How to deal with high-pressure debit/credit processing offers
We've heard from many businesses complaining of high-pressure tactics being used by companies offering credit and debit processing. Here are some of the scripts we've heard about:
- "We are a company working for the banks to see that you receive your 30% discount on credit card fees..."
- "We are working on behalf of the banks/CFIB/ChasePaymentech/VISA/MasterCard to lower your credit card fees. If you send us your statements, we'll find savings..."
While there are several legitimate companies offering this service, there are others that do not follow fair and transparency business practices.
Here are some tips to deal with these companies:
- Don't provide your statements. Those are confidential documents. You should not have to provide these to understand their offering.
- Watch closely for hidden fees and exit penalties. You want to understand the total cost of the contract. Ask to view a copy of the contract and a completed ‘Schedule A' - this will show all the fees you will have to pay. Do not sign anything until you are satisfied with the fees you will pay.
- Ask if their company has signed the Code of Conduct (below)
Based on CFIB's recommendation a Code of Conduct for the credit/debit card industry was recently introduced. The requirements of the Code just curb some of this poor behavior. However, if your "no" is not being respected, consider the following:
- Notify the police or RCMP in your area.
- Notify "PhoneBusters", Canada's Anti-Fraud Centre via email at firstname.lastname@example.org. You can also do so by calling 1-888-495-8501 or by fax at 1-888-654-9426.
- File a complaint with the Financial Consumer Agency of Canada.
- Consider filing a complaint with the Better Business Bureau in your area.
If you'd like to keep CFIB apprised of your situation, contact us at 1-888-234-2232.