inexpensive, and they're very durable. The provider of your merchant account processing services can order equipment for you.
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Where should I go to get merchant account processing?
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There are several ways you can obtain merchant account processing and the equipment you'll need to handle credit cards. First, look to the bank that you keep your business checking account with. They may have some credit card processing solutions for you to consider. If your bank does not have what you are looking for, take your search online! Many providers of merchant account processing have set up informative websites, and some even offer online applications!
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What paperwork will I need to set up merchant account processing?
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Depending on the merchant account provider you have chosen to set up merchant account processing services with, the types of documents you'll need can vary, but in general, expect to be asked for most, if not all, of the following: documentation on your business checking account, a copy of a voided check from your business checking account, your business articles of incorporation and/or license, picture of your store location, your website address, if you want online merchant account processing, copies of your return and exchange policies, trade references, and copies of your most recent tax return, your driver's license, and social security card.
