Cardservice International

Good or bad?

[Tonearm]

I'm currently set up with iPayment for payment processing which was done through Merchant Warehouse. After a few different problems with iPayment, I need to make a switch.

There seem to be a lot of people satisfied with Cardservice International so I was going to switch to them, but there are many bad reports on the Rip Off Report website and the BBB search site as well.

I do want as few companies involved with the payment processing as possible. Some of my issues with iPayment seem to have to do with there being too many companies involved. I was under the impression that being set up with Cardservice International didn't involve so many companies.

Any advice?

[Corey Bryant]

CSI is basically similar to Paypal. CSI opens a lot of accounts - even to merchants who should not have a merchant account because they are on the MATCH list etc. So when that merchant gets a lot of chargebacks, CSI shuts them down. And then they complain.

Also they rely a lot on merchants - and just up until First Data bought the remaining 50% of CSI, their agents had a lot of leeway. Think of them like car salesman. They are in it to get the sell and that is it. Of course there are other agents who think the sale is a lot more. I have met a few agents - who within the first 10 seconds - I could immediately tell they were "one of those".

Since CSI is fully owned now by First Data, you have a Fortune 500 company behind you - one that you know is reputable, stable, and reliable.

-Corey

[tigerflag]

CSI gave me an account when no one else would. Not that I had bad credit, I just didn't have any credit. Maybe they give accounts to people who shouldn't have them, but I'm glad they took me on. Since then they have been reliable and helpful whenever I've had a question. Don't expect any handholding, though. I never had a sales rep, nor did I receive any training when I got my account.

For instance, no one told me how to look for and read the AVS codes. The information was buried in the Linkpoint help pages but I didn't know to look for it. For a long time I just assumed that once a sale was authorized, it was safe to proceed...

[Corey Bryant]

Odd that you did not have a sales rep - you probably did but most do not give you any follow up emails, or anything later.

They have a toll free number that you could have called to easily ask how to read the AVS. I know, I have done it in the past as well actually for testing purposes

-Corey

[tigerflag]

I was such a newbie that I didn't even know about AVS to ask about it. I just saw that purchases were "approved" and thought that meant that they had been checked and were found "safe". I didn't understand that "approved" only meant that there were sufficient funds available.

I applied to CSI through a website, got approved a few days later, and got a packet telling me my rates. No one ever called or contacted me to walk me through the process of taking a sale.

[Corey Bryant]

Chances were / are it was a CSI agent's website. There are hundreds, if not thousands, of them. Charge.com was an agent, then grew, became an ISO, then sold to Paradata.

A lot of time, there is no need to call - you electronically sign the application - and that's it. We send out a welcome email when the account is approved. Basically to make sure they get the store number, MID / TID (which you usually have to wait for), and to give them our information just in case.

Most agents are in it for the sale - CSI takes care of the customer service after the sale, so agents don't need to contact the merchant or anything. But in my opinion - this is where the agents miss out. By the merchant having the agent's telephone number, the merchant can call the agent / email the agent for some basic / simple questions without having to go through a lot of systems. CSI / First Data is a Fortune 500 company and is fairly large. Having access to your agent is an added level of customer service.

If you look at the bottom of processors in the United States, it will tell you if they are an agent or an ISO. It will also state what bank is the acquirer. This is required for American based processors by Visa USA. If you don't see it, chances are they are either not in the USA, or not in compliance

-Corey

[topguy29]

I have been using them for over a year and I have been very happy with the services and support. As Corey said, the agent can help with little things from time to time. I rely on my agent from time to time for simple questions and updates to my merchant account agreement.

Tigerflag, you should find out who your agent is. A lot of times, rates are just raised over time and if that is the case you can ask your agent for a rate review. If your sales volume has increased you might even be able to get a lower discount rate.

[ember]

We were with them for 7 years and just dropped them. There are other companies that charge less and have better customer representatives.

[drivingsideways]

There are 3 things which you should be looking at when you are trying to find the lowest possible rates for processing.

1) front rate
2) straight pass through
3) qualifying your transactions.

If all 3 of these are in order then you will be processing at the very lowest possible cost. If you are speaking to a sales rep who doesn't understand what i am talking about, you are talking to someone who only knows what they will make off you in fees, not what will actually increase your bottom line.

Card Services International does not as a rule offer straight pass through, therefore, not recommended by me.

[pageoneresults]

What about Authorize.net and/or PayPal?