Who Are the Top Payment Processors in Canada?

Transcription

1 Who Are the Top Payment Processors in Canada? Get to Know Your Canadian Merchant Service Providers There are many ways to skin a cat, but this is one of the best ways to get a picture of the top payment processors in Canada. We reviewed key players in the Canadian s payment processing industry to help you make an informed decision about which processor to go with. To determine the best payment processors, we used the following criteria: Product Scope: This covers the range of products that the payment processor has, including iphone or Android payments, ecommerce gateway (i.e. online shopping), traditional terminals, web terminal (virtual terminal), or full POS (point-of-sale). We also looked at the breadth of features of each product. Ease of Use: This measures how easy it is to use the products and understand the pricing. Some processors put more effort than others in building a delightful user experience. This gauges that effort. Customer Service: Support can range from no support to /twitter support all the way to full 24-hr phone support. Some businesses, particularly full-time businesses, require full time support because any processing downtime will result in significant revenue loss. We looked at the types of support provided and the quality of those services. Pricing: The payment industry has some pretty confusing pricing models. Processors rarely publish their fees (or frequently change them), making comparison difficult. If you re a knowledgeable business owner, you can negotiate rates from almost all the processors. The key isn t to get the lowest rates, but to find a processor that is upfront with their pricing. This criterion measures pricing transparency and likelihood to be paying more. Here s a big disclaimer. We at Payfirma wrote this, so we are certainly biased. We are frequently asked about ranking payment processors, so we put this together while attempting to be as objective as possible. The below list includes the top 10 payment processors in Canada. The companies below are displayed in alphabetical order.

2 Dallas, TX They re not a merchant account provider but a payment gateway provider. High compatibility with shopping carts and ecommerce platforms Pre-configured Buy buttons for all types of online storefronts Competitive fees and rates Payment gateway is standalone so you ll have to manage the implementation and merchant accounts elsewhere Customer support is limited to standard business hours Victoria, BC Since they opened shop in 2000, they ve received 0 complaints with the BBB. Transparent pricing and terms Knowledgeable phone support Easily integrate with most accounting and payroll software Great for businesses looking for a Canadian merchant account Flat monthly fee that s not negotiable There s a fee to you deactivate your account (for seasonal businesses) Not a multi-product solution - focus on online credit card processing

3 Chicago, IL They re not a merchant account provider but a payment gateway provider. Transparent pricing Great reputation with some high-level clientele, particularly focused on developers ECommerce documentation is modern and clearer than other gateways Great customer service You can use their gateway with your own merchant account if you have one (restricted to First Data or TSYS network) They prefer to bundle their gateway with a merchant account which hikes up the cost There s a fee to you deactivate your account (for seasonal businesses) Not a multi-product solution - focus on online credit card processing If you re not a developer or don t have one, you won t get the most out of Braintree Dallas, TX In 2010, they processed in excess of $469.3 billion in transactions. ecommerce payments Easy to implement their payment gateway solutions Recently eliminated their cancellation fee for all small business merchants Offers seasonal downtime but it depends on your business type Expensive/undisclosed terminal lease contracts usually 4-year contract Steep cancellation fees that aren t clearly stated before you sign on with Paymentech can cause unexpected headaches down the road The user interface has been reviewed as not modern or intuitive Bad post-sales customer service

4 Atlanta, GA They re the 800lb. gorilla of the industry with over 6M merchants worldwide. Offers technology extras that help with PCI compliance, reporting, anti-fraud, chargeback resolution and more Offers seasonal downtime Good 24/7 support by phone, plus live chat If you know the right pricing questions to ask, you can get certain fees cut or waived by your sales rep Their fees are pretty high all their extra tools come with a price tag 4-year contract w/ hefty cancellation fee You re charged your monthly fees multiplied by the remaining months in your contract Tendency to hold funds or shut accounts down at the drop of a hat if suspected of fraud Atlanta, GA They ve been around since the 70 s and have offices in Canada, the UK, Europe and the Asia-Pacific region. ecommerce payments Everything is in-house which means you ll be able to negotiate lower rates World-wide processing great for international merchants Wide range of wired and wireless traditional terminals offered Can accommodate seasonal businesses Contract term and cancellation fee vary on your reseller or if you go direct Despite 24/7 toll-free and support, their average issue resolve time is a month Not considered modern technology with no focus on mobile payments, etc. Not recommended for small-medium sized companies

5 Toronto, ON They re a joint project between RCB Royal Bank and BMO Bank of Montreal that s some pretty heavy backing. ECommerce Full set of products and services that covers most payments needs In tune with social media they provide some support via Twitter and have a ton of tutorial and training videos on YouTube Can accommodate seasonal businesses 3-year contract that auto-renews once that 3 years is up + Cancellation fee Sales reps don t disclose full contract terms/fees associated Poor customer service - Lack of response to complaints, rude support reps User interface is quite outdated and not very intuitive Vancouver, BC They were first to bring a mobile payment solution to the Canadian market. ecommerce Wide breadth of products that cover almost all payments needs Multiple products are available in one place through one company Great customer support Transparent pricing Customer-centric products that are easy to use and the best in the business Not recommended for micro-merchants (ex. Business who process less than $50k a year) Traditional terminal rates can be higher than going direct User interface is quite outdated and not very intuitive

6 San Jose, CA They re looked at as the default payment method for online business owners and ebay sellers worldwide. ECommerce Easy to setup and use Transparent with terms and pricing Integrates with just about any shopping cart, account application or shipping software Discounts for volume and non-profits Knowledgeable community support through online forums and blogs that can answer your questions. You don t always need to call PayPal support. Their Risk Department doesn t mess around. They often hold/freeze seller s funds or shut down accounts if they suspect any type of fraud. Phone support is inconsistent. Sometimes you ll get a rep that knows what they re doing, other times you won t High rates compared to most traditional merchant accounts squareup.com San Francisco, CA They re the first company to bring smartphone payments to the public. ECommerce Simple solutions for small business Account setup is quick No monthly fees or contracts Transparent pricing They have a processing limit. If you process over $1000, anything above that $1000 will be held for 30 days. Their pricing is not ideal for those who expect to process frequently. Big-ticket transactions could be held for an undetermined amount of time. Poor customer service no phone support, only and Twitter

7 Price Transparency Mobile Payments Web Terminal ecommerce Traditional Terminals Customer Service