As business operators, you likely interact with many vendors who are supplying your goods or services. Vendors you interact with include sales reps, customer relationship managers, and even your neighborhood UPS or FedEx driver who probably visits your office regularly. We even take time to get to know our pest control professional who visits the office monthly or quarterly. But what is your relationship with your credit card processor?
Many people take the attitude that their credit card processor is out there doing their thing and there isn’t really any reason to have a relationship with them. In fact, one Chosen Payments merchant once said, “A processor is like a light switch. If the light comes on when you flick the switch, all is good. If you swipe a card and it goes through, all is good.”
Nothing could be further from the truth. Your relationship with your processor could come in quite handy when you need help. You may be asking yourself, “What kind of help could I need from my credit card processor?”
Let’s say that your company was approved for running transactions up to $5,000 during the original underwriting process when you signed on with the processor. This was based upon the owner’s credit worthiness, average bank balance, the length of time in business, the type of product or service being sold, and a host of other things. Today, though, you have an opportunity to complete a one-time $25,000 but that will exceed your transaction limit by five times. Those funds could easily get held up by the bank for five to ten days while the bank assesses the risk of the transaction. Having a relationship with your processor could speed that up to a single day if your processor knows who you are, understands your business, and is willing to take a risk on you by guaranteeing the transaction.
In another scenario, you experience a chargeback of $4,000 and need help. Once again, if your credit card processor understands your business and the fraud schemes used in your industry, your processor can go to bat for you, explain the situation, and likely win your money back for you. You need someone in your corner that understands you and your business.
Of course, yet another reason for having a relationship with your processor is the need to watch over your money. A processor in tune with your business can provide valuable training and education for you and your employees that can help save you money just by implementing the best transaction methods for your business to use. So, while you’re getting chummy with your mail carrier or janitorial service, think about spreading some love to your credit card processor. They can be your best friend in a pinch.