Local competition and market disruptors are continually causing profit margins to shrink. On the flip side, businesses are hit with tariffs, supply chain issues, and higher wages that increase their operating costs. Unless you are an expert, it doesn't leave much room for cost-cutting measures.
On top of all this, merchant credit card cost keep going up. Interchange for rewards cards has increased by 24% since 2005.
No Upfront Purchase Cost
Average credit card procees fees from the four major networks
AMERICAN EXPRESS 2.5% - 3.5%
DISCOVER 1.56% - 2.3%
MASTERCARD 1.55% - 2.6%
VISA 1.4% - 2.4%
While the use of credit and debit cards provides convenience for consumers and collectability for the institution, it creates transaction costs that may be allocated only in a limited number of ways. A payment with a credit card costs on average 2-3% to process, much of which goes to the bank that issues the card and funds rewards for cardholders. Different costs are associated with different card types: for example, debit cards cost significantly less to accept than cards with extensive rewards.
This a fully compliant solution takes advantage of the new regulations which allow merchants to pass along credit card processing fees to consumers. Merchants are not permitted to impose a fee for the use of debit cards.
A 3.50% credit card fee is passed on to cover the cost of credit card acceptance.
Zero cost processing allows a business to increase profit margins without revamping workflows, or schedules or impact employees or increasing the retail price to their customers.
Patent-pending technology ensures regulatory compliance by determining whether a given card is a credit card or a debit card before the transaction is processed. ZCP automatically applies a fee whenever a credit card is swiped or entered so that the merchant gets back most, if not all, of its processing costs. Compliance is critical and the administrative team takes all the necessary steps to set up a merchant’s account with the right parameters ensuring the merchant is in compliance from the very first swipe. With ZCP the merchant keeps 100% of the savings.