How Credit Card Processing Works

What You Need to Know About Credit Card Processing

Credit card processing is more complicated than it may seem. There are many different parties involved, which all work together to process one transaction. If you aren’t aware of the process and everything involved, you will be more likely to overpay for the credit card processing at your business. Just becoming aware and learning the basics of how credit card processing works, you can be sure that you’re getting the best deal. The four parties involved in a credit card transaction are the customer, the bank that issued the customer’s credit card, the merchant, and the bank that is providing the credit card processing for the merchant, also known as the acquiring bank. Just as customers are “borrowing” money from the issuing bank when they make a purchase with their credit card, a merchant is also “borrowing” money from the acquiring bank, so both the issuing bank and the acquiring…

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Credit Card Processing FAQs

Credit Card FAQ’s

What kind of technology do I need in order to accept credit cards? The type of technology needed depends on what kind of method you need to use for your transactions. For a business that does transactions at a physical location, but wants to be able to connect different locations or registers to each other, a point-of-sale (POS) system would be best. A POS system contains the entire checkout terminal, which can include a cash register, card reader, scanner, etc. Mobile credit card processors are available for businesses that do transactions in many various locations and simply include either a dongle or an app to enable you to accept credit cards from devices such as tablets or phones. Another technology possibility is the credit card terminal, which is best for businesses that only need to accept payments and nothing else. Lastly, for online businesses, there are e-commerce solutions that allow…

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Understanding Credit Card Statement Fees

Merchant 101: Understanding Credit Card Statement Fees

If you’re like many merchants, your credit card statement can feel like it’s written in a foreign language. However, credit card processing is one of your largest business expenses, so it’s important to know what these fees mean, and that you’re being charged fairly. Tidal is committed to complete transparency, so we’ll explain the common fees here and tell you when to beware. We’ll also give you a free, no-obligation statement analysis so you can see how Tidal helps you save. Card Association Fees These are standard fees charged by each card association. They are “set in stone” and should be passed through to you with no additional markup. Remember, there is nothing a processor can do to save you money on these fees. If they’re charging you less, they’re making up the difference somewhere else. Since many of these fees are just a fraction of a penny, some processors…

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