LTD LLC

Merchant Accounts

Merchant accounts are used to accept credit and debit card payments. When setting up your business, it is important to pay attention to the offers available to you, so you can make sure you get the best deal for your business.

Retail Merchant Accounts:

If you sell products or services online, without a physical store location, then an Internet merchant account is the right choice for you. These are special accounts designed specifically for taking payments online. The customer is able to enter his or her own credit card information into the system via an encrypted page, rather than releasing the information over the phone or via mail order. Because service providers don’t make money on terminal equipment, transaction fees are typically higher.

Mobile Merchant Accounts:

If your business is on the go, because you’re going to industry shows or driving a food truck, then a wireless mobile merchant account is the right choice for you. This allows you to accept credit card payments using your mobile device. Mobile merchant accounts are similar to the Internet accounts in terms of ease to setup*. The card reader is typically very low-cost, because it does not have to remain in one place, and integrates with a smartphone. The transaction fees and processing rates are a bit higher than traditional accounts because sales volume is typically much lower on a mobile merchant account than a retail account.

Telephone Merchant Accounts:

If your business is online, retail, or mobile, and you want to be able to accept payments over the phone, then a telephone account is the right choice for you. Some of the other merchant accounts may offer this as an additional feature built-in to your account, or may offer it for a small additional fee. This is the best option for companies who advertise or do business through infomercials, or through the shop at home networks. The customer’s payment information is entered into a keypad on a terminal, or into software on the company computer system.

Mail Order Merchant Accounts:

This allows you to accept credit cards on mail orders. This is the best choice for companies who do most of their sales through catalog. As with the telephone account, the order is generally taken by entering the customer’s credit card information into a keypad on a processing terminal, or through entering the information into software on the company’s computer system. In addition to less expensive equipment compared to a retail account, the processing fees are typically discounted, though individual transaction rates are higher.

Telephone and mail order accounts may be combined, depending on provider. They may be available independently of a traditional retail account, or as additional features available for an additional fee in conjunction with a retail account for establishments with physical brick-and-mortar locations, mail-in catalogs, and a telephone order line.