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Bad Credit Credit Cards
People who have bad credit have many more credit card options today than they did just a few years ago. Maybe this is contributed to the theory of supply and demand or maybe the credit card companies just realized how much more money they can make...
Bad Credit Personal Loan
There are many people who are in a situation where they need a personal loan but they also have a tarnished credit history. Many people with poor credit do not think that they will be approved for a loan because of their previous credit activity....
Consolidate Your Credit Cards - Lower Your Monthly Payments
If you're like most North American people today, you go through
life carrying a fair amount of credit card debt. And if you're
like most North American people, you're okay with that. $100 per
month in repayments is fine, even if you're paying...
Credit Card Debt Elimination
Credit card debt elimination can be done with a good plan and a little patience. The important thing is to find what works best for you and stick to your plan. The rewards are well worth it and you'll save yourself a lot of money in the process. ...
Visa Or Mastercard: Which Credit Card Should You Apply For?
Should you get Visa or MasterCard? Is one of them better than the other? Will one of them help your credit rating more than the other? Many people ask themselves these types of questions when they think about getting their first credit card or...
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ACH or Credit Cards
Most businesses accept credit cards and consider the process
fees a cost of doing business. However by implementing an ACH
payment system you can realize dramatic savings and increase
sales.
ACH refers to the Automated Clearing House and generically means
moving money electronically to and from checking and savings
accounts. An example would be a check by phone or taking
recurring payments directly from a checking account.
The MAJOR difference between ACH and credit card processing is
that a credit card transaction "captures" the merchant's funds
from the consumer and essentially guarantees payment. An ACH
transaction is a request to transfer funds. The transaction may
reject for several reasons with the most common being NSF (non
sufficient funds) or a closed account. The funds are not
guaranteed.
It is the guarantee piece that allows the credit card company to
charge a percentage of the transaction to cover the risks
involved. Typically a transaction will consist of a discount
rate, 2.5% for example and a transaction fee,
typically in the
30 cent range. This means that every $100 processed incurs about
$2.85 in merchant fees.
Contrast this with an ACH transaction. Typically there is no
discount rate just a .30 (or less) transaction fee. If you
process $25,000 per month using ACH processing will save around
$7500 per year. Certainly you will have more "failed" sales due
to ACH transaction rejects (eg NSF) but your transaction savings
will far exceed these losses. In addition you will appeal to a
much wider range of consumers. Estimates vary but MANY people do
not have credit cards or are at their limit on their cards. So
the benefits are two fold-much reduced transaction fees and a
new payment vehicle for your customers.
So consider ACH processing for your business. It will save you
money and win new customers.
About the author:
Wayne Akey has helped numerous businesses save time and money
with ACH processing. Get your free report on how your business
can benefit http://www.ach-payments.com/software/secrets.doc or
visit http://www.ach-payments.com
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