Founded in 2009 by Bank of America Corp. and First Data, Bank of America merchant services is one of the largest processors in the country. Although their recent separation from First Data has some business owners shaken, the merchant services provider maintains a strong level of support from its loyal merchants.
Bank of America Merchant Services provides card processing, check processing, e-commerce, mobile, and payroll services. When you need a credit card processor, it can make sense to first see what your bank offers for these services. After all, wouldn’t it be more convenient to process payments where you already have an account? Unfortunately, a lot of banks charge a premium for this level of convenience.
We’ll compare the difference between Bank of America Merchant Services and Fattmerchant so you can make the best decision for your business.
Bank of America Merchant Services Rates
With its once secure and helpful products and services for merchants, Bank of America merchant services was previously a viable payment processing option for some businesses. They offer a tablet POS system, mobile payment processing, along with small business eCommerce solutions. Before you sign, be sure to review the following ways that Bank of America falls short for businesses.
In general, many businesses using Bank of America will find:
- Higher equipment fees (can be over $1,000)
- Expensive credit card processing rates
- Less than stellar customer support
Bank of America Merchant Services Fees
With Bank of America merchant services, you have to use Clover devices. Just like with Fattmerchant, you’ll own the equipment outright instead of paying monthly leasing fees. However, with Clover, you may get locked into an annual contract for a T-Mobile or AT&T internet connection.
Plus, Clover devices are some of the most expensive on the market, with an up-front cost of $500-600. If you want to be able to accept contactless NFC payments like Apple Pay, you’ll have to buy an additional add-on which is another $300. All-in, you could pay over $1,000 for the Clover and all its add-ons.
To compare, Fattmerchant offers a number of in-person payment terminals at a variety of price points starting at just $175.
How do Fattmerchant Payment Processing Rates Compare
BOA Merchant Services lack transparency. Finding their rates and interchange fees on their website is impossible. Fattmerchant membership pricing provides award-winning value and service. In many cases, Fattmerchant offers more value at a lower cost than most merchant services providers including Bank of America. This is due to our 0% markup and high-quality Omni integrated payments platform.
With Omni payment solutions powered by Fattmerchant, you can manage your financials, payments, customer management, inventory, and more all under one roof.
For Businesses Processing Up to $500,000 Annually: $99/month + direct interchange
- $0.08 per swiped, dipped, or tapped transaction
- $0.15 per online or keyed-in transaction
For Businesses Processing Over $500,000 Annually: $199/month + direct interchange
- Swiped: $0.08 per transaction
- Keyed: $0.15 per transaction
Fattmerchant Processing Fees
Fattmerchant is a subscription-based merchant services provider. We offer complete transparency when it comes to your bill. There are no annual fees, no contract fees, no statement fees, and 0% markups – not to mention in-house customer support. If you want to save money and watch your business grow, Fattmerchant is the right merchant processor for you. So, how much could each pricing model’s credit card processing costs affect you? We’ve broken down the dollars and cents cost for a subscription-based model (Fattmerchant) and what a bank (Bank of America) will charge you on a monthly basis.
Subscription vs. Bank Scenario #1
|CP Cost of Processing $18,000 per Month|
4 sales per day x $150 per sale x 30 days = $18,000/month
|Fattmerchant*||Square||Bank of America*|
Subscription vs. Bank Scenario #2
|CNP Cost of Processing $45,000 per Month|
3 sales per day x $500 per sale x 30 days = $45,000/month
|Fattmerchant*||Square||Bank of America*|
Bank of America Customer Service Issues
Have you heard of Net Promoter Scores (NPS)? It’s a widely-used metric to measure companies based on customer surveys. NPS scores range from -100 to +100. The merchant services industry averages at a -12 score and the banking industry average is closer to 24. Bank of America currently has a NPS score of -24.
Meanwhile, Fattmerchant has soared to a 73 on the NPS scale. That means our customers are so thrilled with their service and our products that we rank higher than most businesses – not just those in the financial sector.
What does this mean? Bank of America customers are unhappy with the level of support they receive for their products. On the other hand, Fattmerchant offers in-house customer service – not a third-party call center. When you call during business hours, you speak with someone who knows our product intimately and is always happy to help. From training to troubleshooting, we are the company to choose if you appreciate a human touch to your customer service needs.
How Fattmerchant Compares to Bank of America
If you conduct your personal banking with Bank of America, you may be tempted to add on their processing. However, you’ll want to be aware of the full costs and small print before you sign on. In addition, with Fattmerchant’s Fast Access Funding add-on, you can still get paid just as quickly and while saving on processing.
Before you choose a payment processor, see our full comparison of merchant services on the market, including banks, PayPal, and more. Or fill out the form below to see how easy payment processing can be.