Taking the RISK out of Credit Card Acceptance
Accepting credit cards can be an amazing tool and a double-edged sword! Amazing because consumers who use credit cards, spend more money, more often than their cash paying counterparts. Sword-like because the various risk issues associated with card acceptance can cause business owners unwelcome stress. Let’s look at a few of the ways we can minimize our exposure to the risks related to card acceptance. Proper Account Underwriting/SetUp/Maintenance One of the easiest ways to prevent stress and risk is to make sure the provider you are using has underwritten your account properly. Because credit card transactions are NOT CASH, a merchant account is approved for certain ticket sizes, monthly & annual volumes. Another critical underwriting parameter is the amount of time a business owner is permitted to charge