Cash Register Comparison: Merchant Resources Reveals Hidden Costs and Pricing Differences

Strategic Insights -

Merchant Resources, a merchant account and credit card processing service provider, conducted an in-depth comparison of several prominent credit card merchant services, including Intuit Quickbooks, Costco Merchant Services, Square Reader, Wells Fargo Merchant Services, and Bank of America Merchant Services. The analysis aimed to uncover the varying fees, rates, and contract terms associated with each service.

Key Takeaways:

  • Intuit Quickbooks Payments has a swipe rate of 2.4% and a non-swipe rate/reward card rate of 3.4%, with an additional 25-cent fee. The software costs $10 a month, and they do not sell terminals.
  • Costco's base retail Visa/MC rate is 1.38%, while rewards cards Visa/MC rate is 1.99%, and business cards Visa/MC rate is 2.65%. Terminal lease is $30 a month for two years or $489 terminal purchase, requiring an executive membership ($110 a year). Costco's rates are not as impressive as initially thought, and they charge a proprietary terminal fee.
  • Square Reader has a base retail Visa/MC rate of 2.75% and a key-entered rate of 3.5%. However, they have no monthly fees, making them a good option for seasonal merchants.
  • Wells Fargo has a base retail Visa/MC rate of 2.2% and a mid-qualified rate of 3.1%, with a $35 lease terminal fee for 48 months or a $699 terminal purchase. They charge a $75 yearly fee and a $95 setup fee, with no contract until you provide personal information.
  • Bank of America has a base retail Visa/MC rate of 1.69%, a mid-qualified rate of 3.19%, and an over 4.35% non-qualified rate. They rent terminals for $28.95 per month or can be purchased for $599, with no contract until you provide personal information.
  • Merchant Resources offers competitive rates, including 1.25% for debit/credit cards with no pin and 1.65% for base Visa and MasterCard, Discover. They have no monthly fees and provide a free terminal, cellular phone swiper, or POS for restaurants.

Statistics:

  • Intuit Quickbooks Payments: swipe rate 2.4%, non-swipe rate 3.4%, additional 25-cent fee
  • Costco: base retail rate 1.38%, rewards card rate 1.99%, business card rate 2.65%, terminal lease $30 a month or $489 purchase
  • Square Reader: base retail rate 2.75%, key-entered rate 3.5%
  • Wells Fargo: base retail rate 2.2%, mid-qualified rate 3.1%, terminal lease $35 for 48 months or $699 purchase, $75 yearly fee, $95 setup fee
  • Bank of America: base retail rate 1.69%, mid-qualified rate 3.19%, non-qualified rate 4.35%, terminal lease $28.95 per month or $599 purchase
  • Merchant Resources: 1.25% for debit/credit cards, 1.65% for base Visa and MasterCard, Discover, no monthly fees, free terminal

Sources:

  • M2 PressWIRE, "Card Reader, Credit Card Scanner, Cash Register, POS, Merchant Account: Cash Register, what is Best"
  • Merchant Resources, "Credit Card Merchant Services"
  • ABNewswire, "Merchant Resources Publishes Comparative Credit Card Merchant Services Rates"