Entrepreneurship & Small Business

Cheapest merchant services for Debit?

  • Last Updated:
  • Nov 5th, 2012 5:35 pm
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Newbie
May 5, 2008
4 posts
Mtl

Cheapest merchant services for Debit?

We have a small nail salon, that's been in business less than a year. I wanted to offer visa+debit in the beginning but was waiting to see what the demand was. A lot of the time people are great with bringing cash but we are now getting a bit bigger and there's a demand for at least debit. What's the cheapest in terms of monthly fees + rental + per transaction charge?

Few Notes:
-We will not be doing that many, maybe between 10-20 transactions per month. Might increase if more people see we have a debit machine
-I'm not ready to offer credit yet because the fees are really high and I don't want to deal with possible chargebacks etc. so debit only.
-I am not concerned about having money deposited right away; we do our expenses once a month and our rent is once a month anyways.
-If it matters I'm in the Montreal area.

Any feedback would be appreciated. Thanks!
12 replies
Newbie
Feb 28, 2011
47 posts
4 upvotes
I pay 6 cents/transaction + $50/month rental. But I rent a wireless unit, so I figure an office unit would be much cheaper.

Hopefully it helps.
[OP]
Newbie
May 5, 2008
4 posts
Mtl
May I ask what company you are with?

Thanks in advance
Newbie
Feb 28, 2011
47 posts
4 upvotes
I'm with Moneris.

They're currently running a promo with free debit transactions for 6 months, just FYI.
Newbie
Jan 24, 2011
29 posts
10 upvotes
Yoree wrote:
Oct 24th, 2011 12:37 am
I'm with Moneris.

They're currently running a promo with free debit transactions for 6 months, just FYI.

I am with Cilia Payment Solutions on a month to month contract at 5cents (cilia.ca). Been with monex and td in the past, must say Im quite satisfied.

Whatever it is you do, make sure you read your contract with care :)
Newbie
Oct 29, 2012
4 posts
TORONTO
Hello,
I represent a company by the name of INKAS. We are the only company that deals directly with Visa/Mastercard and Interac. This means we do not wait for Banks to refer business to us, therefore we do not have to pay the bank for clients and this reflects on a very low rate. Visa - 1.55%, Mastercard - 1.55%, debit transactions at $0.04. OOur machine will cost you $26.00 monthly and a service fee of $4.95 for 24hours of costumer service. These are all the rates you will see. Call us at 1866 666 0909 ext 285
Member
Apr 6, 2010
463 posts
48 upvotes
Toronto
romeum wrote:
Nov 1st, 2012 11:03 am
Hello,
I represent a company by the name of INKAS. We are the only company that deals directly with Visa/Mastercard and Interac. This means we do not wait for Banks to refer business to us, therefore we do not have to pay the bank for clients and this reflects on a very low rate.
Hi, I would be very interested to find out how that works, as your website lists Elavon as your partner. And only the "bank owned" providers - Moneris,
Chase, etc - get clients from their bank, none of the independent ones do, what does that have to do with rates?
Please explain.
Thanks,
Cristian.
Deal Addict
Mar 8, 2009
1420 posts
109 upvotes
Moneris 0.05 per debit transaction.
Member
Apr 6, 2010
463 posts
48 upvotes
Toronto
Andex wrote:
Nov 1st, 2012 10:28 pm
Moneris 0.05 per debit transaction.
And $34.95 quarterly (works to $11.65 monthly) PCI security fee, right?
Newbie
Jul 15, 2012
20 posts
NORTH YORK
I think square payment system is pretty good. It's a free add on you get for your iphone, iPad, and android device. They just recently launched in Canada and they have pretty simple pricing.

2.75% - any card

Or

$275 a month unlimited transactions for up to $200, 000. (2.75% after)

For manual entires its 3.5% + 15 cents.

They also do next day deposits.

Now this may be not be as cheap as other companies but if your a consultant and do a lot of client meetings outside the office this is a perfect solution.

The other company in Canada like square is PayFirma but they're more expensive and way more fees and minimum balances etc.

Check em both out at www.squareup.com/ca and www.payfirma.com
Deal Fanatic
User avatar
Nov 18, 2002
6499 posts
432 upvotes
Toronto
Ace7777 wrote:
Nov 4th, 2012 2:14 am
I think square payment system is pretty good. It's a free add on you get for your iphone, iPad, and android device. They just recently launched in Canada and they have pretty simple pricing.

2.75% - any card

Or

$275 a month unlimited transactions for up to $200, 000. (2.75% after)

For manual entires its 3.5% + 15 cents.

They also do next day deposits.

Now this may be not be as cheap as other companies but if your a consultant and do a lot of client meetings outside the office this is a perfect solution.

The other company in Canada like square is PayFirma but they're more expensive and way more fees and minimum balances etc.

Check em both out at www.squareup.com/ca and www.payfirma.com
Square don't do debit/interac.
Member
Apr 6, 2010
463 posts
48 upvotes
Toronto
Ace7777 wrote:
Nov 4th, 2012 2:14 am
I think square payment system is pretty good. 2.75% - any card

Or

$275 a month unlimited transactions for up to $200, 000. (2.75% after)

For manual entires its 3.5% + 15 cents.
You must be joking...
I looked at the website, nothing about the unlimited. If it was that way, for a merchant doing a $100,000 monthly volume the rate would be 0.275%. Divide that by 2 if the volume doubles. Do you think that is possible?

Virtual terminal - manually entered transactions - nobody should pay more than 2.5% + 10 cents. It's usually a little less. The 3.5% + $0.15 is way too high even for e-commerce transactions.

Not to mention the risks - it was already discussed.
So no, this is not "pretty good".
Cristian.
Deal Fanatic
User avatar
Nov 18, 2002
6499 posts
432 upvotes
Toronto
Cristian_01 wrote:
Nov 5th, 2012 12:08 pm
You must be joking...
I looked at the website, nothing about the unlimited. If it was that way, for a merchant doing a $100,000 monthly volume the rate would be 0.275%. Divide that by 2 if the volume doubles. Do you think that is possible?

Virtual terminal - manually entered transactions - nobody should pay more than 2.5% + 10 cents. It's usually a little less. The 3.5% + $0.15 is way too high even for e-commerce transactions.

Not to mention the risks - it was already discussed.
So no, this is not "pretty good".
Cristian.
What's wrong with a flat rate 2.75% (no monthly fees, no minimums/commitments, next day account deposits and a free card reader)? For one off transactions/trade shows etc it's hard to beat to the average joe that doesn't need a full blown merchant account or very small business.

For this niche market the above is pretty much some of the best you can get right now in Canada. Hopefully others will follow.
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