How to Get the Cheapest Credit Card Processing

Looking for the lowest credit card processing fees? Look no further!

Aren’t we always looking for options that don’t cost a lot? Why should card processing be any different? Most businesses will tell you that credit card processing is just a cost of doing business. Yet, it shouldn’t cost an arm and a leg. In this article, we will explore some of the cheapest credit card processing options available. Plus, we’ll show you an insider secret to eliminating your credit card processing costs!

Owning or managing a business isn’t child’s play. There are important decisions to be made and oftentimes, you have to seek more economical options for certain things. Small businesses do not have budgets that can rival bigger corporations and that’s why you need to get creative. Of course, you don’t want to cut corners on products or service. You need to look for opportunities such as the cheapest payment processing plans while continuing to provide a great experience for customers.

Did you know that your payment processor has significant influence on your business? It could be a make-or-break factor towards the success of your business. That’s why it is vital that you pick wisely after reading up on the 5 ways to choose the best credit card processing company.

Is your current payment processor overcharging you?  Are you experiencing any of these issues? If yes, it might be time to make a switch.

We want your business to thrive and we’re always looking for ways to lower operational costs. One way to do so is to not pay an arm and a leg towards processing fees. High processing fees contribute towards lowering your profit margin. You don’t want that and neither do we. Before we dive into the nitty-gritty of the lowest credit card processing fees, need a refresher on what is merchant processing? You got it!

Cheapest credit card processing fees

As a business, you’re most likely accepting credit card transactions either in person, or online, or both. When you accept a card payment, you’re required to pay a fee for that transaction. This is simply a cost of doing business. To get the cheapest credit card processing fees, you must work with a provider that offers you the best possible rates depending on your needs and the pricing model that would work best for you.  

Submit your most recent statement to see how much you’re being overcharged for payment processing.

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Pricing models for credit card processing fees

There are a few pricing models which influence your overall costs when seeking the cheapest credit card processing options.

Let’s take a look:

1. Flat rate

For small businesses that process less than a monthly amount of $5000, a flat-rate fee is applied to every credit and debit card transaction. This model helps predict fees in advance. This model is not suited for large businesses where they process large sums every month as the flat rate would require a business to pay more.

2. Interchange-plus

Small as well as mid-size businesses that process from $5,000 to $15,000 on a monthly basis are well suited for this model. The rates are different depending on the card type (debit, credit, rewards card etc.). This model is extremely transparent with specified markups and rates, but it is tricky to accurately predict total costs.

3. Membership pricing

Suited for large businesses that process north of $15,000 monthly, this model charges a set fee for every transaction instead of a percentage. Merchants are also required to pay a subscription or membership fee to avail this pricing model.

4. Tiered pricing

Under this pricing model, all transactions are categorized as qualified, mid-qualified, and non-qualified. The processor is set up to profit from every transaction, so businesses using this model must pay a high markup. As a result, the processor makes the maximum profit, but it could be at the cost of the business. This is definitely not the option to pick when seeking the lowest payment processing fees.

How to Get the Cheapest Credit Card Processing Fees

Every small business owner wants to pay less for services that eat away at the bottom line. Payment processing fees are an integral operational cost. Lowering these fees can help a business improve their profit margin. We have listed a few ways to go about when seeking the lowest payment processing fees:

1. Eliminate your processing fees entirely

We’ll cut to the chase. Some businesses can eliminate their credit card processing fees almost entirely with a merchant discount program. Cash discounting and dual pricing programs are a way to reward shoppers that use cash to make payments for their purchases.

Two customers will pay different amounts when paying with cash versus paying with a card. A business will need signage to display in their store to inform and encourage customers to pay using cash. Acumen Connections can help you get set up with that.

Businesses across the country are actively looking for cash discounting along with other merchant discount programs. Take a look at our map below, which shows the distribution of internet searches for programs like cash discounting across the US. Data is from 2024.

Other businesses, which could include your competition, are already saving a lot on credit card processing. Switch to Acumen Connections, and don’t be left behind! 

Watch this quick video that breaks down cash-discounting and dual pricing.

Many businesses choose merchant discount programs like cash discounting, so they don’t have to raise their prices across the board. Loyal customers can keep paying the same amount they have been, but with cash now.  

Not sure if cash discounting is right for you? Below are three other ways you can save on credit card processing.

2. Choose a processor with reasonable rates

This is crucial to your overall success as a business. Pick a payment processor that understands your unique needs and suggests a plan that will get you the best bang for your buck while saving you thousands in fees. Steer clear of processors that attempt to lock you down with long-term contracts, cancellation fees, or try to nickel-and-dime you at every opportunity. If you’re being charged things like a cancellation fee, a set-up fee, a bank deposit verification fees, or any of the fees listed below, you may be overcharged for credit card processing services.

At Acumen Connections, we don’t charge these. We especially don’t have a cancellation fee. We want our merchants to stay with us by choice and we offer standard rates along with 5-star customer service. 

Questioning how much you’re being overcharged each month? A free-rate review awaits you!

3. Be picky about card type when possible

Some credit cards like American Express and Discover come with higher fees. We recommend asking customers if they have an alternative way of making a payment. Sometimes they do, and sometimes they don’t. But in cases where they do have a different form of payment, you can save money. It won’t hurt to ask.

4. Stay smart with card-not-present transactions

It’s no secret that card-not-present transactions cost more than other kinds of transactions. It’s because they tend to be riskier. Follow these tips to help reduce your risks and save on card-not-present transactions in the process:

• When in-store customers try to make a payment with card information, ask if they have a different form of payment they can use.  
• If you take orders over the phone, have the customer pay in person before giving them their order.  
• Keep terminals updated to avoid issues with reading customer’s cards.  
• If you must conduct a keyed-in transaction, include the card number, expiration date, CVV code, and billing zip code, customer’s name, and billing details. This reduces the chance of fraud or chargeback.  
• If you have a mail-order or phone-order program, consider switching to an online website and secure payment gateway instead.

For more ways to save on card-not-present transactions, read our card-not-present eBook.

Experience the Acumen difference

We get it. Companies will try to sell themselves as the best option for the cheapest credit card processing. You’re probably tired of hearing the same pitch every time. We don’t do that at Acumen Connections. Honesty and transparency are important to us and that’s why we’re always upfront about costs and fees. We try to get you the most for your money. 

Navigating the intricacies of payments as a small business owner can be overwhelming. There’s always so much to do. This is where we step in and take care of payment-related things so that you can direct your focus on more pressing matters. Take a look at our POS for small business offerings today. We offer more than just cheap credit card processing. We add value to your business.

When in doubt, take a quick look at our business tips. 

Got queries? Speak with our resident expert today!