While selecting a merchant account, you need to know about the different types of accounts available. This will help you find a merchant account that is suitable for you. Many merchants set out to look for the cheapest account, and end up with accounts, which don’t suit them.
A retail/swiped account may offer you the lowest rates, but if the requirements of the account are not met, you may end up paying surcharges, additional fees and even penalties.
There are three accounts that are offered to merchants. These are:
1. A retail/card swiped account is meant to be used by retail businesses, which can swipe the card through an electronic card reader. This proves that the card was presented. This type of account is suitable for you if you physically meet your customers and are able to electronically swipe the card in 90% or more of your transactions.