A prospective client recently contacted us and mentioned that he was not looking for an Authorize.net merchant account as he already had the credit card processing piece. He requested our rates for the “Authorize.net gateway only.” I explained that we bundle this payment gateway with our merchant account program. Although we could not accommodate his request to provide Auth.net by itself, I decided to investigate standard pricing quoted for only Auth.net.
Upon my research, I was surprised to learn that most gateway providers charge a set-up fee, typically $99. Some quote a sales price of $49 which while it won’t break the bank, may be $49 more than necessary. Monthly fees vary, generally fluctuating between $10 and $30 — the same price range that merchants should be able to get for both a payment gateway and credit card processing capability. Per transaction costs, often quoted between 5 and 10 cents, should be obtainable whether you purchase Authroize.net by itself or with cc processing.
Online business owners need to understand that aside from an Internet site, a shopping cart or order page, they need to acquire a gateway with the means to accept credit cards. In the course of my work, I’ve spoken with folks who had the payment gateway component without a merchant account, and vice versa. Such business owners would have saved money had they purchased the two simultaneously.
This is analogous to any package deal. Consider a standard vacation package where discounts are provided if one opts to get air flight tickets, hotel accommodations, passes to attractions, car rental, etc. at the same time. It typically is more cost-effective to bundle all necessary components than to purchase separately.
At the risk of self-aggrandizement, our Auth.net fees are $5 per month and 5 cents per transaction with no set-up fee. (Other companies offer similar low rates) for Auth.net … provided you use their credit card processing package. In the scope of research, I did not find one provider who offers Auth.net by itself at this affordable rate or lower. Subsequently, factoring in the fixed monthly cost associated with a merchant account, the TOTAL monthly fee becomes unnecessarily inflated.
All in all, it makes sense to look for an Authorize.net merchant account — a program that can simultaneously provide Authorize.net with an Internet merchant account. In this way, you can more quickly and conveniently get the entire means to accept credit cards online while keeping more cash in your pocket. Here, “not sold separately” should prove advantageous.
Secure, reliable, and affordable credit card processing (including payment gateway) is readily available so perform your due diligence when examining the myriad choices when seeking a full-service Authorize.net merchant account.