Earlier in the season experts made rosy predictions about the upcoming 2019 holiday retail season. Even in the face of market volatility and the uncertainty of tariffs, persistent economic growth and consumer stability inspired expert optimism. The National Retail Federation predicted an increase of between 3.8 percent and 4.2 percent. And from current indications, it looks like the experts were not far off. What insights can we gain from this info, especially those who are looking for the best credit card processing company?
Despite a shorter than usual holiday season with Thanksgiving falling late, consumer spending nearly kept pace with predictions. According to a preliminary report released by Mastercard Spending Pulse, holiday retail sales rose 3.4 percent over 2018. These numbers include cash, check, and e-payment transactions. Mastercard Spending Pulse analyzes spending across all common payment methods.
A notable and perhaps unsurprising takeaway includes the growing significance of e-commerce. Online sales rose 18.8% over the previous year with e-commerce holiday sales now constituting 14.6% of total holiday retail sales. Large department stores saw in-person transactions decline and online sales increase.
Thus far, the 2019 holiday season data confirms what most suspected; the growing importance of omnichannel sales. Online transactions continue to gain traction, but brick and mortar sales remain significant, especially for smaller businesses and for particular industries, i.e. food service, which is often excluded from retail estimates. Nonetheless, it’s clear that as a merchant you will benefit from the ability to conduct and track sales across multiple channels, whether in person and or online.
So how did your business stack up? Did sales meet expectations and did your operation run as smoothly as possible? The combination of high volume and scheduling challenges, including the challenge of fitting in seasonal staff into your workflow, even as they may or may not have had time to train adequately, means you need the best tools available, tools that streamline operations and reduce the likelihood of error. Keep in mind that often, the best tool is the easiest tool to implement and use.
In your search for the best credit card processing company, you need to consider what makes running your business up front and in back as simple as possible. At Moolah, we offer the attractive and user-friendly POYNT Smart Terminal. A cloud-based point of sales system, POYNT Smart Terminal offers integrated inventory tracking, scheduling, and accounting applications, reducing admin time and the probability of human error. Possessing the right payment platform means better operations and better results, and Moolah, together with Poynt, is able to deliver.
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.