Advertiser Disclosure

Get a free credit card reader from Square today!

Square VS Merchant Account: How Does Square’s Credit Card Processing Compare To A Good Merchant Account?

  • 3 comments
  • Updated on:
Advertiser Disclosure: Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity.
Melissa Johnson

Melissa Johnson

Melissa Johnson has been writing about payment processing and mobile payments since 2014, and has been quoted in articles for Credit Karma and The Next Web, among others. She graduated from The University of Kansas in 2010 with bachelor's degrees in English and journalism.
Leave a comment

3 Comments

Responses are not provided or commissioned by the vendor or bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the vendor or bank advertiser. It is not the vendor or bank advertiser's responsibility to ensure all posts and/or questions are answered.

    clint

    This has probably been asked somewhere before, but are there any (decent) companies that are similar to square, which have flat rate pricing like square but also lets you set up a Merchant Account? I know interchange rates are highly touted, but in a typical month my cc charges are $800/mo or less, so I wouldn’t really benefit that much from using interchange. I like the convenience of square, but have read too many horror stories on how they can withhold funds for whatever reason they see fit, so having a merchant account is a must for me.

      This comment refers to an earlier version of this post and may be outdated.

      Curtis DeCora

      You’re really better off sticking with Square or a comparable platform. If you elected a merchant account, you’re going to run similar fees with batch, and statement fees.

      The real advantage lies in the form of leveraging your monthly volume for purposes of capital, equipment purchases, etc. You cannot do that with Square, nor do any of my financing partners work with Square. Also, to attest to your comment about holding funds. They have held funds for a number of folks. They ended up electing to choose a merchant account. They did leverage that monthly volume as a startup and were able to purchase new equipment, company vehicle, and the like, as well as invest into a customer-centric marketing strategy.

      Square is great if you’re running some low volume or minimal transactions. I really say it’s for hobbyist.

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

        Logan

        The one I’ve ran into that allows this, as a merchant account provider myself, is Shopkeep.

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

        We've done in-depth research on each and confidently recommend them.

        Leave a Reply

        Your email address will not be published. Required fields are marked *

        Your Review

        Comment moderation is enabled. Your comment may take some time to appear.
        Please read the "User Review and Comment Policy" before posting.

        Share

        Featured Offer: We Recommend QuickBooks 🎉

        Take QuickBooks Online for a spin with a free trial!

        Try QuickBooks Today

        Learn More About Our Top Pick 🏆

        Lightspeed is an iPad POS perfect for retail and restaurants!

        Visit Lightspeed to see all the features you're missing!

        Learn More At Lightspeed

        Want To Find The Perfect Business Credit Card For You? 🎁

        Check out our partner CardRatings to find the right card for your credit score!

        CardRatings will help you filter your card options and make comparisons. 👌

        Compare Your Options

        At CardRatings

        Learn More About Our Top Pick 🏆

        Lightspeed is an iPad POS perfect for retail and restaurants!

        Visit Lightspeed to see all the features you're missing!

        Learn More At Lightspeed

        Learn More About Our Top Pick 🏆

        Lightspeed is an iPad POS perfect for retail and restaurants!

        Visit Lightspeed to see all the features you're missing!

        Learn More At Lightspeed

        ⭐️ Want To See What A 5-Star Company Looks Like? ⭐️

        Check out BigCommerce to power your eCommerce platform!

        BigCommerce offers a one-stop-shop for all things eCommerce. 👌

        Learn More

        At BigCommerce

        Featured Offer: Need Help Picking the Best Lender? 💵

        Lendio is a marketplace service that provides multiple custom quotes side by side!

        It's free to use! Try it out and find the best rate today. 👌

        Sign Up At Lendio

        Featured Offer: Need a User-Friendly POS at a Reasonable Price? 💵

        ShopKeep is an iPad POS perfect for small businesses!

        Get a demo today! 👌

        Learn More At ShopKeep

        Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity. The editorial content on this page is not provided by any of the companies mentioned and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author’s alone.