Latest Fee Tactic

There are a number of ways that software companies, especially merchant service providers, have dealt unethically with merchants in the past. Merchants have become wiser and watched their systems closer in recent years and this is truly excellent. However, some large entities are not reacting the way they should; as a matter of fact, some actually try to bypass the merchant.

This specific tactic includes adding a small, additional fee to the customer at the time of transaction. Toast Inc., a restaurant-specific POS software solution, has been accused of doing this with a frighteningly high number of complains. What this company will do is add anywhere from 0.50%-5.00% to the final bill but without the merchant knowing. This fee will not show up until the customer begins to run their card but what is horrifying is that the merchant will never see this fee on their end because they don't collect it. The worst part: such a fee may not be disclosed. You can read more about the original article here.

At Merchant Masters, we do not price that way and do not engage in such unethical practices. If, however, you are not yet a client of ours and want to verify this is not happening to you, simply run a test transaction for $5.00-$10.00 and read the receipt carefully; any additional fees will be shown, most likely as a service fee of sorts. If there is an additional fee, you will need to reach out to your point-of-contact to remedy the situation.

In conclusion, it is extremely unethical, perhaps even illegal, for your software/processor to add an additional to you or your customers without proper disclosure. Even if a provider discloses an additional fee to your customers, know that this is not industry-standard and extremely abnormal. If you run into a situation when you are being charged additional fees on a consistent basis, please let us know as we may be able to help guide you. You can get in touch with us by simply replying to this email or by filling a contact form here and scheduling an appointment.

If you have any questions regarding your situation, avoiding unnecessary fees, or something else entirely, simply send us a message and we will be happy to help you find the best solution for you and your business.