Benefits of Having a Credit Card Processing Account
By Christine OKelly
Studies have shown that business owners who accept credit cards as payment for goods and services report significant increases in profit. With a variety of merchant processing services to choose from, it is easier than ever to set up your business to begin accepting credit cards today. Here are just a few benefits of having a credit card processing account.
Money, Money, Money!
Accepting credit cards opens your business up to a whole new market. Many people shop with their credit cards exclusively — some to earn reward points, some to track their transactions online, and some because they”re simply overextended and rely on credit for purchases. Regardless of the reason, this means a larger customer base for you.
Trends have shown that the order size of a credit card purchase tends to be larger than a purchase made with cash or checks. Because people don”t see the money coming out of their pocket immediately, they may be more indulgent in their spending habits.
It is estimated that over 90% of online purchases are made with a credit card. If your business plans to sell goods or services via the internet, you might eliminate 90% of your customers by not accepting credit cards.
Convenience, Competition, and Impulse
One of the most important reasons to accept credit cards is that it offers your customers a convenience. Customers have come to expect businesses to accept credit cards and many people don”t carry cash or their checkbooks with them at all times.
An important factor in deciding if a credit card processing account is right for you is whether or not your competition accepts credit cards. This is one situation where it’’s easy to “keep up with the Joneses”.
Using cash and checks means your customers immediately see money drain from their accounts. However, with credit cards, they can make purchases that they may have otherwise avoided, and pay them off a little each month. This may cause buyers to be impulsive and spend more, which equals increased profits for your business.
Merchant Accounts are Accessible and Inexpensive
It’’s easier than ever to open your own credit card processing account. Whether you go through a bank, financial institution, or a private party, you have many options that can be tailored to suit your business’’s needs.
Private parties and online merchant account providers work well for small businesses just starting up, as they do not conduct credits checks or have volume requirements. In addition, you can choose a program with a fee structure that best suits your business model.
Merchant accounts can also be opened through a bank or financial institution. Unlike private parties though, banks conduct credit checks and may require you to have an account at their institution. However, the fees are typically negotiable and tend to be lower than those from private parties.
It is clear that accepting credit cards has many benefits. If you own a business, consider opening a credit card processing account to start reaping the rewards today.
About The Author
Christine O”Kelly writes for the merchant processing services experts at BluePay. BluePay makes opening a credit card processing account an easy and affordable solution for your business.
