10 Best Merchant Services: Recommended by Experts [2024]

Merchant services are vital to your business’s success, no matter what kind of organization you run. The truth is that as good as a merchant services provider can seem on the surface, it can often be a different story when you’re accepted for an account. From hidden fees to non-existent support, there isn’t much you can necessarily find out before applying.

Fortunately, this isn’t the case for all merchant services providers. There are plenty of reputable payment processors if you know where to look. I did the research and found the best merchant services to help you choose the right one for your business. Whether you’re a small business looking for a low-cost processor, a large enterprise that needs industry-leading software solutions, or you’re somewhere in the middle, there’s a great option for you below.

I’ve been researching merchant services providers for months, and my top recommendation is Leaders Merchant Services (LMS). On top of the lowest rates in the industry and plans tailored to your business, you might qualify for free high-quality POS equipment. It’s an excellent choice for most small businesses, including high-risk merchants.

What We Look For in the Best Merchant Services

No two businesses are alike, which is why my main focus for this article was to find payment processors that are flexible enough to support a wide variety of businesses. I’ve also made sure to look out for the following features:

• Great pricing. No one wants to pay more than they have to for payment processing. Every merchant services provider on this list offers pricing optimized for the business types it specializes in, so you’ll be sure to find the best fit for your business.
• Point-of-sale (POS) hardware. Whether you have a brick-and-mortar storefront or want the option to take payments on the go, you’ll need POS hardware. Every option on this list offers a range of devices to suit all kinds of in-person businesses.
• Payment software. With e-commerce and remote payments becoming increasingly popular with consumers, you’ll need a payment gateway or virtual terminal at minimum. I’ve made sure that every option on this list offers this essential payment software – and more.
• Fast payouts. Every payment processor below has a payout time of just a few days. Many also offer same-day or next-day payouts as standard or optional extras.
• Customer support. The peace of mind that comes with having a friendly, knowledgeable, and responsive customer support team to turn to is worth its weight in gold. I’ve only included merchant services that we’ve had a great experience with.

1. Leaders Merchant Services: Low Fees & Custom Plans Ideal for Most Businesses

Leaders Merchant Services (LMS) offers negotiable interchange-plus pricing tailored to your specific business needs. This means you can be sure you’re getting the best possible deal and not overpaying for features you don’t need.

LMS offers a meet-or-beat guarantee if you’re an established business already accepting payments with another merchant services provider. If it can’t beat a competitor’s pricing, you’ll receive a $200 gift card. LMS also boasts the highest approval rates in the industry, meaning you can get approved even if you’re a new business or operate in a high-risk sector.

You’ll receive free high-quality Clover equipment for committing to a long-term contract. With a low monthly fee of $9.00 and per-transaction fees of ~2% + 0¢, most businesses can save on payment processing with LMS.

Features and Benefits

• Online payments. Thanks to LMS’s partnership with Authorize.net, you can use this popular payment gateway and virtual terminal to take payments online or over the phone. LMS also lets you create payment links that you can attach to your social media posts, emails, and elsewhere to sell online without a website.
• Merchant advances. You’ll be able to access merchant cash advances directly from LMS. These flexible loans allow you to secure funding paid back through a small commission on your sales, which is ideal if you’re growing your business.
• Plenty of integrations. LMS integrates with various software tools like QuickBooks and Salesforce, making it easy to integrate payment processing into your existing systems.
• Fraud detection tools. LMS has one of the industry’s largest chargeback and fraud management departments. Additionally, Authorize.net comes with advanced fraud detection and prevention tools to help keep your business safe. Plus, if you use any Clover devices, you’ll get an additional suite of fraud tools (for an extra fee).

Check out our expert Leaders Merchant Services review for more benefits.

2. ProMerchant: Best for Retail and Restaurants

ProMerchant stands out with its zero-cost processing program for retail and restaurant businesses. For a fixed monthly fee of $7.95, you can shift transaction costs, typically 4%, to customers, enabling you to retain all your sales revenue. Alternatively, ProMerchant offers competitive interchange-plus rates.

ProMerchant offers free equipment to every merchant. Self-service restaurants and fast-paced retail stores will likely receive a free Ingenico Desk 3500 terminal, known for its speed and user-friendliness. Restaurants with staff will find the free A920 terminal beneficial as it supports tipping and signature collection. This terminal can also process gift cards, which is excellent for retail stores with loyalty programs.

Additionally, ProMerchant offers the free PayAnywhere App and Bluetooth credit card reader for mobile payment processing. This solution is perfect for businesses operating in non-traditional settings like fairs, food trucks, and pop-up shops. The app’s offline mode supports uninterrupted payment processing even in areas with limited connectivity, ensuring you never miss sales opportunities.

Features and Benefits

• E-commerce payments. For an additional fee, you can access the trusted Authorize.net payment gateway to facilitate online payments. With Authorize.net, you can integrate “Buy Now” buttons into your website, which is especially helpful for small online shops with fewer products.
• High-risk merchant accounts. Operating in industries considered high-risk, like the adult industry or CBD, makes it challenging to get approved for a merchant account. ProMerchant addresses the unique challenges of high-risk merchants​​ through partnerships with multiple banks and processors, providing fair, competitive rates.
• No PCI fees. Unlike some processors that will charge you hundreds of dollars for PCI compliance, ProMerchant doesn’t charge any PCI fees.
• Month-to-month agreements. You can use ProMerchant without long-term commitments and with peace of mind that you won’t face expensive cancellation fees.

Read our in-depth ProMerchant review for more details.

3. Paysafe: Best for Businesses Selling High-Ticket Items Globally

Paysafe stands out as the optimal choice for businesses selling high-ticket items globally. This is because it offers lower-than-usual transaction fees for online sales, starting at 0.99% + 25¢ (debit cards). It supports payment processing in over 120 markets and multiple currencies, helping you expand your reach without excessive processing costs.

Paysafe is one of the rare processors that caters to high-risk sectors like forex, gaming, and crypto. It also has a dedicated risk management team and offers the Enhanced Security Package (for an extra fee), which acts as an insurance policy in case your customer information gets compromised.

Additionally, Paysafe’s Encytro Advantage program allows reimbursement for covered chargebacks up to $250 per case, including certain data breaches, for a flat monthly fee of $29.95 per location. In combination with advanced security features, Paysafe offers comprehensive assistance in managing the risks associated with chargebacks and fraud. This approach lets you focus on growth without worrying about unforeseen financial losses.

Features and Benefits

• 250+ payment types. Paysafe supports the widest range of payment options I’ve seen among processors. Beyond the well-known digital wallets, it includes Skrill, EFT, Venmo, and various local payment methods​​​​.
• Subscriptions and payment recovery. Through solutions like Vindicia Subscribe and Vindicia Retain, Paysafe can help you simplify subscription management and recover up to 50% of failed recurring billing credit card transactions.
• 24/7 support. Paysafe provides round-the-clock technical support for customers. This is crucial for businesses operating globally, as it accommodates various time zones and ensures timely assistance​​.

• Monthly agreements. Paysafe’s month-to-month agreements allow you to use its services without long-term commitments or expensive cancellation fees.

Check out our detailed Paysafe review to see how it can help your business.

4. Stax: Best for Larger, High-Volume Businesses

Stax’s simple subscription-style pricing is pretty unique in the merchant services industry. You’ll pay a flat monthly fee starting at $99.00 plus no interchange markups and just 0% + 10¢ (in-person) per transaction. While its monthly subscription might be expensive for smaller businesses, you could save up to 40% with Stax if you’re processing over $8,000/month.

Stax includes all the payment software you could ever need in your monthly fee. That includes dashboard and analytics, digital invoicing, pre-built shopping carts, developer tools, and more. If you’re an e-commerce business that needs a lot of software to operate, the flat monthly fee could save you a significant amount over purchasing software licenses separately.

Each Stax plan has an annual processing cap of $500,000, which is likely more than enough for most medium-sized and large businesses. However, if your business starts handling more than this, Stax offers custom pricing for enterprise-level businesses. Along with the same fantastic feature suite, you’ll get access to a dedicated support line to help your business scale up.

Features and Benefits

• Free hardware. You’ll get your choice of a free Clover, SwipeSimple, or Dejavoo terminal with your Stax merchant account. Stax integrates with 90% of third-party devices and can reprogram your existing hardware for free.
• Surcharging support. You can save even more on your payment processing with surcharging, which Stax offers for free. I highly recommend it to non-profits and businesses selling unique goods and services.
• No contracts. Instead of getting locked into a contract, Stax lets you cancel at any time with 30 days’ notice. You won’t be charged an early termination fee, either.
• Multiple support channels. Stax offers the largest number of support channels of any of our recommended merchant services providers, including a live chat, which I rarely see in this industry. While none are available 24/7, you can use Stax’s knowledge base for time-sensitive issues.

Read our expert Stax review to see more great features.

5. Flagship Merchant Services: Best for New Businesses

With an approval rate of 98%, Flagship Merchant Services is one of the few processors willing to work with new businesses without a credit history, merchants with less-than-ideal credit score, and high-risk merchants. In addition, growing businesses will get support thanks to Flagship’s merchant cash advance program.

With a merchant cash advance, you’ll receive a lump sum of cash in exchange for a percentage of your future sales. This allows growing businesses to access funding without putting down any collateral. Additionally, with Flagship’s 48-hour payout time as standard, you’ll have access to your funds quickly. If you need your money even faster, Flagship offers same-day payouts for an extra fee.

Its budget-friendly pricing of around $7.95/month and 1.58% + 19¢ (in person) per transaction makes it an attractive option for businesses looking to keep costs down. New merchants will typically be offered a tiered pricing plan, which usually results in higher fees. I recommend choosing the interchange-plus pricing plan instead so you’ll know exactly how much you’ll pay per transaction.

Features and Benefits

• Quick onboarding. Applying for a Flagship merchant account only takes a few minutes, and you can start accepting payments in as little as a few hours.
• Discounted e-commerce payments. Flagship offers the popular Authorize.net payment gateway and virtual terminal for e-commerce payments at a significantly discounted rate. Not only is Authorize.net an affordable software solution for modern businesses, but you’ll also have additional fraud protection tools to secure your business.
• iAccess Portal. Every merchant account includes the iAccess Business Management Portal, which provides helpful insights into your business’s health. You’ll be able to create and export reports for your sales, customer behavior, industry statistics, and more.
• Great data security. On top of being PCI compliant, Flagship is compliant with the EU’s General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA), which protects the data of European and California residents, respectively. Businesses looking to expand into these areas can ensure their business payments comply with local laws.

See more great features in our expert Flagship Merchant Services review.

6. POS Pros: Best for Brick-and-Mortar Businesses

POS Pros is the best choice for brick-and-mortar businesses due to its extensive selection of POS systems, featuring over 25 brands. This variety ensures that businesses of all types can find a system that fits their specific needs. You get a free consultation with a POS specialist who will recommend the best POS for your business based on your operational requirements.

POS Pros offers industry-specific POS solutions, like Touch Bistro for restaurants, Clover for retail, and Revel for healthcare. Before purchasing, you’ll get free virtual demos to verify the system’s compatibility with your operations. POS Pros also offers a free Dejavoo Z11, Clover Mini LTE, or Clover Flex terminal, helping you keep costs down.

With a low monthly fee of around $5.00 and transaction fees of 0.30% + 10¢ (in-person), POS Pros is one of the most affordable payment processing providers for businesses selling in person. Note that POS Pros, like many processors, lacks pricing transparency. Evaluate whether your contract terms match the verbal quotes you received from the sales team before signing to avoid surprises on your processing bill.

Features and Benefits

• Cash discount. If you want to minimize processing costs, consider POS Pros’ cash discount plan. It allows you to transfer transaction fees to card-paying customers for a flat monthly fee of $30.00.
• Discounted or free payment gateway. POS Pros charges a discounted monthly fee of $7.95 or $14.95 for the Authorize.net payment gateway and virtual terminal. If your business processes more than $250,000, POS Pros may waive the monthly fee.
• Next-day payouts. POS Pros will release your funds to your linked bank account within 24 hours, regardless of the payment method.
• Quick loan approval. You can access up to $500,000 in working capital through POS Pros. You can apply online to check eligibility and borrowing capacity. To qualify for a cash advance, you must be in business for at least one year and have made $50,000 in annual revenue or $4,200 monthly for the past three months.

Read our expert POS Pros review for more details.

Other Notable Merchant Services

7. Sekure Payment Experts

Sekure Payment Experts is a good choice for small businesses seeking cost-effective merchant services. It’s not a traditional processor but leverages a broad network of partners to find the best solution for your needs. With its Edge program, you can minimize your processing costs, which allows you to pass a 4% fee onto card-paying customers. Each Sekure merchant also gets free equipment and expedited deposits.

However, Sekure Payment Experts’ aggressive telemarketing tactics and sometimes unclear sales information can be off-putting. Additionally, it’s essential to carefully review your contract before signing it to ensure that there aren’t any hidden fees.

8. Payment Depot

Payment Depot is a great option for high-volume businesses processing at least $8,000/month and under $250,000/year, thanks to its subscription-style pricing starting at $79.00 per month. Due to the smaller annual processing cap, Payment Depot suits small- to medium-sized high-volume businesses that don’t have the budget for Stax.

As a subsidiary of Stax, Payment Depot still offers many of the same features as its parent company. However, Stax offers more feature-rich software and a mobile app for on-the-go business management and payment collection. You’ll also get a wider selection of free and paid POS hardware at Stax. But if these limitations don’t concern you, you can benefit from the industry’s lowest per-transaction fees for less than what you’d pay at Stax.

9. Chase Payment Solutions

Chase Payment Solutions doesn’t charge a monthly fee and offers fast payouts, making it most suitable for businesses prioritizing cash flow and operational efficiency. Next-day funding is standard, while businesses with a Chase Business Banking account can benefit from same-day funding, including for online sales made on BigCommerce.

However, Chase Payment Solutions might not be ideal for some businesses, particularly due to its limited hardware range. You can choose from a small selection of proprietary POS devices, which might not be reprogrammable to work with third-party systems or hardware in the future. Additionally, Chase will likely not work for businesses with existing hardware because its software isn’t compatible with third-party devices​​.

10. Square

Square is a great option for multichannel sellers. It includes a free online store for e-commerce, and you can sell products online, even without a website, through buy buttons and QR codes. Additionally, Square provides a free card reader for in-person payments. On top of that, some plans come with no monthly fees.

However, Square is not suitable for high-risk merchants. The platform lacks a detailed vetting process, which means your account could be terminated without warning if Square classifies your business as high-risk. Furthermore, accessing customer support if your account is terminated can be challenging. That said, Square is a reliable processor for low-risk businesses.

How To Find the Best Merchant Services for Your Business

There’s no “one size fits all” merchant services provider that’s best for all kinds of businesses. To find the best merchant services for your business, you’ll need to consider your business’s risk level, how you accept payments, your business model, the software you need, and more.

If you’re looking for the best possible deal for your business, go with Leaders Merchant Services. You’ll be able to negotiate for the best rates to suit your business, even if you fall into the high-risk category. If LMS can’t meet or beat your current processor’s rates, you’ll get $200. Plus, you’ll receive free Clover equipment and favorable cash advances to grow your business.

If you run a restaurant or retail business, I recommend ProMerchant. Its zero-cost processing program enables you to reduce processing costs by shifting transaction fees to your customers. On top of that, ProMerchant provides a free POS device tailored to your business needs.

If you sell high-value items globally, take a look at Paysafe. Its lower-than-usual transaction fees will help you keep almost all of your profit margins. It also supports payment processing in over 120 markets and multiple currencies, simplifying global market expansion.

FAQ

What is a good merchant services rate?

This depends on many factors, such as your business’s risk level and the processor’s payment model. For example, subscription-style processors like Stax don’t charge interchange markups, but you’ll pay a higher monthly fee. Interchange-plus processors like LMS allow you to negotiate the best rate based on your business needs, consisting of a variable rate depending on the card type. Lastly, with flat-rate pricing like the one offered by Sekure, you’ll pay the same rate regardless of card type.

What are high-risk merchant services?

High-risk merchant services are payment processing services provided to high-risk businesses like alcohol retailers and travel agents. Some industries are considered high-risk because of the higher rate of fraud and chargebacks. High-risk businesses should consider Paysafe because it has a program that allows you to get reimbursements for qualified chargebacks for a flat monthly fee. On the other hand, Flagship offers some of the lowest rates to high-risk merchants.

How do you avoid merchant services fees?

You can’t avoid merchant services fees – but you can reduce them. The closest you’ll get to free payment processing is with a cash discount (or zero cost) processing plan. With this, you can either pass on a surcharge or offer a discount to cash-paying customers. ProMerchant has a low-priced, zero-cost program for retail and restaurants, while Stax includes surcharging in its monthly subscription.

Do I need a business bank account and a merchant account?

Yes, you’ll need to have both of these accounts. While a merchant account will hold a sum of money for a limited time, you can’t use this account to cover your business expenses. This money needs to be paid into a business bank account for you to use it. If you’re worried about having regular access to your money, choose a merchant services provider with a quick payout time like POS Pros.