Merchant services are a service that allows merchants to accept electronic payments. The process involves gathering transaction data, providing authorization and collecting funds from the issuing bank and sending payment to the merchant.
Although it is automatically associated with credit and debit cards, there are other payment methods processed by merchant services.
1. Gift Cards – This method of payment is quickly becoming popular as more and more people choose to give these to friends and family. Payments for these cards have already been collected, and these can only be used at the specific merchant it was bought from. There is no need to worry about fraud, and it does encourage higher sales. Consumers with gift cards often end up purchasing more than what the card is worth. Merchant services allow businesses to be able to process these types of transactions.
2. ACH or Automatic Clearing House – Most merchants opt not to accept check payments because of the high occurrences of fraud and the long process it takes to collect funds. However, with merchant services, check clearing becomes more manageable as it too is processed electronically. Just like plastic, checks are run through machines that automatically verify different elements on the check to reduce the risks of fraud. First Data Merchant Services is one of the providers that can offer this service.
Merchant services also allow checking accounts to be used without the need to write a physical check, thus making the process more efficient for both the merchant and the customer.
3. EBT or Electronic Benefits Transfer – This is more commonly known as food stamps. The only difference is that the EBT can be used to purchase nonfood items. Funds are loaded onto the accounts and consumers can use it at merchants that can process electronic payments the same way credit or debit cards are used.
With a lot of competition in the restaurant industry, providing your diners with different ways to settle the bill can be a huge advantage. This is one of the many reasons why your business needs merchant services. But to be able to take advantage of this service, you will need to have a merchant account.
A merchant account is where the funds collected from the accounts of consumers who used electronic payments will be transferred to. This is one of the basic requirements of merchant services.
To learn more about Merchant Services or to set up a Merchant Account, visit our homepage https://www.thesafeharborgroup.com/merchant-services or speak to one of our account specialists please call 1-(844) 631-8373 or email email@example.com