Merchant Accounts
Why do you need a Merchant Account
Unlike your business bank account which typically would have been opened using a high street bank, although more and more are using online banking facilities, a merchant account is required to be able to accept debit and credit cards from customers, either via a card or through Apple Pay & Samsung Pay. In addition to a merchant account you also need either a physical device such as a credit card machine or a secure web site with a checkout facility or maybe a virtual terminal whereby the card details are input via a computer keyboard onto a secure online portal. If you are a sole trader then Seymour direct can organise to use your personal bank account in conjunction with a merchant account, thus removing the need to open a business bank account.
How do you open a Merchant Account
The simple answer is that Seymour Direct takes care of everything for you. Firstly, some information is required from the applicant which is used to complete a merchant application (about 5 minutes) to the appropriate acquiring bank such as Elavon. In addition, supporting documents will also be required from the applicant such as copies of photo ID’s such as a driving licence, verification of home address in the form of a utility bill or council tax demand plus proof of your bank account such as a paying in slip or a statement that shows the sort code, account number and account name of the nominated bank account to be used.
The acquiring bank then completes its due diligence and issues a merchant account number which is then used by Seymour Direct to program the credit card machine in order for it to work. If a virtual terminal or a web site will be used to collect payments then a Payment Service Provider (PSP) such as Sage Pay will be given the new merchant account details as they will be required to secure the transactions if a virtual terminal or online checkout facility is used.
call back switch to usAre there alternatives to opening a Merchant Account
Yes there are several alternatives to the above whereby you purchase a small device for about £50.00 which connects via Bluetooth to your mobile phone. These devices are excellent ways to dip your toes into the complicated world of card acceptance. However beware, as these cheap entry methods into card acceptance are absolutely fine if you envisage only taking a handful of cards per month, because the cost, typically 1.75% per transaction, would make these cheap entry devices extremely expensive should your turnover on cards start to mount up.
What Next
Deciding how you will be accepting cards from your customers is just as important as who to open the merchant account with. There are many choices and many pitfalls to avoid and Seymour Direct has over 25 years’ experience in assisting businesses large and small in opening the best merchant account facility for their given requirements plus ensuring that costs are kept to an absolute minimum which all business owners that use Seymour Direct enjoy.
