Dealing with credit card processing for small businesses, it is easy to see some of the challenges small businesses face. One key area where small businesses are challenged is the ever-evolving domain of payment processing. Here we have decided to address some of the most common challenges small businesses experience with payment processing.
Chargebacks are a major concern for small businesses. Over the last several years, there has been an increase in chargebacks in online purchases for businesses across the board. Small businesses have been identified as more vulnerable to these types of attacks, however. In order to address this vulnerability, it would be most beneficial to work with a payment processing company that can help with a chargeback management plan. This will allow you to develop strategies to deal with and limit chargebacks in order to decrease the impact these can have on your business. Things like having a clear returns policy & adequate customer service can help.
Another key payment processing worry is fraud. Fraud is a major issue, and it continues to shift and grow. There are more and more types of fraud, and it is easier for your business to be affected by them. Fraud threatens the growth of businesses because it appears in places like online and mobile transactions. This can be a major challenge to your small business. In order to address fraud, it is important to stay aware of where it is happening. Read reports on it and stay up to date. Work with a payment processor that provides fraud protection. Moolah makes security a top priority and provides fraud protection to our customers. Make sure you are protected, both from fraud, and in the event that fraud occurs. Do your part to limit fraud, and protect yourself and your customers.
Because of the growth of chargebacks and fraud, the government and companies have been increasing regulations for businesses. Issues like PCI-compliance can be a real headache to small business owners. However, it is important to do your best to follow these rules and regulations for your benefit. In order to address regulations, it is valuable to work with a payment processor that does their part to improve security and follow regulations themselves. Work with somebody that helps you attain PCI compliance. At Moolah, we provide a PCI compliance suite free of charge to all our clients. It is one way we do our part to ease the burden of the regulations that you face when dealing with payment processing.
While payment challenges are just some of the struggles your small business may face, they cause more than their fair share of headaches. At Moolah, we do our best to make payment processing as challenge-free as possible. That is why we do so much to protect our clients from some of the challenges inherent in payment processing. We believe our approach to credit card processing for small businesses helps us stand out. We will do our best to limit your challenges, and work with you to overcome any challenges you may face, and keep your business growing.
Thank you for scheduling. If you have any questions, please contact us at 800-625-1670.
A credit card surcharge is an additional fee added to a transaction when a patient chooses to pay with a credit card. The surcharge is intended to help offset the cost of credit card processing and applies only to eligible credit card transactions.
No. Debit card transactions may not be surcharged under any circumstances, even if the debit card is processed as a credit transaction or entered manually.
Yes. Credit card surcharges may not exceed the merchant’s actual cost of accepting credit cards and are capped at a maximum of 3% of the total transaction amount, in accordance with card-network rules and applicable law.
Yes. Card networks require clear and transparent disclosure of any credit card surcharge. Practices must notify patients through appropriate signage at the practice entrance, point of sale, and anywhere payments are accepted. If payments are accepted online, the surcharge must also be clearly disclosed on the practice’s website.
Yes. Some U.S. states and territories prohibit or restrict credit card surcharging. Practices are responsible for understanding and complying with their state’s specific requirements before implementing a surcharge.
No. While Moolah provides tools and general guidance to support credit card surcharging, compliance with all applicable laws and card-network rules is the responsibility of the merchant. Moolah does not provide legal advice and assumes no liability for a merchant’s compliance.
Most major credit card networks permit surcharging when done in accordance with their rules, but additional requirements or restrictions may apply. Practices should ensure they have completed all required network notifications and disclosures prior to enabling surcharging.
Failure to comply with surcharging rules may result in card-network fines, required refunds, or other enforcement actions. Practices should ensure they fully understand all applicable requirements before applying a surcharge.
Flex does not currently offer built-in support for credit card surcharging. If a practice chooses to enroll in a surcharge plan, payments would need to be processed through Moolah’s payment platform, which is designed to support surcharging and integrates directly with Open Dental.
If you are considering introducing a credit card surcharge for your patients, it is important to understand that there are specific rules and regulations that must be followed when enrolling in and operating under a surcharge plan.
This article provides a general overview of common surcharging requirements. This content is provided for informational purposes only and does not constitute legal advice. It is the responsibility of each merchant to review, understand, and comply with all applicable laws, card-network rules, and regulatory requirements, including notification timeframes, signage requirements, surcharge percentage limits, and jurisdictions where surcharging is prohibited.
If you are unsure about the laws or regulations applicable to your practice, you should consult with qualified legal counsel. Moolah assumes no liability for a merchant’s compliance or non-compliance with credit card surcharging rules or regulations.
Transparent Communication
Card networks, including Visa, Mastercard, Discover, and American Express, require merchants to clearly and transparently disclose when a credit card surcharge is applied.
Practices must clearly notify patients of a credit card surcharge through appropriate signage placed at the practice entrance, at the point of sale or terminal, and anywhere payments are accepted. If payments are accepted online, surcharge disclosures must also be clearly visible on the practice’s website. All disclosures must inform patients that the surcharge applies only to credit card transactions.
Surcharge Limits
Credit card surcharges must comply with both card-network rules and applicable law. The surcharge amount may not exceed the merchant’s actual cost of accepting credit cards and may not exceed 3% of the total transaction amount.
Card-network rules cap credit card surcharges at 3%, meaning that if a merchant’s processing costs exceed this amount, the excess portion cannot be passed on to the patient.
Network and State Restrictions
The major credit card networks, such as Visa and Mastercard, impose specific requirements related to surcharge limits, advance notification, and disclosure.
In addition, several U.S. states and territories regulate or prohibit credit card surcharging. At the time of writing, credit card surcharging is prohibited in Connecticut, Maine, Massachusetts, and Puerto Rico. Other states, including Colorado, Minnesota, Mississippi, New Jersey, and New York, impose restrictions on surcharge amounts or require specific disclosures.
If your practice operates in a state that restricts or prohibits credit card surcharging, you must fully understand and comply with those requirements before implementing a surcharge.
Debit card transactions may never be surcharged, even if the debit card is processed as a credit transaction.
Applicability
Credit card surcharges may be applied only to credit card transactions. Other payment types, including debit cards and alternative payment methods, are not eligible for surcharging.
Regulatory Compliance
Merchants are responsible for maintaining ongoing compliance with all applicable card-network and legal requirements. This includes meeting advance notification obligations, using compliant signage and disclosures, adhering to surcharge percentage limits, and respecting jurisdiction-specific restrictions.
By following these guidelines, dental practices can implement credit card surcharging in a way that aligns with card-network rules and promotes transparency with patients. Clear and upfront communication helps maintain patient trust and supports a positive payment experience.