If you decide to start accepting credit cards educate yourself first to stay out of trouble. Merchant accounts come with regulations and responsibilities. Ignore it and you might find your funds on hold for several months usually for as long as chargeback threat exists. By signing contract you are giving bank permission to create ďReserve accountĒ at any time and at their solo discretion. These rules are not to hurt business but protect the industry from fraud.
Read and understand fine print (use magnifying glass if necessary) or get somebody to help. Do not sign contract with early termination fees or amount of liquidated damages to compensate termination expenses. Do not agree to any monthly minimum or annual fees. Take actions to prevent chargebacks.
There are a lot to learn and I donít know any processor who is educating their customers. Donít get me wrong. Iím not saying that accepting credit cards is bad idea; just you need to know what you are doing and know it well.
Back to the topic, I donít think that established local liquor store should start accepting electronic payments. All frequent customers already know about cash. It might increase sales slightly but mostly will convert some cash customers into credit. Cost of accepting cards and risk you are automatically taking will not outweigh benefits.
Last edited by Victor196; 10th November 2011 at 03:35 AM.