General Consultant Discussion

SPS Rates - One of my clients has been using SPS for the past three years. In that time span, their merchant fees have jumped from $3,600 per year (pre SPS) to nearly $12K in 2011. Most of this increase can be attributed to the ""convenience"" of processing through MAS instead of swiping the card) but apparently, it is also due to Sage increasing the merchant fees charges over the past three years. So at the request of the client, I sent Sage a request for a rate review. Below is SPS's response: -------------------------------------------------- After analyzing your account, I am happy to let you know that you qualify for a reduction, due to your account's good-standing status and excellent history with Sage. If you would, please take a look at the attached Rate Amendment. Your current rates are shown on the left hand side, and your proposed rates are on the right. Based on your March figures, this reduction would save you $167.13 per month. Also, I noticed you are paying a $25 Non Compliance fee each month. In order to remove this, please go to: https://sagepayments.pci.trustwave.com to obtain your PCI DSS certification. Once you are certified, we will be automatically notified, and the $25 monthly fee will stop. If you have any PCI questions or need help navigating through that site, please call our 24 hour help desk at 800-239-2468. ---------------------------------------------------- Two things stand out - the first is the rate creep. By bringing this to SPS's attention, client saved nearly $2,000 per year. The second ""hidden"" charge is the $25 Non Compliance fee. Apparently, if you don't pay attention to your e-mails and account reminders, you can easily fritter $300 away annually. Client went on line and completed the certification today. This is just a heads up for everyone. Maybe your company is using SPS. A simple inquiry and completion of the compliance certification may save you a couple grand annually also.

I will be interested to see how the rates trend when Sage is the sole source of fully integrated credit card payments....

I think we all understand the phrase ""no where to go but up"". End users need to be diligent about watching these fees. They are confusing and very difficult to understand,

Thanks for bringing this to attention @JeffSchwenk. This is a great example of how not to treat customers by our favorite vendor, Sage. It's kind of weaselly to sneak in fee creep ups like that. Maybe this is business as usual for credit card processors? Shameful behavior if you ask me.

It's how companies looking for a short term earnings boost, followed by earnings disappointment, executive departure, restructure behave...

Merchant fees are a bit like cell phone bills and airline tickets. Overly complicated and loaded with gotchas. You really have to be vigilent which of course, no one is.