During the SwipeSum consultation process, there’s a good chance your account manager will request to see some of your monthly payment processing statements. We understand that some business owners are hesitant to share this information, especially when it’s requested by a company they’ve only just started working with.
During the SwipeSum consultation process, there’s a good chance your account manager will request to see some of your monthly payment processing statements. We understand that some business owners are hesitant to share this information, especially when it’s requested by a company they’ve only just started working with. That’s like going on a first date and being asked for a copy of your personal diary right off the bat.
While you will provide some basic information about your business (such as your average monthly volume and average ticket size) during the initial consultation, that’s really just a starting point. When it comes time for us to negotiate better solutions at lower rates, processing statements are helpful in three primary ways:
Let’s cover each of these a little more in-depth. We want you to understand why these documents play such a crucial role in our consultation process:
Processors are very wary of fraud, for obvious reasons. Just as they do with any business that approaches them directly, providers on the SwipeSum platform want to verify that your business is legitimate before they pursue a partnership.
Of course, it’s not just the existence of your business that they care about. They want to know if the volume you plan to process is consistent with how much your business has processed in the past. With a proper understanding of your processing history, providers will be more willing to negotiate. The more information they have access to, the more confident they can feel in forming a partnership with your business.
Some merchants may feel inclined to “fudge the numbers” during their consultation process in the hope of achieving better rates. In the end, it’s not worth it. Processors will always check statements to verify any information you provide, so it’s best to be honest from the get-go.
At SwipeSum, we always say that our primary goal is to bring every business the best payments solution at the lowest rate. Your monthly processing statement gives us a glimpse of what your current setup looks like, enabling us to understand what you need.
This goes far beyond just knowing what hardware you use, though. Processing statements are a great way for us to spot patterns in your transactions. For example, interchange rates can tell us how you’re acquiring card information, whether over the phone, online, or through a physical card swipe. If we see that you’re overpaying for a certain transaction type, we can tailor your new solution to reduce the cost associated with those transactions.
This way, you won’t only save based on the processor rates negotiated through the SwipeSum platform, but also by optimizing your setup to reduce interchange costs. We call this “interchange optimization”. You can learn more about that process by reading this article: How to Reduce Card Interchange Fees.
In addition to optimizing for lower interchange, reviewing your monthly processing statements allows us to spot hidden processing fees. Even if our platform can’t lower your rates, there is a good chance that savings can be found by eliminating unnecessary fees. Of course, without access to your statements, we won’t have any idea if those exist.
If we spot a particular fee that’s taking away from your bottom line, we’ll make sure SwipeSum’s partner providers don’t assess that fee. Or, if we can't get rid of it, we'll show you how to get them removed from future statements. For example, we see tons of merchants paying PCI non-compliance fees. These usually run about $20 per month, which doesn’t seem like much, but it really adds up over time. The kicker? These fees only take about 20 minutes to remove permanently. With your statements in hand, we can point out these savings with ease.
While your statements help us to better negotiate your processing rates, we take your privacy very seriously. Your business information will never be shared with a third party without your permission. In the large majority of cases, no identifying information about your business is shared with the providers on our platform. While they are free to view transactions from statements you provide, we redact all your business information before beginning the negotiation process.
Removing your business information has a positive effect during negotiation as well. Because processors don’t have access to your business info, their biases no longer play a part in their quoted rates. You won’t face higher rates because you operate in a high-margin industry or currently process with a certain provider. All of that information is kept secret so you can get the best rates every time.
Look, we get it. We just met, and now we’re asking you to hand over your business’s financial documents. It may give you an uneasy feeling, but it’s ultimately for the best. If we’re really going to find the perfect payments solution for your business, processing statements are vital. Providing these gets you access to better rates, better solutions, stronger ties with your new processor, and fewer hidden fees.
If you have further questions about the role of payment processing statements in the SwipeSum process, please call (314) 390-1461 or email firstname.lastname@example.org.