Payment Depot Review

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Phone Number
877-978-3539
Date Established
2013
Location
Orange, CA

Overview:

Since we first reviewed Payment Depot in early 2014, they have only improved. Their marketing materials have become even more accurate, transparent and useful. This is a company that seems to really be listening to concerns, making meaningful (and timely) progress and corrections – a rare trait in this industry. Representatives are open, honest and reliable. When I first heard about Payment Depot and their unique pricing system, I thought it was too good to be true. But they’ve really proven themselves to me in the two years.

What makes this provider stand out from the pack? Payment Depot merchant services has a pricing structure that is – well – different. Instead of paying a percentage markup like you would with an interchange-plus plan, Payment Depot charges a flat monthly membership fee and a per transaction fee. That’s right – you pay 0.00% over interchange in terms of percentage markup! That looks really good in terms of marketing, but does it actually make financial sense for your business? I’ll help you figure that out in this review.

This is a fairly new company, having launched in mid-2013. So while Payment Depot’s reputation as a solid provider continues to build every month, at this point not much information exists in terms of long-term customer experiences. Payment Depot has a clean record with the BBB, and no major complaints exist elsewhere on the web. I can tell you they primarily use First Data as their processor, but remember that your customer service and contract terms will all be filtered through Payment Depot. I consider this an ideal situation since you get the power and features of a goliath like First Data, but the intensive support and fair terms provided by Payment Depot.

Under this unique (it really is pretty unique, not just using a buzzword here) pricing model, your monthly fee takes care of:

  • PCI compliance fee
  • Statement/admin fee
  • IRS reporting fee
  • Interchange markup rates (additional transaction fee applies)
  • Extra services depending on plan (gateway, terminal, etc.)

So while to my mind bundling costs will decrease cost transparency, that doesn’t have an effect on value here. For many merchants, Payment Depot provides exceptional value and 100% predictable costs, with no hidden or unexpected charges whatsoever. This predictability is my favorite feature of this service.

With Payment Depot’s 90-day satisfaction guarantee merchants who are not satisfied with their service within the first 90 days will be refunded their monthly account fees (not interchange fees or transaction fees, of course). This is a fair, reasonable offer, and should give you some peace of mind. I’m also excited to see their new pricing model that provides a discount if you pay your membership fee annually instead of monthly.

For low-volume businesses, there may be cheaper options out there. Although – that said – Payment Depot is way better than your standard tiered plan, and in many cases performs better than standard interchange-plus plans. For higher-volume users, Payment Depot could provide substantial savings, even when compared to some of the best interchange-plus plans out there. Since you pay a flat fee for membership, processing a higher dollar volume provides a better value. If you process a low volume and are still interested in Payment Depot for one reason or another, do some comparison shopping. In many cases, Payment Depot can provide solid deals for even for low-volume merchants.

I don’t usually give out five-star reviews to companies as new as Payment Depot, but they’ve had an impressive year with a bunch of praise and very few issues. This is an honest, reliable, sensible, innovative provider, and I’m quite glad to recommend that you give them a shot. Their vision of a future without complicated and misleading percentage rates and markups sounds very promising to me. You’d be crazy to ignore this company. Payment Depot is a serious contender in merchant services industry, and I’m glad to give them our wholehearted seal of approval.

Read the full review for more info, and please comment with your thoughts

Products & Services:

  • Merchant accounts: Payment Depot accounts are processed through First Data, the largest processor this side of anywhere. Most accounts are set up with membership fee pricing.
  • Next-day deposits: To quote their site, “Funds are deposited directly into your account within 24 to 48 hours.”
  • Free gateway and virtual terminal: Included with the basic account, this gateway and virtual terminal provide good functionality, including recurring payments and card info storage.
  • Upgraded payment gateway: If you are interested in running an online store with a shopping cart or you need to integrate with a particular POS or billing system, you might want to opt for the mid-grade plan which comes with advanced gateway options, including Authorize.Net, USAePay or First Data Global Gateway E4. These more standard gateways will make integration easy.
  • Terminal rentals: For Enterprise plan users, a free “smart” terminal rental is included in the account cost. I was told by a friendly sales rep that there are no additional fees here. Shipping, warranty, and all other costs are included in your monthly fee. This is a great deal. Even from good providers, this service usually cost $80 to $100 per year. I’m excited to see that they are using EMV-capable terminals since by late 2015 you will start to see these cards becoming standard in the US.

Fees & Rates:

The Payment Depot membership plans come in four standard packages, but they are also happy to work up a custom quote if none of these are right for your business.

Entry-level (Basic)

  • $20,000 monthly max volume
  • $29 monthly fee (or $299 for the year, a $49 savings)
  • 0% + $0.25 over interchange
  • Includes virtual terminal and a payments gateway, with recurring billing and vault service

Mid-level for eCommerce (Most Popular)

  • $40,000 monthly max volume
  • $49 monthly fee (or $399 for the year, an $81 savings)
  • 0% + $0.15 over interchange
  • Includes virtual terminal and a payments gateway, with recurring billing and vault service
  • Upgraded gateway options included (such as Authorize.Net) for easy shopping cart integration.

High-level (Best Value)

  • $100,000 monthly max volume
  • $69 monthly fee (or $599 for the year, a $121 savings)
  • 0% + $0.10 over interchange
  • Includes virtual terminal and a payments gateway, with recurring billing and vault service
  • Provides free smart credit card terminal
  • Upgraded gateway options included (such as Authorize.Net) for easy shopping cart integration.

Invite Only (5 cent club)

This is Payment Depot’s latest offering, available only to merchants who have an invitation code. If you think you might qualify for this (or if you do over $100K per month in card transactions), you should reach out to Payment Depot to see if you qualify for this exclusive offer.

This plan features:

  • Unlimited processing volume
  • 0% plus $0.05 per transaction
  • Includes virtual terminal and a payments gateway, with recurring billing and vault service
  • Provides free smart credit card machine and free upgrades every two years
  • Upgraded gateway options included (such as Authorize.Net) for easy shopping cart integration.
  • Advanced real-time analytics

The monthly fee presumably varies, but starts at $99 a month or $999 per year.

Custom Plans

There’s room for finagling and negotiating with Payment Depot. If these plans don’t suit your business needs, don’t be afraid to ask for a custom solution. In most cases, this company will be glad to earn your business with customized offers.

Choosing the Best Plan at Payment Depot

Choosing the best plan has less to do with how many dollars you process (aside from the advertised limitations), although the more dollars you process the better your savings will be. To pick the right pricing model, you have to consider how many transactions you process in a given month. I’ve done the algebra for you and put together this simple chart:

Payment-depot-choose-best

I have no doubt that your sales rep would help you to come to these same conclusions (similar info is even posted on the Payment Depot site) but figured I’d post this anyway.

Now that Payment Depot uses volume limits on their plans, there is a limit to your savings. I’m actually glad to see that they instated these limits. You are still able to get unbelievable rates (really, just do the math, it’s amazing), but it keeps things fair and under control, which in the long term will help to minimize complaints and problems.

Other Fees

Expect to pay chargeback fees as you would with any other provider. You can also expect to have any credit card network fees (like the FANF) passed directly on to you at cost.

Fees You Will NOT Be Charged:

  • PCI-compliance fees
  • Statement fees
  • IRS reporting fees
  • Application/setup fees
  • Early termination or cancellation fees
  • Non-qualified fees
  • Junk fees/hidden fees

Contract Length & Early Termination Fee:

There are absolutely no early termination fees or cancellation fees charged by Payment Depot! As always, I still encourage you to carefully review your contract before signing. But Payment Depot is one of the more trustworthy providers I’ve encountered in this regard since they don’t seem to rely on outside agents. They have very consistent contract terms overall.

Even if you pay for the whole year in advance to take advantage of the reduced fee, this doesn’t lock you in. If you decide to cancel within the first 90 days, all of your account fees will be refunded. If you cancel after 90 days, the additional months will be refunded on a prorated basis. Because of this, it makes a lot of sense to pay the annual fee instead of the monthly fee.

Sales & Advertising Transparency:

I’m incredibly impressed by the thoroughness of Payment Depot’s fee and rate disclosures. It’s really hard to improve over traditional cost-plus pricing when it comes to transparency and value. Whenever you bundle cost like this you lose transparency. And since there is already a minuscule markup on processing services, it’s hard to imagine that this loss of transparency is leading to savings in every case. (We have to assume Payment Depot isn’t losing money here.)

Payment Depot’s “True Cost” provides an accurate and useful way to think about card processing. Since the very beginning of Merchant Maverick, we’ve said that processing rates should not be your first concern when choosing a provider. Payment Depot agrees. That’s why they’ve ditched the rate model altogether in exchange for a monthly fee and transaction fee. This is extraordinarily transparent and fair. After all, why should your provider make a percentage profit from your transactions? There’s no rule saying they have to.

I consider this model way, way better than the industry-standard tiered system, and in many cases can significantly out-perform standard interchange-plus plans. (See this article for more information about membership fee pricing.) Moreover, I trust Payment Depot to set up fair, cost-effective plans in every case. For some low-volume merchants, it might not make sense to use Payment Depot, but to get access to the card networks for an easy $20 monthly (or less) is, frankly, a pretty damn good deal even if you only process a handful of transactions per month.

If you’re a long-time reader of my reviews, you know that I generally do not approve of advertising gimmicks like “money back guarantees” and the like. But Payment Depot’s 90-day satisfaction guarantee seems both reasonable and legitimate. If for whatever reason you decide you are not satisfied with their service within the first 90 days, they will refund your monthly account fees. They will not, of course, refund your interchange fees or transaction fees, but this is part of why the guarantee sounds so reasonable. It’s a solid offer.

Customer Service & Technical Support:

Payment Depot offers 24/7 customer service by phone and email, but also encourages users to reach out via social media including Facebook, Twitter, and Google+. They aren’t exactly social media superstars yet, but Payment Depot does seem to respond acceptably through these forums.

The COO at Payment Depot, Randy Hayashi, has made a number of friendly, well-considered public posts through various outlets (including in our comments section). This gives me confidence that this company is after openness and transparency, and will be responsive to complaints should they arise. Other company representatives have also chimed in here and there, which I really love to see.

The results I’ve seen from this provider so far are very encouraging, and you’ll be hard pressed to find any substantial complaints against them. If you have any thoughts about how Payment Depot is performing in customer support, please let us know in a comment.

Negative Reviews & Complaints:

Payment Depot gained BBB accreditation in January of 2015. So far they have two complaints alongside an A+ rating. We’ve had a few comments come in with concerns, but I’m glad to see Payment Depot representatives responding to help merchants find answers and solutions.

If you have any thoughts about how Payment Depot is performing, please let us know!

Positive Reviews & Testimonials:

Again, this is a new company so we’ll have to give it a little time before seeing a substantial community response. You can find four nice looking testimonials so far on the Payment Depot site. It doesn’t have a lot of heavy information, but the videos are nice and I have no doubt they are real testimonials. If you follow Payment Depot on Facebook or Twitter, you can see some additional positive responses from merchants.

Aside from that, a handful independent reviewers have chimed in on the web with mostly positive things to say. The general buzz surrounding Payment Depot is positive at this point. But what would mean more to me is your opinion! If you have any insights about Payment Depot, please leave a comment with your thoughts. Our readers help us to keep these reviews as accurate and thorough as possible.

Final Verdict:

In essence, I think what Payment Depot has done here is a good thing for the industry. The idea that you can pay a flat fee for access to credit card processing makes a lot of sense, and it’s a fresh pricing model that I’m sure many merchants will enjoy. The fact that there are reasonable transaction volume limits makes these plans quite valuable for many large ticket and high-volume merchants. If – on the other hand – you only process a few small transactions per week or will only use the service sporadically, there are probably cheaper options out there (Helcim, for one, but also pay-as-you-go providers like Flint). Although asking Payment Depot for a customized plan could yield good results if their standard plans don’t suit your needs.

Payment Depot has done an impressive job honing their offerings and their image in 2014, and are on the right track for 2015. They’ve introduced more opportunities for savings and carefully edited their sales material to make sure all claims are honest and accurate. I don’t normally give out perfect ratings to companies as young as Payment Depot, but they have really proven themselves in the past year. This is an honest, reliable, sensible, innovative company, and I’m quite glad to recommend that you give them a shot. I really think that they’re on to something here. A future without tiered pricing or percentage markups sounds good to me!

What do you think? Will flat membership fees be the future of payment processing?

Visit PaymentDepot or give them a call at 877-978-3539 to get started.

Frank Kehl

Frank Kehl

Frank Kehl is an independent writer, editor, and blogger with an endless fascination for technology and gadgets. After a long and enjoyable career of traveling around the world as an Air Force navigator, he’s comfortably settled down in the wine country of California’s Central Coast. He enjoys reading, photography, hiking, and numerous other outdoor pursuits.
Leave a comment

106 Comments

    Janice LeBlanc

    I’m ecstatic to see an alternative to the processor I currently use. I think I’d fall into the second pricing tier, but I do have seasonal sales that deviate from the average. My big fear in switching is the BEATING I’m going to get in cancellation fees from my current processor. Ughhhhh!

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Janice, give me a call sometime and we can discuss further. Thanks for looking into us!

    James Britton
    Sales Manager | payment Depot
    (714) 922-9984
    james@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    Natsuko

    I was just shopping around for a new processor since I had Elavon for 9 years, I thought it’s time to look around…
    I was shocked when a very nice lady from this company told me I cannot get their service because I am not an American Citizen. I am Japanese married to American citizen, and I am not ready to denounce my Japanese citizenship…. but she told me to call back I decided to become an American citizen… (in very nice way… she is very compassionate and sweet)
    It was my first time that I was denyied any business because of my immigration status. I thought it is discrimination, but I guess it is not….Any company have right to refuse service….
    I understand it’s not even the compay’s fault, since it soumded like the first data is the one who is contolling this matter. I called first data and was told, they can sell me the service, so they have different policy towards their direct customers.

    Anyway, it is sad that I cannot even try the Payment Depot and I hope someday, they realize it’s a bad policy…. Again, the person I talked to was really nice so I would think you get good customer service, if you were to try them…

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Natsuko, I am aware of this situation and really wish were able to serve your business. If it was up to me we would already have you signed up. Unfortunately we are at the mercy of the processing banks. Good luck to you in the future! We appreciate the opportunity to earn your business

    James Britton
    Sales Manager | payment Depot
    (714) 922-9984
    james@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    carlos.nieto

    Interchange plus 0%, plus a transaction fee is still Interchange Plus.
    If you have a casual diner with a $17 average ticket at .25cents/txn, that is 1.47% (divide the transaction fee by the average ticket. In a small ticket enviroment, say coffee shop with a $7 ticket, that is 3.57% over interchange. Most processors can charge a straight transaction fee or a discount rate, the problem is that most reps don’t get to know your business to understand what are your processing needs. They are too busy trying to figure out how much margin is on the table, rather than seeing if it’s a right fit to provide a win/win solution. I am also in the business, but I like reading the responses here from the Payment Depot staff. Regardless though, this is still Interchange Plus.

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Carlos, we at Payment Depot believe in establishing long term relationships and are willing to customize our plans to meet each one of our merchant’s needs. We would never set up a merchant with high volume transactions at .25 per Feel free to call or email with any questions

    James Britton
    Sales Manager | payment Depot
    (714) 922-9984
    james@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    Vikas

    Payment depot looked like a great option to me as I was looking at starting my own practice(physician). But after talking to some one at Payment Depot, I found out that I am not eligible as I am Permanent Resident(green card) and not a citizen. First Data which is the solution provider to Payment Depot requires that atleast one owner be a US citizen. Maybe in the future !

    This comment refers to an earlier version of this review and may be outdated.

    Tracy

    Hi Tom,

    Thank you for the very informative posts. I have been doing a lot of research for a Merchant Services company that would fit our needs and not have us get thrown under the bus with outrageous fees and such. We are gonna be a new company, technically wine bar. I wonder if you have any recommendations on where to get a list of what Payment Depot considers “High Risk vs Low Risk?” I guess it would be First Data’s list as they approve or deny applications. Any help would be great. We are expecting to do anywhere from 500-800 cc transactions per month to start.

    Thank you,
    Tracy

    This comment refers to an earlier version of this review and may be outdated.

    Chloe Bahal

    Hi Tracy,

    You can find a list of Payment Depot’s accepted and prohibited industries here.

    This comment refers to an earlier version of this review and may be outdated.

    T

    Why won’t any of these credit card processing companies services the US territories?

    This comment refers to an earlier version of this review and may be outdated.

    Beth

    Payment Depot, resellers for First Data, wanted a $10,000 risk deposit from our company, which was ridiculous. And they wouldn't specify why. Truthfully, I think that the person who processed our application to First Data messed up the application. Our average sale is about $50 and our average month is $33,000. We have very few chargebacks and we have been with e-online data (now EVO) since about 2009 and never missed a payment. I rate Payment Depot LOW. One star.

    1

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Beth, thanks for your input. We have no say in what merchants First Data approves, declines, or requests reserves from. We submitted the application exactly how you completed it. Its unfortunate that First Data deemed your business high risk as we would have loved to work with you. Good luck in the future

    James Britton |
    Payment Depot | Sales Manager
    (714) 922-9984

    This comment refers to an earlier version of this review and may be outdated.

    Randy Hayashi

    Hi Beth,
    I reviewed the whole case as well and I apologize that we were not able to get your account approved. Like James mentioned, we process through First Data and they have the final say in approvals and declines. They did tell us that based on the type of business, they were going to require a reserve account. Our internal processor, John relayed the requirements to you and also suggested that you NOT take the deal. In our experience it is almost always a bad deal when an account is forced to have a reserve. We actually thought that we were doing the right thing by suggesting that you NOT use us if First Data was going to require a reserve account. I can certainly understand your frustration, however I believe that we acted in an honorable and transparent way by telling you that a reserve account is a bad idea and even apologized to you for the fact that First Data was requiring that of you. I obviously don’t want bad reviews online, but I believe that we handled the situation in a professional manner and we will continue to look out for merchants whether they use us or not. Again, we do wish you the best of luck in your business and I really do wish that we could have worked with you.

    Randy Hayashi
    COO

    This comment refers to an earlier version of this review and may be outdated.

    Hang

    I have the worst experience applying for an account with them. After I submitted the application I had to wait for about 2 weeks till they requested for a bunch of documents saying that after submitting those documents I will get approved. I submitted the documents and heard nothing from them until 3 days later, ANOTHER credit card processing company called me saying that my application with Payment Depot got denied and that was why they called to offer their service. So Payment Depot NEVER informed me about my application status but they sell my contact information to another company without my consent. I will never do any business with Payment Depot and I hope other people will never deal with them

    1

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello, thanks for your feedback. Here at Payment Depot we strive to have best in class customer service and we can’t improve without hearing from merchants. With that said, I don’t really think your review is fair. In this industry certain businesses have higher risk than others and unfortunately your business model falls under that “High Risk” category. You submitted your application on a Thursday afternoon and we sent you the email requesting additional information for approval on the following Tuesday morning. That is less than 3 full business days, much less than the two weeks you suggested in your complaint. Additionally, this was the second time you had attempted to apply with us. The first time you were declined as well due to the nature of business but we honored your wishes and attempted to apply with the bank again on your behalf. In regards to us selling off your information, that is absolutely false. My sales representative went out of her way to find a High Risk Processor that could work with your business. She isn’t required to do this but it’s the extra effort our employees do to help merchants out. It’s unfortunate the Bank declined your application because we would have loved to serve your business unfortunately, we couldn’t and I wish you and your business all the luck in the future. Feel free to call or email if you would like to discuss further.

    James Britton
    Sales Manager | Payment Depot
    (714) 922-9984

    This comment refers to an earlier version of this review and may be outdated.

    Panu wongngam

    I have the same issue, that I end up using the company that I never sign up for, even now payment depot still keep lie to me everytime when I called them they always tell me that I'm using payment depot but when I call the clover customer service they told me that I didn't set up with payment depot but I setup with bestmerchant rate, I don't know what to do, I using them for couple day for my restaurant business and I still not see the money deposit to my account, and if I call payment depot I know they will just keep lie to me again. Because I called them for more than five time and they kept told me that I using payment depot even I know I'm not using them, they think that I'm stupid and can just keep lie to me everytime. I trust payment depot that's why I'm signing up with them for my restaurant business, but they sell my information to another company And charge me for the annual fee plus the mobile clover for almost a thousand, and now I know that I will end up with pay a lot for the credit card rate even they told me I will pay only five cent plus interchange rate, I want to ask them why they not telling me the truth so I can just cancel and get my money back and apply for the new merchant company that I want to use instead of them judging me to use the company they want and kept lie to me. They provide me the website to look at my report but I can't even see the report the end of the day I don't know where is my money goes I hope this money will deposited to my account soon so I can cancel and get my money back and hope I can return mobile clover because they are expensive. I feel really bad for trusting the wrong company with never honor to the customer but just scam people;(

    1

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Panu, You are processing with Payment Depot and as far as we can see on our end, you are receiving your funds without any issues. We have not sold your information to any other organization and are your only merchant processor. I will reach out to you and clarify any misconceptions. Thanks for being a memeber with the Payment Depot

    James Britton
    Sales Manager | Payment Depot
    (714) 922-9984

    This comment refers to an earlier version of this review and may be outdated.

    Tammy

    This website is a fabulous resource for those of us who know little. Based on comments & responses, I have deducted that Payment Depot only operates in the U.S.? If I am a wrong, please let me know as I was all ready to sign up but am a Canadian Merchant.

    This comment refers to an earlier version of this review and may be outdated.

    Chloe Bahal

    Hi Tammy,

    Unfortunately Payment Deopt only operates in the US. I would recommend checking out Helcim, they are a great alternative!

    This comment refers to an earlier version of this review and may be outdated.

    Jean Metairie

    We are about to open a coffee pastry shop and expect $50.000 of sales per month with a $10 average ticket. Because of the low ticket average is Payment Depot a good solution for us?
    Thanks

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Jean,

    It’s possible that we are the right fit. Just depends on a few things. We definitely would need to have a conversation over the phone and go over the numbers. Normally for coffee shops you need a very low per transaction rate and a complete understanding of pin debit vs. signature debit. Feel free to call me to discuss, as always we have no contracts or cancellation fees and offer a 90 day risk free trial.

    James Britton
    Payment Depot | Sales Manager
    (714) 922-9984
    james@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    MaryBeth

    So, this is Interchange plus pricing with the extra fees bundled into a monthly “subscription fee”. How is that different than straight Interchange Plus pricing? Also, on their website they show that they go directly to Visa and MasterCard cutting out the sales person and processor but they also disclose that they are an ISO of Wells Fargo…..so there is a processor. That’s very misleading and doesn’t appear accurate. My current monthly fee is only $5.00 and PCI is only $65 a year, RAAP is $0.00 so to pay $49 a month would be a substantial monthly increase, right? Pricing is IC plus .06% and $.05 transaction fee on about $40,000 per month. Average ticket of $10. That $.15 transaction fee would add about $300 to my monthly fees! What am I missing?

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Mary Beth,

    This is a great question. We always tailor our membership plans to each merchant. Payment Depot obviously wouldn’t be the correct fit if we charged you the $.15 per transaction. We would set you up on a custom plan that would work best for your business and ultimately, save you money. Since we dont have any contracts or cancelation fees we only sign up merchants that will save money and/or looking for best in class customer service. Feel free to call or email me for that custom plan.

    James Britton
    Sales Manager | Payment Depot
    (714) 922-9984
    james@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    David

    I was in the process of switching from my current processor to Payment Depot based on your glowing review and my quote from a salesman named Nick Hogue . He confirmed the pricing you show in your review of $599 per year membership fee, interchange + Zero, and 5 cents per transaction for merchant doing more than $100K per month, no other fees of any kind, plus a free stand alone dial-up terminal for when the internet is down. It seems Nick no longer works there, and his replacement Rebecca says they've raised their price to 10 cents per transaction and no longer provide a terminal. I'm not sure I trust a company that changes their pricing from month to month and does not stick to their original quotes.

    2

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello David, I apologize we didn’t meet your expectations but we don’t change our plans month to month. We strive to be as transparent as possible and all of our membership plans are posted on our website. Even though we don’t give away free terminals, we do have interchange +0% pricing which usually means we’re going to save you more in the long run than a $200 piece of equipment. I would love the opportunity to earn your business, feel free to call me directly at (714) 922-9984

    James Britton
    Sales Manager | Payment Depot

    This comment refers to an earlier version of this review and may be outdated.

    PricingAvenger

    This is one of the least biased and accurate reviews I’ve seen from Merchant Maverick. It may have been mentioned in a previous review/post that I have not seen but I was glad to see in this one that it was clearly stated that interchange pass through has the potential to be less expensive than Payment Depot. The key word there is potential. If you can find an ISO that offers interchange plus 20 basis points and 10 cents (or less), it beats Payment Depot pricing all day long but the merchant must understand what the miscellaneous fees are going to be, and that’s where the less than knowledgeable sales rep (or shady rep) can really do a disservice to a merchant. Those fees have to be kept low ($20 or less per month) on a terminal, anything higher and Payment Depot is probably going to be a better option, or at least about the same price and easier for a merchant to understand. Payment Depot’s first 3 tiers equate to about 25 basis points and about a 10 – 15 cent transaction fee, which is not a bad deal at all for most merchants, but high volume merchants would be better served with a lower cost interchange pass through deal.
    One last thing that it seems a lot of merchants don’t quite grasp is that Payment Depot is not a processor, they are an ISO using First Data as their processor. There’s absolutely nothing wrong with this. You can’t perform a credit card transaction without a processor and very few processors have any sort of direct sales that are accessible by smaller merchants. The role of boarding and supporting these merchants is filled by thousands of ISO’s across the world, that’s why getting a merchant processing account can sometimes feel like the wild west with tons of contradicting information. So in many respects Payment Depot is a good choice, they are not ripping anyone off. Personally I just don’t like the fact that they have some blatant lies on their website, like claiming to “cut out” the processor and the middle man, when in fact they are the middleman. I don’t see a need for this deception when they are already being fair and decent with the merchant with regards to their pricing.

    This comment refers to an earlier version of this review and may be outdated.

    Andrew

    We’ve been a Payment Depot customer for about 6 months, and so far our experience has been largely positive.

    Last month, our blended rate (the cost of our subscription for the month, plus fees) was 2.28%. Not bad, and their customer service has been good.

    My only complaint is that Payment Depot (and First Bank) is one of the few processors that requires PCI-validation from small merchants like us. Most processors take the bourdon of PCI-compliance on themselves, upstream from smaller merchants. First Bank requires PCI validation from small merchants, or else charges a $19.95/mo fee.

    I’m a fairly technical person, but the PCI compliance process is nuts. It requires extraordinary and unncessary measures such as creating a completely separate network just for your credit card transactions.

    So, either plan to invest an extraordinary amount of time and effort in fulfilling the requirements of PCI-validation, or add $240/yr to your Payment Depot quote.

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Andrew, thanks for your feedback! We are proud to have you as a member. If you ever need to discuss your PCI issues, call me directly and I will transfer you with one of our in-house technicians. We aim to have the best customer service in the business and feed back is appreciated! As always, you can call me directly at (714) 922-9984

    James Britton
    Sales Manager | Payment Depot

    This comment refers to an earlier version of this review and may be outdated.

    Greg Nield

    Tom I spoke with you a few years ago when starting my business. I ended up with Infotouch POS that was embedded with Mercury as the CC processor. I actually had good fees and service with them but then the Infotouch people had a falling out with Mercury and switched to a unknown company TTSI. I was “promised” my fees would match but they have been higher and continue to grow. Average month is just under 80K in credit/debit card charges. Recent example December 2015 was our best month ever with $104,495 in credit/debit charges and fees were $2,683 which to me are high. Maybe someone from payment depot can weigh in as well. Thanks!

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Greg, I would love the opportunity to earn your business! We wont promise you anything except a 100% money-back guarantee if you aren’t completely satisfied with us. We have no contracts or cancellation fees of any kind. Feel free to call me directly if you’d like to see if we could serve your needs.

    James Britton
    Sales Manager | Payment Depot
    (714) 922-9984

    This comment refers to an earlier version of this review and may be outdated.

    Mike Cramer

    I am a current client of less than a year. I did have an issue when first setup. Talk about customer support, the CEO called me to discuss the issue. My customers complement the terminal and comment on how fast it processes chips. They expect a 15 second delay, which we don't see. I would recommend them for their support, but you would need to do an apples to apples comparison to know if it is right for you. I had to wait a month to make certain I was getting the savings I expected. The banking industry does not make it easy to compare until you see the actual bottom line. I am signed up for the $40,000 a month service and am happy. The Clover Mini is the best.

    5

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello Mike,

    This is James Britton, Sales Manager at the Payment Depot. Thank you so much for the kind words. If you ever have any issues, feel free to call me directly at (714) 922-9984. Since you’ve signed up, the delivery and set up times on the Clover Mini has greatly improved as you were one of the first members to order it at the time. Once again, we very happy to have you as a member and never hesitate to contact us if you have any questions.

    Respectfully,
    James

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    clint

    unless I am misunderstanding the review, it seems their rates have changed. according to this https://paymentdepot.com/how-it-works/#section-pricing you get charged anywhere from 25 cents to 10 cents in addition to interchange fees. You also still have the monthly $29-$99/mo membership fee. From the review here it seemed that you only had a membership fee + the interchange rates.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Clint,

    They have no percentage markup, but do have a per transaction fee and a monthly fee. So if the interchange is 1.5% + $0.10 and you’re on the basic plan, you pay 1.5% + $0.35. For small transactions, this might not work out well for the merchant. But for mid- to large-sized transaction, the percentage makes a big difference.

    In the review we say “0% + $0.XX over interchange” to describe this pricing.

    This comment refers to an earlier version of this review and may be outdated.

    Tracy

    Hey Tom!
    I feel like I know you having read so many of your reviews!
    Anyways, I am currently with Helcim (who are great) but i am constantly approached by other companies. What i have learned, via others experiences and my own, is if the company has independent sales reps they are probably really shady.
    Most companies tell me i can save anywhere between $50-$140 (depending on the company) most of these companies i have been able to give me lower rates but charge me all that “saved” money in their miscellaneous fees.
    I was curious of which company you think is better for a business like mine Helcim or Payment Depot? ($1300 avg/mo.) or any other suggestion you may have for me to research.

    Keep it rockin, Tom!!

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Tracy,

    I’m glad our reviews have helped you! I have found the same thing regarding processing companies that use independent agents. Sure, some of the independent agents are knowledgeable and fair – but many of the companies lack the oversight needed to ensure consistency and professionalism. That’s why we love services like Payment Depot (and our other favorites). They publish standardized pricing, so everyone is on the same page. Businesses that process large volumes each month can get rates lower than the advertised rates, but for small to average sized merchants – what you see if what you get, and that’s a good thing.

    For your business, all of these options will likely cost about the same. The margins are so small at ~$1300 per month, it really won’t make a difference given the fact you already have a great interchange-plus plan with Helcim. I’d say if you’re satisfied with Helcim’s service, stick with it. Their rates are about as low as you’ll find anywhere else, and they do a REALLY good job of keeping added fees to a minimum. You’re next best option is probably Payline Data, because they have a low-volume plan. But really, we’re talking about a maximum potential savings of under $5 per month in all likelihood.

    Thanks for reading!

    This comment refers to an earlier version of this review and may be outdated.

    Rob t

    i signed up with payment depot last month and just received my statement. I'm extremely happy and am saving a ton of money now. Thanks payment depot!

    5

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    James Britton

    Hello Rob,

    James here from the Payment Depot. Thanks for the review! We really appreciate you and are happy to have you as a member. If you ever have any issues, please call me directly at (714) 922-9984

    James Britton | Sales Manager
    Payment Depot
    Jbritton@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    Jeff Shelnut

    Tom,
    First I want to thank you for your comprehensive and extremely informative site. I am presently using Transfirst and NOT happy. My bottom line cost monthly for my online store has been between 4.5% to 5.5% of the total $ transactions for the month (usually around $5-$6K)(have about a half a page of itemized charges). I have noticed on this site they have a Max of $10K processing for the month, what happens if you exceed that in a single month. Do they stop processing you after $10K or do they automatically bump you up to the next level forever? I could process that amount but must have a paypal button on my site, cause a lot of clients like it. So, theoretically I could easily go over the $10K if my paypal button went down, as I do about half for each.

    This comment refers to an earlier version of this review and may be outdated.

    Randy Hayashi

    Jeff,
    Sorry that we missed this and never commented back. Our pricing has changed and the Basic plan now goes up to $20k. We are not sticklers on the max volumes. If you were to go over $20k by a few thousand dollars each month it would not be an issue. If you go way over it as an average for the year we would call you before your renewal and suggest moving to the next plan. These are the easiest calls we have to make because after a year of processing, if our members are saving money and processing twice as much as they expected, they are happy to move to the next plan.

    This comment refers to an earlier version of this review and may be outdated.

    Ketan

    Hello Tom,

    Thank you for your comparison and reviews. They are great help of someone who is getting new in business and for anyone that has been in the industry.

    I am buying two business with one being small convenience and one liquor store. I feel the small store maybe less credit card but the liquor store will have good amount of credit card sale. Does any merchant services provide rate on combining both store sales. I want to stay with one merchant services but i feel like i am not saving by going with one based on top 4. What you recommend i go with and it is best choice? I am thinking of also banking with Bank of america for business banking and one of the store has clover.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Ketan,

    You’ll need two different merchant accounts because the businesses are different. Each has a different risk profile, and thus will need to be approved separately. Although it would likely make your life easier to get both accounts from the same provider, and you might be able to leverage some savings by bringing them two accounts. I can’t say which choice would be best based on the information you’ve provided. Check out our merchant account finder. It will help you find the best account for your businesses.

    Hope this helps!

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Ketan,

    this is Valerie from Payment Depot. As Tom mentioned, you will need two separate merchant accounts for the two businesses, however at Payment Depot we work really hard to make sure we are providing great service at a great price to our members.

    If you’d like to email me at valerie@paymentdepot.com I can get a free, no commitment quote started for you. That way, you can get an idea about our pricing, tailored to your business needs.

    Thanks,
    Valerie

    This comment refers to an earlier version of this review and may be outdated.

    Earl Rissel

    I am just starting to look into taking credit cards for our business in the water treatment industry. I would need a mobile terminal or some way to connect to our tablet or phone both android based. I was starting to look at Square and First Data independent out of Virginia but found this. I was quoted 3.25% & $.25 just for the transaction. Any information would help.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Earl,

    That’s awfully expensive. Try our merchant account finder. The majority of the merchant account providers we’ve reviewed include mobile capabilities as part of their basic package, and the rates will be far less than 3.25%. For more info about fee, check out this infographic.

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Earl,

    this is Valerie from Payment Depot. I would love to get more information for you on how Payment Depot can benefit your business. We do credit card processing differently than most other companies in this industry. We charge an annual membership fee and then give you the wholesale processing rates, which means you only pay what you have to. No markup on rates, ever.

    You can reach me at valerie@paymentdepot.com to get more information about our service tailored to the intricacies of your company.

    Like Tom said, 3.25% is very expensive, so no matter which company you go with make sure the rates are not that high.

    Feel free to contact me with any questions,
    Valerie

    This comment refers to an earlier version of this review and may be outdated.

    Mogi

    I’m opening a new fast food restaurant. At this point i don’t know how much transaction i will be making. First i was thinking to get a Square but i found out about clover. Is clover a better choice than square for a fast food type restaurant?

    This comment refers to an earlier version of this review and may be outdated.

    Frog

    My rating is based upon what appears to be excellent customer support. I am currently with 2co and after reading this I am convinced I am in the wrong place. I had filled out all of my tax information they wanted (7 times) and they quit paying me because they did not have the information. I thought I was going to have to fly to Cleveland to get it resolved. Their emails must be backlogged for months. Payment Depot is quite a contrast. Their people are here on a review site helping people. I am sold.

    4

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    We’re glad to hear you’re excited about Payment Depot! This is Valerie, if you have any questions about our membership or want to get a statement comparison started I would love to help you.

    You can reach me at valerie@paymentdepot.com.

    This comment refers to an earlier version of this review and may be outdated.

    Danielle

    We are a midsize landscaping company using FTS/Card Connect with a virtual terminal to process. We probably run 25-40k a month but it is all keyed entry. We have no “retail” center to swipe cards. It seems like the fees are very high and also difficult to really understand. Would you recommend Payment Depot for us?

    This comment refers to an earlier version of this review and may be outdated.

    Amad Ebrahimi

    Danielle,

    I think Payment Depot would be a great option. As a landscape company I imagine that most of your transactions are large amounts. Payment Depot only charges a per transaction fee and a set monthly fee (plus interchange), so it’s an ideal setup for high volume, high ticket businesses.

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Danielle,

    my name is Valerie from Payment Depot. We can provide you with the wholesale cost to process credit cards for your business. If you’d like to get a statement comparison started or if you have any questions, you can email me at valerie@paymentdepot.com.

    Thanks,
    Valerie

    This comment refers to an earlier version of this review and may be outdated.

    Tina

    Hi Tom,

    Thank you for creating this awesome informative forum. I’ve been shopping around for a merchant service provider and thought I got a good deal through a different vendor until I read your forum. I’ve spent my Sunday reading through most of your blog and have narrowed it down to two different providers but do not know which is the most cost saving. I’m leaning towards Payment Depot but would like to know what your thoughts were. I own an auto repair shop and credit card sales ranges from $25k-$40k a month. Our repair orders ranges from $40-$4000 and we have about 75-100 transactions a month. With the Payment Depot annual fee of $399, it seems like the best deal but what happens if my credit card sales exceed $40k a month? Also, the other provider I was looking into was Helcim. At a lower volume, it would make sense to go with them but considering we are an auto repair shop, our sales volume are typically in the $30-$40k credit card sales. Please help me to find the most cost saving merchant service provider. Thanks in advance, Tom.

    This comment refers to an earlier version of this review and may be outdated.

    Chloe Bahal

    Hi Tina,

    I would try Dharma Merchant Services.

    This comment refers to an earlier version of this review and may be outdated.

    Dale Degagne

    Is this company even still valid?

    I go to their website, and just get a blank white page. Not even a 404….

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Dale,

    The site must have been experiencing technical difficulties. It seems to be working now. They are still very much in business.

    This comment refers to an earlier version of this review and may be outdated.

    Dale Degagne

    It must be at my end then. I can’t seem to get anything. Could be because I’m in Thailand at the moment.

    This comment refers to an earlier version of this review and may be outdated.

    Randy Hayashi

    Dale,
    Sorry that you are not able to access our website. We have the site blocked outside of the United States. This industry experiences a large amount of fraudulent inquiries from overseas so we decided to limit our website to the United States. I am sorry for the inconvenience, but please feel free to reach out to us at sales@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    Teresa McKinley

    We have a small restaurant & have been using First Data via our bank for approx. a year now. They have just raised our rates. Their customer service is excellent & their payments are timely. I will be talking to them Monday about buying a new chip terminal. Can you give me some advise on what to negotiate ?

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Teresa,

    this is Valerie from Payment Depot. I noticed that you said your rates were being raised by First Data and wanted to let you know more about our Pricing Structure at Payment Depot.

    We charge our merchants a low annual membership fee and then our merchants get the wholesale rates directly from the card brands. This means your rates never increase unless the card brands (Visa, MC, Discover, Amex) decided to raise them. We would love to talk to you about finding a solution for your business and getting you a chip card reader too. Don’t hesitate to contact me at valerie@paymentdepot.com

    In terms of negotiating with your current processor, I would say that you should make sure to remind them you have many many options when it comes to payment processing and you may be able to find a better deal somewhere else.

    This comment refers to an earlier version of this review and may be outdated.

    Carol

    Hello Tom,
    We are clothing manufacturers who would like to know which cc processors you recommend for a strictly e-commerce website? (initially low volume)
    We have an established retail store, but this will be totally separate.
    Carol

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Carol,

    Thanks for writing! For low-volume e-commerce, my first choice is CDGcommerce. The gateway is included for free, and monthly fee is only $15. No monthly minimum, no early termination fee.

    I also like Payline Data for low-volume because they have a $5 per month plan, but it might end up being more expensive than CDG in your case when other costs are added in.

    This comment refers to an earlier version of this review and may be outdated.

    Carol Turner

    Tom,
    We are considering changing processors, and we’re wondering if you have written anything advising what to watch out for when reading “term & conditions” …
    For instance, is it standard for a processor to expect quarterly financial statements on your business?

    Carol

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Carol,

    That’s not usually an enforced rule, but the processor does usually retain the right to demand such documentation at their own discretion. For a new business without a processing history, or for businesses in certain industries, this sort of documentation might be requested regularly from the outset because there is a increased level of perceived risk from the processor’s standpoint. They use this sort of documentation to make sure the business is legitimate.

    We haven’t written extensively on the finer points of processing contracts, mostly because a lot of these points are industry-wide and non-negotiable. Unfortunately the merchant has to sign away a lot of rights in order to open a merchant account. But we do tell merchants to be wary of things like early termination fees, liquidated damages, and auto-renewal clauses, all of which are negotiable contract points. We also encourage merchant to at least familiarize themselves with the contract section regarding reserves, holds, and chargebacks. Although these points are not generally negotiable, they are important to be aware of.

    Hope this helps! Good luck.

    This comment refers to an earlier version of this review and may be outdated.

    VH

    I've joined Payment Depot for almost a year now. We were able to save a little bit of money compare to our previous merchant. Lately we've had issues with cards being declined, payment process duplicates, transaction email notification no longer works. I've tried email support a few times for a couple of different things but never a response back. Calling support doesn't help much either. I'm calling it it quit and back on Merchant Maverick for another merchant provider.

    3

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hello,

    this is Valerie from Payment Depot. I am sorry to hear about the issues you’ve been having with your account and would love to work with you to get these issues resolved.

    Has this been happening for the entire year or is it something that has come up recently?

    In order to move forward you can send over an email to valerie@paymentdepot.com or reach out to your account manager (the person who you spoke to when you signed up). At Payment Depot we want to make sure our members are taken care of and are satisfied with all aspects of their membership.

    Please do not hesitate to contact me!

    –Valerie

    This comment refers to an earlier version of this review and may be outdated.

    VH

    This had just came up recently. The issue was resolve several days later. It is happening again today. We were on the phone with support for an hour with no resolution.

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    I’m sorry to hear you are having an issue with your account, again. We are doing everything we can in order to resolve the problem and appreciate the time you’ve given to support.

    This comment refers to an earlier version of this review and may be outdated.

    ben

    I am having a tough time getting my high risk account approved.

    any suggestions… payline data cant approve a canadian high risk account.

    cheers,
    Ben

    This comment refers to an earlier version of this review and may be outdated.

    Chloe Bahal

    Hi Ben,

    I would try Durango Merchant Services and Instabill.

    This comment refers to an earlier version of this review and may be outdated.

    Ethan

    I saw lots of people promoting cost plus plan as preferred. Then I realize none of the writers were actually a business owner. Our business averaged 1.4 to 2.0% on exchange fees every months. That is the cost. Our volume is much higher than 400,000 a year. With the monthly fee they charge, it effectively adds 1 whole percent. So the effective rate is 2.4 to 3%. Much higher than spark charges. A real business owner with statement every month will see the payment depot is VERY expensive UNLESS all your customers use debit card.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Ethan,

    The mid-grade monthly plan only costs $33 monthly if paid annually. That’s 0.10% of $33,333 per month ($400K per year), not 1%. Plus $0.15 per transaction. A markup of 0.10% + $0.15 is not bad, especially when there is no added monthly fee (as you know, most processors charge a monthly fee). If processing a traditional rewards credit card, the interchange would be 1.65% + $0.10. No matter who you process with, you must at least pay this much obviously. With Payment Depot, the total cost is only 1.75% + $0.25 in this scenario. With a gateway and virtual terminal. No monthly fees! Most processors will charge at least $7 as an admin fee, plus maybe $10 for the gateway. That’s $17, bare minimum, without PCI fees. This means that PD’s monthly markup is really more like $16, which is 0.048% + $0.15 on the mid-grade plan paid annually given $400K per year. Starting to look pretty good?

    If you are paying as low as 1.4% as your effective rate (including all annual and monthly fee, etc.), then please send me the name of your agent. I would love to send him or her a whole lot of business. Otherwise you must be processing a whole lot of large debit transactions, because 1.4% is well below actual cost for literally all credit transactions.

    The reality is that even though I and other reviewers are not usually business owners that take credit cards, we in fact review many more processing statements than most business owners do. Cost plus isn’t always the cheapest option, sure, but it often is. And it’s always the easiest to make sure you’re not getting ripped off with. Plus we have to consider that subscription pricing like what PD offers is not exactly the same as cost plus.

    So I hope you’ll give Payment Depot a second look. Remember to move the decimal place over! 🙂

    Best,
    Tom

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Ethan,

    I’m glad you wrote in. My name is Valerie and I work at Payment Depot. I see that you have some concerns about whether or not we offer real savings to real business owners. What I can say is that we completely stand behind our service and are an honest group of people looking to give fair prices to business owners. If you can, I encourage you to check out our testimonial section of our website. It features real Payment Depot members and their real savings.

    That said, I would love to offer a free, no commitment statement comparison to you. We would compare your current credit card processing statement to what your statement would look like at Payment Depot. I can’t promise we will save you money (though I am very confident), but I can promise we will be 100% honest with you. If we can’t save you money, we will let you know. Email me at valerie@paymentdepot.com if you want to start the statement comparison or if you have any other questions!

    This comment refers to an earlier version of this review and may be outdated.

    April

    $400/400,000 is 0.1%, not 1%.

    This comment refers to an earlier version of this review and may be outdated.

    Stephen

    Correct me if I’m wrong but the first two payment plans do not come with a terminal nor any device that allows people to actually swipe cards, in which case a retail merchant is paying on average 0.5%+ more in Interchange rates due to the difference between swipe and key entry (whether it’s debit or credit). This means forfeiting around $100/m for every $20k in sales volume. On top of this the owner must always be around for transaction purposes because he or she owns the phone or IPad that handles purchases. Also, I’m curious as to just how wise transmitting highly sensitive payment information via a smart phone or IPad actually is. It has to be one of the most insecure forms of payment at best.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Stephen,

    The first two plans do not include the cost of the machine, but you certainly can buy one and use it with Payment Depot. They do this in order to keep the price on these plan low, so that those who do not need the machine do not have to buy it just to sign up. EMV-compliant machines start at around $250. Instead of using the traditional countertop machine, you can use a headphone jack swiper (about $50) and process via a smartphone or tablet. The data is encrypted by the reader and never actually enters your phone, so this is a very secure method. Just because the owner owns the device does not mean that he or she can’t allow an employee to operate the device. Business owners should consider purchasing a dedicated device.

    The other option is to key in card payments. In general, it is not a good idea to key in card-present transactions. By doing this, as you mentioned, you would miss out on interchange savings and also increase your fraud risk. Keyed entry should be reserved for telephone order, mail orders, and other card-not-present transactions.

    Hope this helps!

    This comment refers to an earlier version of this review and may be outdated.

    Valerie

    Hi Stephen,

    my name is Valerie and I work at Payment Depot. Thanks for writing in. You are right that we do not offer free equipment on the first two plans, but this is in an effort to keep costs low for all members, not to force people to pay the higher keyed in fees.

    We can reprogram about 90% of terminals out there and we find that many merchants do not need any new equipment. For the merchants who do need new equipment, we offer a variety of terminals at wholesale costs. We’re taking every step we can to help our members save money.

    Like Tom mentioned, we do have options for accepting payments with a headphone jack swiper or a virtual terminal and like he mentioned they are secure. I would be happy to answer any more questions. You can reach me at valerie@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    Ivan Kohler

    I *really* wanted to like Payment Depot. The signup process was painless, the support is top-notch, and interchange plus zero pricing is very attractive.However, after I went through the whole signup process, I was given First Data's number for support and found out this is just a First Data reseller. I felt deceived that I was not informed of this up-front.Like many other merchants, I would never in a million years ever do business with First Data again. To quote Merchant Maverick's review itself, "First Data also has a tendency to hold funds or shut accounts down at the drop of a hat.".It doesn't matter how good Payment Depot's pricing or service is, until they get this corrected and hook up with a reputable processor, they are a completely unacceptable business risk. I'd rather pay higher fees and sleep easier at night than save a few dollars and constantly be wondering when First Data was going to screw me over.

    2

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Ivan,

    I certainly appreciate your concern, which is why we made it clear in the review here that Payment Depot uses First Data as their processor. First Data has certainly burned a lot of merchants over the years, as you can see in various complaints on our site and across the web. But Payment Depot does more than just put a new label on a First Data contract. Based on the merchant’s I’ve spoken with who use Payment Depot, this company seems committed to customer satisfaction. By helping merchants to avoid risk and avoid the most costly portions of a standard First Data contract, Payment Depot seems to be performing well in terms of keeping accounts stable and inexpensive, and resolving any complaints that might come up quickly. That’s way more than we can say about First Data and most branded First Data resellers.

    The fact is that there are a lot of decent processing providers who use First Data on the back end. When handled correctly, there’s no reason why FD accounts can’t be reliable and cost-effective. But at the same time, I completely understand that merchants who have had a bad experiences do not, under any circumstances, want to give First Data another dime of their money. For this reason, we make sure that it is clear in the review that FD is used as the processor.

    Funding holds and account suspensions are always possible no matter who the processor is. Check out this article for some tips on avoiding these issues.

    If you’re interested in a different option with similar pricing, check out Transparent Merchant Services. I’m not 100% sure who their processor is, so you should ask that upfront. But they may be worth a shot.

    Good luck,
    Tom

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Ivan,

    My name is Valerie and I work for Payment Depot. I wanted to reach out to you just to say that I’m sorry you felt deceived about us using First Data as our processing bank.

    While I understand your hesitation to use Payment Depot because of your previous negative experience with First Data, I have to say I’m bummed. At Payment Depot we believe in our service and are working really hard to make sure our members feel taken care of.

    If you reconsider in the future we would love to have you back, but in the meantime I hope you find a processing company that will meet all of your needs.

    Please don’t hesitate to contact me with any other questions or comments: valerie@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    Jean

    I was going to try Payment Depot until I read the words “First Data.” For many merchants, First Data triggers post traumatic stress. Just kidding. Sort of. I’m in the “no way in heck will I ever go near First Data again” group.

    This comment refers to an earlier version of this review and may be outdated.

    Marcelo Guimaraes

    Valerie,I saw Ivan's comments and immediately understood his frustration, for my experience has been very similar to his. Payment Depot has, in fact, been a dilemma to me: on one hand, first-class customer service. Randy handles my account and I have only positive things to say about him: hard-working, diligent, professional, courteous. He has taken a significant amount of heat from me and has remained professional, although he has gotten close to insinuating that I take my business somewhere else, on one occasion. I am considering his near-suggestion, but have not made up my ind yet.On the other hand, First Data. I can't say that my experience with FD (and, consequently, with PD) has been bad. It has been CATASTROPHIC. Last year I lost $2K on a chargeback situation because Payment Depot did not provide me enough information so that I could address the situation properly. Randy addressed this by waiving my fees for 48 months, which cut my losses in half. This year, my company was the victim of a fraud case in early March and now, 3 months later, I am still having to dedicate hours to sorting this out, with Randy. It's a nightmare. Money simply disappears from my account - in large sums ($5K, $10K, $15K), from time-to-time, without any warning. Funds are withheld, from time-to-time, without warning. I have to monitor my bank account daily for new surprises.I keep hearing that "this is First Data's fault," but that just doesn't do it for me anymore. Payment Depot is the company I hired, not FD. I think it is a shame that you, as a company, work hard to provide such high-quality customer service and, at the same time, allow your customers to struggle so much by having FD as your bank. So, yes, this is a very mixed review. My advice to anyone considering Payment Depot: eventually, a chargeback or fraud situation will happen to you. It's inevitable. When that happens, be ready to dedicate many, many man-hours (and, subsequently, dollars) to working on the issue with PD.

    2

    This comment refers to an earlier version of this review and may be outdated.

    David STrain

    I’m still trying to decide if making the jump to Payment Depot is a good idea for my restaurant or not. I’m currently using Mercury, without any issues, except their high fees. It’s gonna be a big hassle for me to switch. Your review was very insightful.

    This comment refers to an earlier version of this review and may be outdated.

    James Britton

    Hello David, thanks for your interest into Payment Depot. Feel free to contact me if you would like to get more information and figure out if we are the right fit. I can provide you with actual statements from other restaurants that use us as well. We have no contracts or cancellation fees of any kind and have a full 90 Day risk free trial.

    James Britton
    Sales Manager | Payment Depot
    (714) 922-9984
    jbritton@paymentdepot.com

    This comment refers to an earlier version of this review and may be outdated.

    Randy Hayashi

    Marcelo,
    Again I apologize for the situation that you are in. This was a very complicated situation that was compounded by human error at the processing bank as well as the complicated systems of multiple large banks. This is not an excuse, and we have been working hard with First Data to resolve this. I know that I have spent over 30 hours working on this over the last 2 months, and I would do it again for you or any other member at Payment Depot. The initial fraudulent transactions that were caught by you should have been handled promptly by First Data when we alerted them about it the same day it happened. The issue was compounded by a human error at the processing bank which caused this whole string of events. Unfortunately at First Data, Discover and Chase, their systems are extremely automated so even when the proper forms are filed, if there is a chargeback in the system, it could still trigger the issuer to withdraw the funds from your bank account. All of the funds are being pulled by the actual issuer so Payment Depot and First Data have little to no control over what happens. On one occasion we even pre funded the money back to you that was pulled by Chase so that you would not be without the funds until they correctly reversed the chargeback. You have every right to be angry and I am angry about this situation too. You have every right to post this mixed and angry review and I don’t blame you for doing it. The bottom line is that we let you down. Whether it was the fault of the processing bank or not, you signed up with Payment Depot and despite our best efforts, you are still not satisfied so we must take the blame. It is my responsibility to defend my company and while I hate having to post a reply publicly, I don’t have a choice. This was a very unique and isolated incident and one that I have not seen before. I am dedicated to the continued fight of getting everything corrected on your account and making sure that you can just focus on your business again and not banking issues. Marcelo, I hate that this is happening to you and your business. I hate that after two months this is still not resolved. I am sorry and I will continue to work to get this corrected for you. We are sorry for letting you down.

    This comment refers to an earlier version of this review and may be outdated.

    Jeff

    I signed up with Payment Depot a little over a month ago to provide credit card processing for my new business. The initial call with sales was excellent and the rep was able to answer all of my questions and had my account established with an Authorize.net gateway. The entire process occurred quickly and painlessly. A+ experience. The downside that I have experienced so far is that my phone, a Samsung Galaxy S5 Active, does not recognize the readers that are supposed to be used with the Authorize.net application. Both readers are made by ID Tech and on the product information page, my phone is listed as supported. The Authorize.net product page takes you to the ID Tech page for product compatibility lists, so according to the documentation, it should work. It doesn't. This is not necessarily a hit against Payment Depot in my opinion (since the available literature indicates my phone should be supported), but rather a hit against Authorize.net. They do not have any documentation published that indicates their application has a different compatibility list than the reader itself, but rather imply that their app supports all of the devices on the reader's compatibility list (which it does not). I have made numerous calls to all three companies (Payment Depot, Authorize.net, and ID Tech) in attempts to resolve the problem, but no luck yet. The latest word is that a ticket has been submitted to the tech gurus at Authorize.net to add the Galaxy S5 Active (not to be confused with the standard Galaxy S5...that phone works fine) as a device compatible with their app. In the meantime, I would suggest that Payment Depot (and honestly, any other company that deals with Authorize.net) contact Authorize.net and get a list of devices directly from them that their application supports, since it is apparently different (and FAR shorter) than the list of devices supported by the reader itself. With an accurate list, I have no doubt that Payment Depot could help save people like me a great deal of headaches by telling them upfront which devices will absolutely work with which service(s), and which will not. On the plus side, the customer service people at all three companies were very polite and tried to provide what help they could, even if ultimately they could not resolve my issue. Due to this problem, I cannot yet comment on any other aspect of Payment Depot since I have not yet been able to use the service, but I can give very high marks for their customer service at all levels that I have experienced.

    4

    This comment refers to an earlier version of this review and may be outdated.

    Valerie

    Hi Jeff,

    this is Valerie from Payment Depot. I’m glad to hear you’ve had a pleasant experience with our sales and customer service departments.

    Thanks for the input, we will have to look into getting a device compatibility list from Authorize.net.

    If you ever feel like different equipment would benefit you, feel free to give our tech department a call and they can go over the equipment options available to you.

    Thanks!

    This comment refers to an earlier version of this review and may be outdated.

    Simeon

    I am currently talking with Payment depot to set up an account with them for online payments and was told that they use Authorize.net. It was mentioned previously that they do not.

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Simeon,

    at Payment Depot, we can set you up with Authorize.net, but we also have another gateway, our free virtual terminal for our members.

    Let me know if you have any further questions!

    This comment refers to an earlier version of this review and may be outdated.

    Jeff Allwine

    Liked the article. We are thinking of changing providers as we have FD and even though we did negotiate good pass through rates, they keep creeping up. My question is – Do we need to have any worry that Payment Depot will go out of business and could we be hurt through non payment if they did ? Or does Visa / MC Discover cover this if any problem. They are very new Company and we can;t risk them keeping our charges if something happened to them.

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Jeff,

    great question, this topic is definitely something to think about as a business owner!

    Payment Depot’s sponsoring bank is Wells Fargo, so in the case that something did happen to us, they handle the risk for your transactions and would make sure you do not lose your money.

    I hope I can also give you piece of mind by letting you know that Payment Depot actually stemmed from another company in this industry that was started in 2004. So, everyone in our office has at least ten years of experience in the industry.

    Please don’t hesitate to contact me if you need any more information. (valerie@paymentdepot.com)

    This comment refers to an earlier version of this review and may be outdated.

    Grace McIntire

    First of all, let me just say thank you, thank you, THANK YOU to Merchant Maverick for doing what you do! I'm pretty sure, by now, I've read more Tom DeSimone & Dave Eagle words of wisdom to last a lifetime! :)As a small business owner who is launching a retail shop completely on my own, I find myself spending hours and hours on end perusing your site (and loving it). Who knew POS, credit card processing, and inventory options were so meticulous & abundant?! Even I (who have EXTENSIVE experience in retail management) completely underestimated the plethora of detail all these categories entail. The small companies & corporate chains that I've opened & managed shops for have always had these systems in place. I never dreamed it would be so complex until starting from scratch myself.Thanks to you, I'm gathering priceless research, doing extensive homework, and putting sales reps through the ringer with questions that I wouldn't have even thought to ask if not for your detailed, well put-together reviews & thorough analysis. I just wish I would have found you before a VERY BAD mistake I made with a terribly shady credit card processor.Apologies for the digression...I just wanted to chime in with my preliminary experience thus far with Payment Depot. Thanks to your site, I will be moving forward with their Best Value Membership plan for at least one of our businesses in the coming weeks. After an absolute nightmare experience with another company, I honestly would pay a hefty premium for the transparency that Payment Depot provides. I'll be sure to provide updates on their services once we're actually up & running.Working with Payment Depot so far in the preliminary process has been a tremendous breath of fresh air. I'm currently working with them on finding the best integration for Inventory & POS as we set up our logistics before company launch. I'm a numbers, projections, and spreadsheet kind of girl. Payment Depot is exactly what I need...don't sugar coat the fees or lie to me. Tell me exactly how much it will cost so I can budget accordingly. That's exactly what they provide.I'll leave a separate review for said nightmare company on their review page within your site, but needless to say it's been stressful hours & days of my life spread over months now that I'll never get back. It pretty much couldn't have been a worse experience: constant misc. fees they won't stop deducting from my acct under two different companies (some transactions of which they claim they can't even find), stop payments to multiple sources, hidden fees, straight up lies from their sales rep, unprofessional customer service, an ongoing complaint being mediated by the BBB, recorded conversations and documentation, and now the possibility of taking legal action since the matter is still unresolved. All of this BEFORE I've even swiped a single transaction. At this point, it's more about the constant stress and the moral principal than the outlandish fees they try to sneak by (that they DIRECTLY stated multiple times would not be assessed). If they told me up front that it would cost exactly what they've charged, I would have been prepared and able to stomach it. It's the lies, deceit, unstoppable battle of phone calls, waiting on hold, and barrage of unanswered emails to sort through everything that kills me.After that (as backwards as it sounds), I would welcome paying MORE for a company with absolute transparency...but with Payment Depot I get that already included. After the months of research and bad experiences I've collected, I feel like Payment Depot could truly revolutionize the credit card processing industry. Let's hope they are starting a trend that other companies catch on and follow suit.Thanks again for all of your wonderful guidance across multiple categories. I will be sure to update with reviews of each of the companies we move forward with (all of which, will be decided utilizing the invaluable input of your thorough reviews & user feedback).

    5

    This comment refers to an earlier version of this review and may be outdated.

    Valerie Van Herk

    Hi Grace,

    this is Valerie from Payment Depot. We are so glad to hear about your experience! Thank you for your review and please do not hesitate to get in touch with us if you ever have any questions about your membership.

    This comment refers to an earlier version of this review and may be outdated.

    Pat Ryan

    I started up with them anyway. Same business and bank account. Just want to use our website and a terminal. They said I have to swipe through my phone (and are sending me the attachment). Trying to figure out what we’ll do when I’m not there… I’ll update in a month or so once we’ve had a chance to work it out. Definitely would prefer not to key it in, don’t have a computer there full time (use a laptop) so the USB reader isn’t perfect either.

    90%+ of our stuff is online though… thanks.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Not ideal, but maybe consider picking up a used iPod Touch (assuming wifi access is available/reliable) to leave in the business. Payment Depot uses the Roam Pay app to process payments, which works with the iPod touch (3rd generation or higher I believe, but you should confirm this with them). This will probably cost about $70 to $80 on eBay, and won’t require data fees.

    Definitely keep us posted.

    -Tom

    This comment refers to an earlier version of this review and may be outdated.

    Valerie

    Hi Pat,

    This is Valerie from Payment Depot. I’ve read through your comments here and just wanted to reach out to you to see if you have any further questions about our services and your technology. I can definitely have our tech support customer service reach out to you to continue with this process.

    At Payment Depot we strive to provide excellent customer service and make sure you are 100% satisfied. Please let me know if we can provide any support.

    Thanks,
    Valerie

    This comment refers to an earlier version of this review and may be outdated.

    Pat Ryan

    I’ve been looking into it and here’s a problem that I’m running into. They are telling me that I can’t have a terminal and take internet payments with the same account and that I’d need to have two accounts to do that. I’m having trouble making some sense out of it. The only solution that I’ve been presented with would be to get an account for our online payments and a device to plug into my phone’s headphone jack to swipe cards. That would require me or someone with the app on their phone to be there at all times.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Pat,

    That sounds unusual to me. Are these two outlets part of the same business? Is the money going into the same bank account? If so, a different provider will likely be able to set you up with a single merchant account. But it’s possible there is something about your specific processing needs or business type that makes this not an option.

    Would it work for you to process payments in-store with the virtual terminal instead? You can use a USB card reader through a computer instead of phone-based processing. You can also just type in the card info with the virtual terminal, but that is not ideal because it will cost more to process in term of interchange.

    You’ll have to do the math for your specific business, but I would 1) Figure out if it’s possible to get by with one account at Payment Depot, 2) If not, figure out what it would end up costing you per month with two accounts, and 3) Get a quote from a different processor to see if someone else would be willing to set you up with just one account, and what that would end up costing you in comparison to your Payment Depot options.

    Please let us know how this turns out or if you make any progress.

    Good luck,
    Tom

    This comment refers to an earlier version of this review and may be outdated.

    Chuck Martin

    I was just told the same thing and feel that this is really strange. No other company that I have talked to have said that you need two accounts. What did you wind up doing? Were you able to use just one account?

    This comment refers to an earlier version of this review and may be outdated.

    Randy Hayashi

    Tom,
    Thanks again for the update to your review. I hesitate to comment again because I don’t want to give the appearance that I am controlling your reviews but I also like to say thanks to Merchants and reviewers who have nice things to say about us. Your review is correct that not every business is a good fit with Payment Depot and all of our sales associates are instructed to direct people towards Square or Paypal if the merchant does very low volume. While we welcome any business that we can get, we also want our customers to actually see savings. There are enough people out there who will save money with us, that we don’t have to sign someone up for a plan that doesn’t suit them. Basically anyone who is doing less than $2500 a month or does lots of very small transactions, we will tell them what to expect with us, but also tell them to look into Square or another alternative that may have a higher rate but no monthly fees. Thanks again for the kind words, we are trying to change the industry and welcome any and all feedback.

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Randy,

    Thank you for stopping by and offering some insight. That sounds like a good guideline. If you’re ever in the market for another low-volume/mobile processing partner, we’ve had great experience with Flint, although not as feature-rich as Square or PayPal Here.

    I’m glad to receive your comments publicly, and I’m sure that our readers will interpret that as transparency rather than collusion!

    Take care,
    Tom

    This comment refers to an earlier version of this review and may be outdated.

    Randy Hayashi

    Tom,
    Thank you for the favorable review of our company. We take all suggestions to heart and we have made some changes to our website and even added a video http://paymentdepot.com/how-it-works/
    to better explain our program. We want to be transparent in an industry that thrives on hidden fees. We believe that we have the cheapest and best processing solution for most businesses. We will even give merchants other options if we don’t think that they will benefit from our membership! I hope you have a chance to review our updated website and watch our new video that explains how it works.
    Thanks again
    Randy Hayashi
    Payment Depot

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Randy,

    Thank you for stopping by. I look forward to checking out the new content. Payment Depot is one of the more interesting companies we’ve reviewed this year, and I am sincerely excited to watch your progress and keep our review updated throughout the process. Always appreciate the heads up on new developments! If you ever have the opportunity to point your users to our site, we love to hear merchant feedback on the companies we review.

    Tom DeSimone

    This comment refers to an earlier version of this review and may be outdated.

    Amit

    Hi Randy,I want to know that you provide any service that we implement in our website and people can pay through your payment depot service. Like any PHP script or library.

    5

    This comment refers to an earlier version of this review and may be outdated.

    Tom DeSimone

    Hi Amit,

    Thank you for stopping by. You can check out Payment Depot’s contact page here for the quickest response to general questions. I’m not sure what developer tools are available for their included gateway. For complex payments tasks you might want to upgrade to Authorize.net, integration with which Payment Depot does support. Let us know how it goes!

    Best,
    Tom

    This comment refers to an earlier version of this review and may be outdated.

    Valerie

    Hi Amit,

    This is Valerie from Payment Depot. I would be happy to have one of our tech support representatives reach out to you and answer any of your questions.

    Thanks,
    Valerie

    This comment refers to an earlier version of this review and may be outdated.

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