1. *** CEwire2020 will be online LIVE and INTERACTIVE on April 25 & 26
    60 COPE-Approved Credits! [REGISTER HERE]
    Dismiss Notice

#16: Choosing a Credit Card Processor

Discussion in 'ODwire.org TV & Radio' started by AdminWolf, Jan 10, 2013.

  1. Stewart Gooderman

    Stewart Gooderman ODwire.org Supporting Member

    427
    Messages
    Joined:
    Mar 30, 2003
    School/Org:
    SUNY College of Optometry
    City:
    San Francisco
    State:
    CA
    Again, the quoted rate is a fallacy. As TRUs owners have correctly stated, you have to look at the TOTAL monthly cost against the total amount in transactions for that month. That gives you the actual, true (no pun intended!) rate you are paying.

    What I did, was take several months of transactions from my old processor, run the transactions as if they all went through square, and see what my bill would have been. In each case, it was either the same or less with zero of the hassles my old processor was giving me.

    And that is the other leg in this evaluation. How *easy* is the processor making it for you to do business with them. Service responses, billing simplicity, timely payments, and the processor's own financial stability are also factors.
    What's nice about square.com is that it does not preclude you from working with another processor if you want.

    Now my situation is somewhat special. I work in downtown San Francisco. Many of my patients are from tech companies. ALL of the know about square.com. They like the fact that I'm using technology that they are a part of. It's covert advertising, and attracts more patients.

    DrG
     
  2. Scott Heerssen

    33
    Messages
    Joined:
    Apr 23, 2012
    School/Org:
    Tru Payment Processing
    City:
    San Diego
    State:
    CA
    Volume and Ticket Size

    Holy Cow!

    Dr. Bernstein hit the nail on the head!

    The two main things a lot of these guys look for is your volume and average ticket size!

    This allows them to calculate exactly how much they need to charge to stay profitable.

    For example: If they know you want a flat rate program, they will consider your volume and ticket size to determine at what rate will they begin to lose money, and then they add profit to it.

    Brilliantly simple! However, your own volume can possibly come back to bite you because those additional points added to the profit margin of a flat rate program could end up costing you much more than if you had simply been willing to pay a few bucks here and there in monthly fees.

    Each case is different though and we can help choose what's best for you. As you can tell, every business owner may need a different set up to meet his or her needs depending on their operation.

    Terrific point of view Dr. Bernstein, battling with those credit card people can be a headache, and if you are doing any kind of volume it definitely is in your best interest to check these things out!

    And, when you guys let me represent you, the next time they come knocking or the phone rings, you can smile and say that you have a guy that handles all of that for you. Then you can give them my number! :)

    Our clients love telling salespeople to contact their consultant!


     
  3. #23 Jan 19, 2013
    Last edited by a moderator: Jan 20, 2013
    Matthew Focht

    Matthew Focht Member

    132
    Messages
    Joined:
    Aug 11, 2009
    School/Org:
    Truly360
    City:
    San Diego
    State:
    CA
    Testimonials from happy TRU Processing clients

    Hey DrG
    Here are a couple emails from other ODwire.org members. I didn't include their names to protect their privacy. These were emailed directly to Jodi, who is a member of our staff and a truly remarkable individual who really cares about taking care of you guys (and gals!) If anyone would like to speak to either of these ODwire.org members we will be happy to try and set that up.

    "Thanks, Jodi. Everything is going well and I appreciate you checking in.

    And honestly, I appreciate your approach to customer service. It's a big topic for me during all office meetings we have and I almost wish I could pull you into you of those meetings so we could pick your brain :) I find it quite difficult to get everyone on the same page regarding the importance of cultivating patient loyalty and how understanding and demonstrating that you value each person is a huge first step in the right direction.

    So, if I can ask a question of you: do you formally train as a company for customer service? Or are you one of the naturally gifted people who truly want to please others? Perhaps it's a combination of both? I find it a challenge to find those people who are "wired" to make others happy and am trying to find an effective way to do it.

    Thanks again for the holiday wishes and we wish the same for you. Hope this message didn't come off too weird :)"

    Here's another:

    "Hi Jodi- 

Thank you for all of your assistance regarding the annual PCI compliance procedures, and for your taking the time to explain everything to me"..."I very much appreciate your efforts in monitoring our rate, and assisting with the adjustments whenever possible. It was such a pleasure talking to you Monday afternoon, as you are so very professional, non-confrontational and your demeanor elicits genuine care and understanding"..."You are indeed quite an asset to your company! 

I hope you have a wonderful Holiday Season! 

Thank you once again, and Merry Christmas!!"
     
  4. Stewart Gooderman

    Stewart Gooderman ODwire.org Supporting Member

    427
    Messages
    Joined:
    Mar 30, 2003
    School/Org:
    SUNY College of Optometry
    City:
    San Francisco
    State:
    CA
    And that's another thing. With square, I don't have to deal with PCI compliance. They are fully PCI compliant so I don't need to fill out any forms, pay any fees, etc.

    DrG


     
  5. Scott Heerssen

    33
    Messages
    Joined:
    Apr 23, 2012
    School/Org:
    Tru Payment Processing
    City:
    San Diego
    State:
    CA
    Overall Cost and your Bottom-Line

    DrG is correct!

    Square is already compliant. This will prevent you from having to pay a third party compliance vendor a small compliance fee. It will also prevent you from having to complete a brief survey.

    These are definitely conveniences. My concern still lies for any OD doing over approx. $1,000 / month in volume.

    While this is indeed a convenience, it is one that you pay for in those high percentage rates square offers.

    You can always pay for convenience.

    For example:

    You could buy an existing practice. You could hire a company to lay out your practice. You can hire a staffing company to find your employees. You could even hire other OD's to do a lot of the work. You could pay for enough conveniences to put you out of business. That may sound extreme but conveniences can add up especially when considering your bottom-line as a business owner. Further adding .5% to 1% to your bottom-line can make a huge impact.

    If TRU can save you .5% to 1% to your bottom line without too much extra work then we're excited. If you're operating a lean business with a 10% profit margin then adding 1% to your bottom line just increased your net profit by 10%! That's awesome!:)
     
  6. James D. Williams O.D.

    James D. Williams O.D. Well-Known Member

    2,888
    Messages
    Joined:
    Jun 30, 2005
    School/Org:
    Pennsylvania College of Optometry
    City:
    Pilot Mountain
    State:
    NC
    My Experience with Tru

    I switched to Tru from Total Merchant Services in late 2012. I averaged about 2.45% in processing fees in the previous year with Total Merchant Services (yes, that includes all fees assessed divided by total volume). After switching to Tru my processing fees have been slightly lower (~2.3%), but not a huge difference.

    Pros of Tru: My overall rate is less. Painless switch. They loaned the equipment to me with no fee. Tru is easy to contact and responsive to e-mail. My statements are straight forward and easier to read than my previous statements for Total Merchant Services.

    Cons: Tru charges a $30 monthly fee on the 15th that does not show up on my monthly statement (This may not be a hidden fee, but it's obscured). I was also charged an annual fee of $75 on my second statement. I have to remember to add the $30 and $6.25 ($75/12) each month before calculating my actual rate.

    As a side note, it took forever to cancel with my old processor (not Tru's fault) during which they continued to charge me every month. I also had to pay a cancellation fee of $200. I do think Tru will end up being less expensive for me long-term, but the payoff will take awhile due to the fees incurred due to the switch.

    I'm still fairly happy with the switch, but if you already have a decent rate (2-2.25%), the long-term payoff may not be worth the hassle.
     
  7. #27 Jan 22, 2013
    Last edited: Jan 22, 2013
    Matthew Focht

    Matthew Focht Member

    132
    Messages
    Joined:
    Aug 11, 2009
    School/Org:
    Truly360
    City:
    San Diego
    State:
    CA
    Thanks for your input Dr. Williams. I like your straight forward no-nonsense approach and ultimately I think your recommendation is spot on. If you have a rate of 2-2.25% AND you love your service there may not be a huge need to change services. However, if you're processing let's say $20,000 a month, and you're able to shave off .2% that's around $500 a year in savings. If you combine that savings with an easy transition that Dr. Williams mentions then saving over $2,000 over the next few years with minimal work would be time well spent.

    I also like how Dr. Williams breaks out the fees. Please remember that if you don't want ANY fees we could easily get rid of ALL of Dr. William's monthly and annual fees, place him on a flat rate of 2.39% and he'd still save significant money over Square.

    If you'd like more info on our program, please send myself or Scott a private message and we'd be happy to help.
     
  8. Scott Heerssen

    33
    Messages
    Joined:
    Apr 23, 2012
    School/Org:
    Tru Payment Processing
    City:
    San Diego
    State:
    CA
    iPad Mini offer almost over

    Hey Guys,

    We are almost out of iPad Mini's, few remain! Grab them while you can!

    If you have any questions I am glad to answer them and help you to determine if TRU is a great fit for your business.

    If you decide it is for you I am happy to help you get started and get you an iPad Mini !!

    Feel free to shoot me a private message any time!
     
  9. Mieu Dong Vo

    Mieu Dong Vo Member

    51
    Messages
    Joined:
    Aug 29, 2008
    School/Org:
    New England College of Optometry
    City:
    Kingston
    State:
    ma
    I PM you last night and my manager told me you haven't contacted him yet
     
  10. Scott Heerssen

    33
    Messages
    Joined:
    Apr 23, 2012
    School/Org:
    Tru Payment Processing
    City:
    San Diego
    State:
    CA
    iPad Mini,.. mad rush!

    Hey so sorry for the delay!!

    With it being the end of the month and this iPad Mini giveaway going on it has been crazy around here!!

    I have been slammed trying to get everyone set up and get them iPads as quickly as possible because they are going so fast! I will certainly reach out to you guys tomorrow and get you rolling and take special care of you!!

    Talk to you soon!

    Kind Regards
     
  11. Scott Heerssen

    33
    Messages
    Joined:
    Apr 23, 2012
    School/Org:
    Tru Payment Processing
    City:
    San Diego
    State:
    CA
    Reserve One Now!

    If anybody is interested in jumping aboard and getting unbeatable savings and an iPad Mini now is the time as they are going quick.

    I apologize if I can't I can't get back in the same day so many ODwire.org members are trying to take advantage of these iPad Mini's before they run out!

    If you think you want one and want lowest overall cost let me know as soon as possible and I will be happy to reserve you one!

    If you had any interest in this program at all please send me a private message to reserve your iPad Mini today and sometime tomorrow or next week next week we can get together on the phone and chat about it all! You are under no commitment but if you would like to go ahead and reserve yourself one let me know! I can't wait to show you what TRU can do for YOU! :)
     
  12. manoj abraham

    manoj abraham ODwire.org Supporting Member

    34
    Messages
    Joined:
    Mar 18, 2006
    School/Org:
    Illinois College of Optometry
    City:
    chicago
    State:
    IL
    Before signing up.with cc companies go for one that does not charge a monthly fee pci non compliance fee etc.. and no cancellation charges just simple flat rate..Unfortunately tru does not do any of this...do ure research before signing...I was in a hurry to get in with cc processing and got stuck with a bad contract from tru...totally my fault...
     
  13. Matthew Focht

    Matthew Focht Member

    132
    Messages
    Joined:
    Aug 11, 2009
    School/Org:
    Truly360
    City:
    San Diego
    State:
    CA
    As many OD's know we, as in TRU, offer an incredible flat rate program and the small $250 cancellation fees can be waived upon signing. However, most OD's realize that we can negotiate for them better rates with the processors if they agree to a 3-year $250 cancellation fee. In addition keep in mind that we will not charge ANY cancellation fee if you find a program that has rates we can't beat.

    Regarding PCI compliance, often times we are able to get the fees waived for compliant OD's but remaining compliant by answering a yearly questionnaire is critical. We are happy to help any OD become compliant.

    Most businesses are not crazy about PCI. However the other option is far worse. PCI stands for Payment Card Industry and to my knowledge it was formed because the government needed to crack down on stolen card information that was/is being used for fraudulent purposes. If PCI compliance was not formed, everyone taking credit cards risked the government getting more involved. I can just imagine credit card processing being added at the DMV: one line for drivers licenses and another for terminals.

    I agree that taking credit cards is not enjoyable for the most part for OD's, which is why our company was created in the first place. No processor is perfect which is why we negotiate on your behalf to find the best solution that fits your needs. We try to listen to what you want and match you up with the best processor that fits what you're looking for.

    If you were to come to us and ask "I want a flat rate, no cancellation fee, guaranteed lowest costs, no non-compliance fees, AND I want to reimburse over time for my current $500 cancellation fee from my old processor", we would gladly say "You got a deal!" and we would honor that deal.

    Dr. Abraham, we would love the opportunity to earn your business back and give you everything you're looking for in a processing partner. Whatever you decide to do we want to wish you the best of luck.

    I want to remind all OD's to please remember that we are not perfect so if/when you are not 100% happy with us then you've got great leverage to have us do our best to fix your issue or we risk you complaining on this great open forum. That's leverage and power you just don't have with other processing companies and many OD's find great comfort in choosing us for that reason.