What Is A Business Merchant Account? Why Do You Need It?
In this digital era, paying through a cash method is now an old school thing. In fact, it is far better to use digital payments methods because of the security and maintaining the record of all the debit and credit of funds. The most preferred payment method over the world is credit card payments. Everyone loves that as it offers a comfortable, secure and convenient payment settlement method. But how to accept a credit card for your business payments?; this is for what a business merchant account came in the payment procedures. Let’s get more into this.
What Does A Business Merchant Account Mean?
A business merchant account acts as an intermediate or says a middle man. This business merchant account is responsible for retrieving the payments from the customer’s bank account and then settling the funds into the business merchant acquiring bank account. The same method works in opposite during the case of a reverse or refund transaction.
In order to accept all the credit card or debit card payments, you need to have a device to scan/read the credit card details. That is why you can also take a POS terminal which can help you to accept the credit card payments and generate the invoice quickly. Alternatively, a business merchant can also use a portable card reader or a VT (virtual terminal) to accept those debit and credit cards according to their number of transactions and sales in a day.
How Does The Credit Card Processing Works?
When a credit card payment is initiated, a piece of small request information is sent to the payment gateway to check whether the cardholder has adequate funds to successfully complete the transaction or not. If there are not available funds as required, it will result in a payment decline. But if there are funds to complete the required payment, then it proceeds further. This process of payment generally comes under the POS (point of sale) machine; where a card reader is used to check the cardholder’s information with the credit card issuing bank for the payment details and confirmation. Such type of transactions is also known to be a card-present card transaction. This method of POS transactions is more secure as compared to the online credit card payments, as this offers less tendency of a credit card theft or fraudulent transactions.
How To Get A Business Merchant Account For Your Small Business?
To get a business merchant account, a business owner needs to apply and get approved for it. This process is simple and easy. But for some merchants, this process can be a stressful procedure as some businesses might have a higher chargeback, some questionable transactions and can also be a reputational issue with the type of business. In such cases, the financial institutions and banks generally give a red flag and reject the business merchant account application.
But now all your hassle related to getting a merchant account can be quickly resolved. We at Quadrapay offers one of the best payment service and merchant account providers. We analyze your type of business and evaluate all the kinds of requirements in order to get your application approved under a processor who is best for your business processing.
For this, a business merchant needs to fill the merchant application form and submit the required verification documents. Soon you will get in touch with one of our executives to fulfil your merchant account search.