Did you know that online retail is expected to grow from nine to 13 percent of all retail sales over the next several years? Several studies estimate that the number of American people shopping online will increase from 137 to 175 million by 2016.
What does this mean for your company? It is important that companies operating online are able to process payments quickly, correctly, and safely. Being able to accept card payments online and offline is no longer an option for most merchants. When you are looking for payment processing companies to work with, there are several things you should know.
1. Credit card processing systems basically come in three different levels. Each processing level provides information to credit companies about the transaction, including a description, the postal code it will ship from, et cetera. Level 3 processing transactions, which are the most detailed, usually involve corporate or government cards. Corporations and government tend to purchase more than the average customer, so it is important to make sure your online credit card processing can accommodate level three transactions.
2. Understand the security, regulation compliance, and rules that the payment processing company operates under before choosing one to handle your merchant accounts. For example, did you know that some processing companies will only accept US credit cards? If you have international clients, make sure to ask about this detail. Also keep in mind that processing companies are supposed to be PCI, or Payment Card Industry, compliant, which helps to ensure that payment processing stays secure for customers. Work with a company that maintains in house PCI compliance.
3. What else should you look for in merchant accounts services? There are many quality processing companies to choose from, so look for the extras they might provide. Do they offer a quick processing service for level two and three payments? Do they specialize in b2b credit card processing? Do they offer recurring billing? Email invoicing? Free set up for their services, or does it come with a fee? How important any of these factors are depends on your individual business needs, but they are worth considering.