Friday, April 27th, 2018
When you own a small business or you are just starting out, any money you spend really impacts your bottom line. That’s why it is important that when you choose a merchant account provider that you not only look at all of their processing rates and fees but you also look at contract terms. To find the cheapest merchant services UK, you will need to understand your specific needs. The best way to figure it out is to weigh the pros and cons of each provider while remembering that sometimes, the lowest processing rates or fees doesn’t mean the least expensive in the end.
The number of transactions you process each month, where you are located, the type of business you operate, and the average ticket prices of the items you sell are just some of the factors that impact your final cost.
When push comes to shove, flat-rate pricing often is much more cost-effective than variable process rates that many times come with a number of unexpected fees. However, it is imperative that you remember that you get what you pay for. Sometimes, the lowest rates mean you have to deal with subpar customer service and poor software and equipment. Nevertheless, this list compares the four cheapest merchant services UK based on different businesses’ situations.
1. The Cheapest Services With a Short Contract
Payzone offers pricing based on each company’s individual needs and puts a together based on a merchant’s transaction volumes, business type, and the type of services you need.
Monthly fees start at £20 per month with card transaction fees of 0.6% -2.5% plus a flat per-transaction fee. Most importantly, Payzone doesn’t charge any set-up, joining, and exit fees with the shortest contracts in the business, at only 12 months. Also, there is no fee if you cancel your merchant account before the contract expires.
2. The Cheapest for Low-Volume Merchants
If your business is new and you process less than $10,000 in transactions per month, PayPal is a great payment option. Also, it is a good option to keep as a backup form of payment along with a traditional merchant account.
PayPal is payment aggregator service that charges no annual, set-up, or cancellation fee. It offers a standard program at no charge and a “pro” program that costs $30 per month plus transaction costs.
Depending on the type of transaction, you pay rates starting at 2% plus per-transaction charges of between $0.15 and $1. PayPal is completely up front with its costs, so it is easy to calculate how much you can expect to spend.
Nevertheless, as your business grows above $10,000 per month in revenues, it is likely less expensive to use a traditional merchant account.
3. The Cheapest for Standard-Risk Merchants
Web-Merchant Services offers rates for four types of merchant accounts – Standard, High-Risk, Adult, and e-Check. There is no set-up fee for standard accounts for low- and medium-risk businesses. Standard accounts offer daily payouts and a free virtual terminal. Monthly fees for standard accounts is $14, the processing fee is 1.6%, and the transaction fee is $0.28 per transaction. Some merchants can end up with direct or third-party aggregated accounts based on a number of contributing factors, but most often that doesn’t happen with standard accounts.
4. The Best for the Gaming Industry
A specialist in the gaming industry, Secure Trading works with several global acquirers to broker the best merchant accounts for customers. This is a great asset for those who are new to setting up a merchant account. Also, this puts Secure Trading in the best position to negotiate the best rate with the acquirer.
A Final Note
Finding the cheapest merchant services UK is not an easy task. You need to be able to comb through the deceptive language and the hidden costs to find best choice.
Best Payment Providers (BBP) assesses contracts, rates, and fees to ensure that you are getting the best possible deals available. By looking at complaints and deceptive claims, BBP ensures merchant have seamless integrations and that their customers have superior experiences.
Topics discussed in this article:
- cheapest merchant services uk