Small businesses believe they are paying too much for card processing
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More than 40 per cent of small businesses believe that they are paying too much for their card payment terminals, according to the AA.
The AA's survey also showed that 24 per cent of small retailers have experienced what they believe to be hidden costs and opaque pricing over the past year.
Retailers find that some firms charge terminal users fixed annual fees, while others operate pay-as-you-go and monthly payment plans.
David Searle, director of AA Financial Services, which surveyed more than 1000 SMEs, said: "Small businesses are in a tie when it comes to card payment.
Increasingly, the terminal is an essential piece of equipment that customers now expect, but a lack of choice, poor reliability, high costs and surprise add-ons lead, understandably, to mistrust and a reluctance to invest."
Cost is a crucial factor when choosing a card processing provider so pay close attention to the terms and conditions you are agreeing to. Many providers offer low, introductory, card processing rates but hide or inflate fees elsewhere.
This means you end up paying a lot more than you think in terms of set-up fees, terminal rental and long-term contracts with high cancellation fees. Look for a provider that offers transparent, simple to understand pricing.
To ensure ActSmart can provide the best solution for all business we have two card processing partners; Global Payments for established businesses with medium to high card turnover and Paya Card Services for newer or smaller businesses with lower card volumes, both of which have transparent pricing so you know exactly what you are paying for.
To find out which solution is right for you, visit the Card Processing service page.