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Merchant Underwriting: What It Is, How It Works, and Why It’s Important

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Merchant account underwriting is the evaluation process payment processors use to assess whether a business meets the criteria for accepting credit card payments. This step helps payment facilitators determine the overall risk profile of the merchant. Learn More What is Merchant Account Underwriting?

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Payment Gateway vs Payment Processor: What You Need to Know

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Payment Gateway Payment Processor Primary Function Secures and transmits card data between the customer and the processor Facilitates the actual movement of funds between the customer’s and merchant’s banks Used For Online or card-not-present (CNP) transactions (e.g. swiping a card at a brick-and-mortar store).

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The Ultimate Guide to Accepting Credit Card Payments

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The process begins from the moment the customer makes a card payment to the point when the transaction is authorized and settled. How Do Businesses Accept Credit Cards? Some businesses choose a traditional payment solution to accept credit card payments, while others go with an integrated payment platform.

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The Price of Convenience: Is There Such a Thing as Free Credit Card Processing?

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All of these steps are made easy by a surcharge-compliant credit card processor like CardX by Stax. The benefits of surcharging include cost recovery, competitive pricing, financial flexibility, and payment method diversification. Communicate: Clearly disclose the surcharge amount to customers before they make a purchase.

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Everything You Need to Know About Credit Card Processing

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They are also responsible for maintaining and improving their respective card networks. They hold the merchant’s funds and acquire the money from a sale. In this context, they accept the funds from the sale once a card is authorized and deposit them into the business’ bank account. Step 3: The card is authorized.

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What Is Tiered Pricing in Credit Card Processing?

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Accepting credit card payments at your business is a surefire way of increasing customer satisfaction and retention. Over 80% of American adults owned at least one credit card in 2023. Also, credit cards contributed to 27% of the spending at point-of-sale (POS) systems worldwide.

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What Is an ISO? Everything You Should Know about Independent Sales Organizations

Stax

One option you may have come across—but might not fully understand—is the Independent Sales Organization, or ISO. While they often operate behind the scenes, ISOs play a crucial role in how businesses accept and process card payments. Contact sales What is an Independent Sales Organization?