Oftentimes business owners don’t realize they are unhappy with their merchant services providers until they’re already bound to them by a contract. In fact, many merchants probably don’t even bother to do any research on different merchant service providers because they sign up with their bank as part of a package without considering other options.
If you’ve skipped this critical step when choosing a merchant services provider, you don’t need to panic because there is a way to cancel your merchant account so you can have the freedom to switch to a better, more cost-effective option.
Read over every word
Not every account is the same, so it’s important to look over the agreement you have with your provider. It will provide you with the information you need that will detail exactly how to cancel your merchant account as quickly as possible with the least penalties. A less expensive merchant services contract might end up saving you in excess of what a termination fee costs you.
Such details that are typically included in the agreement indicate:
- How many days in advance you must notify your merchant service provider that you are switching accountsIf there is a termination fee and how much it is
- When you would be eligible to cancel on account (i.e. you have a three-year contract with them and it’s only been 18 months)
- If there is an early termination provision that allows you to get out of your account sooner
- Any required information you must provide to them when you inform them of your efforts to end the relationship (i.e. why you are unhappy with their services)
The information in your merchant services contract isn’t just vital to determining how to cancel your merchant account so you don’t suffer any legal penalties in the process, but also significant in terms of pinpointing ways in which your provider might have violated any of the terms and conditions set for them as well.
If you can detect any wrongdoings made by your current provider, you may be able to cancel sooner and without termination fees.
Even if you see evidence of an early termination fee, however, you might still be able to get out.
First, many early termination fees are pre-determined dollar amounts. If your new provider is offering you enough savings, it might make fiscal sense to incur the early termination fee and start realizing your savings right away.
Second, many merchant services providers are hungry enough for your business to reimburse you for all or part of your early termination fee. It can’t hurt to ask!
Freedom at last!
Once you are able to get out of your merchant account, make sure that you don’t make the same mistake twice and sign up with another provider that charges you too many credit card processing fees and doesn't offer exceptional merchant services.
Research, ask questions, and read over your contract carefully.
Remember that the best merchant services company in New York not only services various types of businesses from all over, but is still able to connect with every client and maintain positive relationships with them through first-rate prices and high-quality customer service.