Every business that deals with credit card payments needs to be cognizant of how they are processed. With various fees and services that came along with credit card processing systems, picking the right service provider can be crucial for merchants as the right partnership can be very beneficial. However, the wrong partnership can be disastrous.
This is currently being seen in Spokane, Washington, where the Federal Trade Commission and the Washington state Attorney General's Office have both filed complaints against a credit card processing service. According to an article from Pacific Northwest Inlander, the organization is accused of lying to small businesses about contracts, fees and services.
"Scamming small business owners in Washington will not be tolerated," state Attorney General Bob Ferguson said in a news release. "When businesses don't play by the rules, the Attorney General's Office will hold them accountable."
The complaints allege that the company manipulated contract agreements and lied about service fees in order to increase customer costs. On top of that, the company deceived customers by cold calling and posing as their current service provider to get businesses to agree to new contracts and then charging illegal fees to get out of them.
This is an example of a less-than-reputable organization taking advantage of businesses that need their service to operate and meet customer expectations. Companies need to take extra care when it comes to selecting a credit card processing solution provider to help their business succeed as a single misstep can derail an organization.