subject: Do I Need A New Credit Card Machine To Get A Merchant Cash Advance? [print this page] This past July, the Payment Card Industry Security Standards Council phased out yet another batch of credit card terminals. This has made the last 6 months a tad bit challenging for resellers of the Merchant Cash Advance(MCA) financial product. Non-compliant machines have often times caused delays in what is supposed to be a quick process.
By far and away the biggest complaint by MCA reps has been the push-back by their clients to upgrade equipment. Many merchants have been using the same credit card machine for years with no problems. This challenge is perpetuated by credit card processors that ignorantly let their clients process with non-compliant machines despite the risks. So when a MCA rep comes along and informs a business owner that their equipment violates PCI Standards, you can imagine the skeptical reaction.
Business owners should be aware that PCI Standards compliance is not something to be brushed aside. If your business is responsible for just one data breach of card holder data, the financial penalties will put you out of business. This will be no ones fault but your own.
Possessing a non-compliant machine does not give your current processor or your MCA rep the right to gouge you with the cost of a brand new one. There are options available to avoid paying hundreds of dollars upfront.
1. Have your processor take possession of your old machine and replace with a new one for free
2. Have your processor let you borrow a new machine for a low monthly fee
3. Have your processor give you a free one in return for a contract extension
4. Have your processor set you up with a lease through a 3rd party
While we understand that costly security upgrades are sometimes perceived as excuses to charge a business, compare that to the Board of Health. The Board of health requires food establish to adhere to certain standards to protect the public's health and well being. The same can be said about PCI Stantards. These upgrades are necessary and consumers benefit from it.
Consumers would not be willing to use their credit card if they knew a business was intentionally violating PCI Standards just to avoid upgrade fees.
As the business owner, you have the right to choose how to upgrade but you shouldn't get talked into an option you are not comfortable with. This is still your business and you choose how to run it.
