Merchant Payment Processing Specialty: Automotive
Automobile dealers have both internal and external fraud problems, sometimes with outsiders in collusion with internal staff. To improve speed in service departments, dealers are expanding service bays, increasing the number of staff that accept credit cards. Cashiers and dumb equipment terminals are incapable of preventing errors that increase payment processing costs.
- Do you know how often cashiers and service managers are key entering transactions vs swiping, regardless of internal policy? (Impacts risk and credit card processing costs.)
- Do you know what your pin debit penetration as a percent of all eligible pin debit transactions is? (Hint: the national average of all retail is about 35%; our auto customers average 78%.)
- If a large transaction is processed or declined, when does management find out about ?
- Do you know what percent of your transactions had interchange downgrades that cost you extra?
- If an internal employee was refunding money to a card or allowing someone to use cloned cards to buy parts (stealing), how long would it take you to find out?
Some dealers are paying higher than necessary payment processing costs because of their billing plan and tie-ins to floor plan financing. These are a few scenarios:
- Merchant statements have the headline "Your rate is 1.5%". There is no specific data about what types of cards are used, but you can divide your costs by the total sales to come up with an average (it won't be 1.5%) effective rate.
- Merchant statements have 3-6 'buckets' for fees. These usually include mid-qual credit, non-qual surcharge, and mid-qual debit. UPDATE 2010: While merchant discounts are much more competitive than in the past, combatting fraud and PCI Compliance are major concerns.
- See also retail: Costs are frequently bundled into 'average buckets' and whenever that happens, the processor is always going to pick a higher average to protect themselves. We offer a completely open solution so customers benefit from every level of interchange rates plus comprehensive reporting. Not all of these charges are avoidable, but with our expertise, we can reduce these to ONLY the transactions that must fall into this downgrade category.
Solution
Intelligent Host-based payment processing technology with tight anti-fraud controls and extensive real time reports. Key elements:
- FLEXIBLE HARDWARE : Signature capture terminal including mobile devices such as iPad or Droid- customers sign on the terminal. Signed receipts can be retrieved on demand for years to defend chargebacks. Accept credit, debit, checks, loyalty cards all in one terminal.
- MANAGE ACCESS: Assign every user privileges based on the risk associated with that level employee. Every transaction is tied to a unique user, eliminating 'someone else did that'. Add, delete and modify users on demand.
- AUTOMATED ALERTS: Create transaction threshold alerts by user, even your most trusted employees, by dollar amount and frequency.
- FRAUD PREVENTION: Numerous controls to prevent fraud from ever happening. Manage by user, location, and organization.
- REAL TIME REPORTS: From reconciliation to organizational totals, infinite reporting capabilities on demand for all non-cash payments, including check, credit, mobile and ACH.
- LEAST COST ROUTING: Technology automatically identifies lowest cost method to process and sends the data needed, eliminatiing human errors. This applies to routing for checks and check guarantee also.
Our technology is a swtich that sits in front of your existing payment processor ; compatible with all major credit card processors.