Cheapest Credit Card Processing Companies for Small Businesses
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Input your business’s monthly transaction details and we’ll help you sort from the best valueProduct | Cost Estimate | Payment processing fees | Cost Estimate | Learn more | ||
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Helcim Learn more on Helcim's secure website | Get an estimated monthly cost for your business. | 5.0/5 Best for High-volume businesses | In-person: 0.4% + $0.08 Online: 0.5% + $0.25 Plus interchange | $0.00 | Get an estimated monthly cost for your business. | Learn more on Helcim's secure website |
Square Learn more on Square's secure website | 5.0/5 Best for Brick-and-mortar businesses | In-person: 2.6% + $0.10 Online: 2.9% + $0.30 | $0.00 Starts at $0/month for unlimited devices and locations. | Learn more on Square's secure website | ||
Stripe Learn more on Stripe Payments' secure website | 5.0/5 Best for Online businesses | In-person: 2.7% + $0.05 Online: 2.9% + $0.30 | $0.00 | Learn more on Stripe Payments' secure website | ||
National Processing Learn more on National Processing's secure website | 5.0/5 Best for Free terminal | In-person: 2.5% + $0.10 Online: 2.9% + $0.30 | $9.95 for Basic In-Person Package. | Learn more on National Processing's secure website | ||
Stax by Fattmerchant Learn more on Stax by Fattmerchant's secure website | 4.0/5 Best for Membership-style pricing | In-person: 0% + $0.08 Online: 0% + $0.15 Plus interchange | $99.00 and up. | Learn more on Stax by Fattmerchant's secure website | ||
Payment Depot Learn more on Payment Depot's secure website | 4.5/5 Best for Tailored interchange-plus rates | 0.2% + $0.00 to 1.95%, plus interchange. | $0.00 | Learn more on Payment Depot's secure website | ||
U.S. Bank Merchant Services Learn more on U.S. Bank Merchant Services' secure website, Member FDIC | 4.5/5 Best for Fast deposits | In-person: 2.6% + $0.10 Online: 2.9% + $0.30 | $0.00 and up. | Learn more on U.S. Bank Merchant Services' secure website, Member FDIC | ||
Payline | 4.5/5 Best for High-risk merchants | In-person: 0.4% + $0.10 Online: 0.75% + $0.20 Plus interchange | $10.00 in person; $20 online. | |||
Dharma Merchant Services | 4.5/5 Best for Nonprofits | In-person: 0.15% + $0.08 Online: 0.2% + $0.11 Plus interchange | $15.00 for most industries; $12 for nonprofits. | |||
PayPal Zettle | 4.0/5 Best for Accepting QR code payments | In-person: 2.29% + $0.09 Online: 3.49% + $0.09 | $0.00 |
Our pick for
High-volume businesses
Though interchange-plus pricing can be confusing, it’s often a good cost-saving alternative to flat-rate processing. On top of using an interchange-plus pricing model, Helcim also extends volume discounts to businesses processing more than $50,000 in credit card transactions per month.
Helcim
on Helcim's secure website
Pros
- Interchange-plus pricing structure can help businesses save money.
- Quick setup; approvals usually take a day.
- Offers volume-based discounts automatically.
- Syncs directly with QuickBooks Online and Xero.
- No termination fees or long-term contracts.
Cons
- Deposits are available within two business days; same-day deposit option is not available.
- Doesn’t offer services to businesses in certain high-risk industries.
Our pick for
Brick-and-mortar businesses
Square’s flat-rate processing fees, reasonably priced hardware options and free POS software plan make it an easy solution for small-business owners accepting credit card transactions in store. The mobile app also lets you accept card payments with Tap to Pay on your smartphone — no hardware purchases required.
Square
on Square's secure website
Starts at $0/month for unlimited devices and locations.
Pros
- Offers a free mobile card reader and free POS software plan.
- Can subscribe to related services, such as payroll, that integrate with its POS system.
- No termination fees or long-term contracts.
- No chargeback or PCI compliance fees.
Cons
- Complex businesses might prefer a processor that integrates with more specialized POS systems.
Our pick for
Online businesses
Though Stripe offers POS hardware for accepting credit card transactions in person, its product is best for businesses that sell mostly online. You can embed its prebuilt payments form on your e-commerce website or create your own customized checkout experience for customers.
Stripe
on Stripe Payments' secure website
Pros
- Highly customizable online checkout options.
- No termination fees or long-term contracts.
- 24/7 phone and chat support.
- Can process transactions in more than 135 currencies.
Cons
- Doesn’t sell full countertop POS terminals.
- Deposits can take up to two business days.
Our pick for
Free terminal
Small-business owners who qualify for a free terminal with National Processing can save money on POS hardware costs. If you already have POS hardware, the company may be able to reprogram it for free, too.
National Processing
on National Processing's secure website
for Basic In-Person Package.
Pros
- Low in-person processing fees for a flat-rate processor.
- No termination fees or long-term contracts.
- Works with high-risk merchants.
- New merchants may qualify for a free terminal.
- 24/7 phone support.
Cons
- Fees may be higher if you process less than $10,000 per month.
- Basic plans for processing in-person and online transactions are separate.
- Mobile card reader is pricier than some competitors.
Our pick for
Membership-style pricing
Stax’s membership-style pricing model is more expensive than competitors upfront, but can cut high-volume business’s overall credit card processing costs in the long run. Comparing your monthly costs under different pricing models can help you decide which is cheaper for your business.
Stax by Fattmerchant
on Stax by Fattmerchant's secure website
and up.
Pros
- Businesses save when customers use cards with low interchange rates.
- Unique add-on features, like custom branding.
- No long-term contracts.
Cons
- Not a good option for businesses with low sales.
- Pricing isn't as transparent as competitors.
Our pick for
Tailored interchange-plus rates
Instead of charging all businesses a standard per-transaction fee on top of interchange rates, Payment Depot tailors its markups to your business. If you’re able to negotiate a smaller margin than competitors offer, you may be able to save a significant amount of money.
Payment Depot
on Payment Depot's secure website
to 1.95%, plus interchange.
Pros
- Businesses save when customers use cards with low interchange rates.
- No cancellation fees.
- Compatible with several POS hardware providers, including Clover.
- 24/7 phone support.
Cons
- Markups vary by business
- Website doesn’t disclose hardware pricing.
Our pick for
Fast deposits
Small businesses with U.S. Bank checking accounts get access to free same-day funding, seven days a week, which can help improve their cash flow. Some competitors only offer same-day funding as an add-on that increases your overall processing fees.
U.S. Bank Merchant Services
on U.S. Bank Merchant Services' secure website, Member FDIC
and up.
Pros
- Same-day funding seven days per week for U.S. bank checking account holders.
- No PCI compliance fees.
- No cancellation fees.
- Free POS software plan available.
Cons
- POS system onboarding assistance can be costly.
- Deposit times are not as quick for merchants using third-party bank accounts.
Our pick for
High-risk merchants
Payline can be an ideal solution for high-risk businesses struggling to find affordable merchant services. Supported high-risk industries include cannabis, travel, vitamins and credit repair. Additionally, high-risk businesses’ first two months with Payline are free.
Payline
in person; $20 online.
Pros
- No long-term contracts or cancellation fees.
- First month or two (depending on the business) is free.
- Works with high-risk merchants.
- No PCI compliance fees.
- 24/7 support.
Cons
- Separate monthly fees for in-person and online processing.
- Must contact Payline for information on hardware costs.
Our pick for
Nonprofits
Dharma Merchant Services offers discounted interchange-plus rates for nonprofit businesses, along with the ability to accept recurring donations. You can also use its services to add a “donate now” button to your existing website.
Dharma Merchant Services
for most industries; $12 for nonprofits.
Pros
- Reduced processing rates for nonprofits.
- Businesses save when customers use cards with low interchange rates.
- No long-term contracts.
- No PCI compliance fees.
Cons
- Charges account closure fee.
- Requires separate accounts for online and in-person payments.
- Recurring billing and online invoicing cost an extra $10 per month.
- Deposits can take up to two business days.
Our pick for
Accepting QR code payments
Among other flat-rate payment processors, PayPal Zettle has one of the lowest card-present transaction rates. It applies to both in-person card transactions and QR code payments made through PayPal and Venmo.
PayPal Zettle
Pros
- No monthly software fees for accepting in-person payments.
- No long-term contract or termination fees.
- Accepts a variety of payment types, including Venmo and PayPal payments.
- Inexpensive card reader with a keypad, plus built-in payment processing and a free mobile app lets you quickly accept in-person payments on the go.
Cons
- Accepting online transactions involves additional monthly fees, depending on your gateway.
- No offline mode.
Helcim
- Interchange plus 0.4% and 8 cents per in-person transaction (if $50,000 or less in monthly card transactions).
- Interchange plus 0.5% and 25 cents per online or manually keyed transaction (if $50,000 or less in monthly card transactions).
- 0.5% plus 25 cents for ACH payments (capped at $6).
- No long-term contracts or cancellation fees.
- No monthly subscription fees.
- No setup fees.
- Processing rates go down after your business processes more than $50,000 in payments per month.
- Doesn't work with high-risk merchants, meaning businesses that are more susceptible to fraud and chargebacks.
- No 24/7 support.
Square
- $0 for Square POS, Restaurant, Retail and Appointments Free plans.
- $29 for Square Appointments Plus plan.
- $69 for Square Appointments Premium and Square Restaurants Plus plans.
- $89 for Square Retail Plus plan.
- $165 for Square Restaurant Premium plan.
- Custom pricing for Square Retail plan.
- 2.6% plus 10 cents for in-person transactions.
- 2.9% plus 30 cents for online transactions.
- 3.5% plus 15 cents for manually keyed transactions.
- 3.3% plus 30 cents for invoices.
- No early termination, activation, refund or chargeback fees.
- No PCI compliance fees.
- No monthly subscription fee.
- Free point-of-sale software.
- Free mobile card reader (magstripe only).
- May be more expensive than an interchange-plus pricing model for some businesses.
- Doesn't work with high-risk merchants.
- Only paid POS plans include 24/7 live customer service.
Stripe
- $0 for standard services.
- $10 for custom domain.
- 2.7% plus 5 cents for in-person transactions.
- 2.9% plus 30 cents for online transactions.
- 3.4% plus 30 cents for manually keyed transactions.
- 4.4% plus 30 cents for international card transactions.
- No setup fees.
- No monthly subscription fees.
- 24/7 phone, chat and email support.
- More than 450 platforms and extensions available.
- Accepts payments in more than 135 currencies.
- Doesn’t work with high-risk merchants.
Stax
- $99 if you process less than $150,000 per year.
- $139 if you process between $150,000 and $250,000 per year.
- $199 and up if you process more than $250,000 per year.
- Interchange plus 8 cents for in-person transactions.
- Interchange plus 15 cents for manually keyed transactions.
- No contracts.
- 24/7 technical support.
- Offers add-ons like custom branding and next-day funding.
- Not ideal for low-volume small businesses.
Payline
- $10 for in-person sales.
- $20 for online sales.
- Interchange plus 0.4% and 10 cents for in-person transactions.
- Interchange plus 0.75% and 20 cents for online transactions.
- No long-term contract or cancellation fees.
- No PCI compliance fees.
- Offers high-risk merchant accounts.
- First month is free for eligible merchants.
- 24/7 phone support.
- Negative user reviews.
Payment Depot
- Businesses save when customers use cards with low interchange rates.
- No cancellation fees.
- Compatible with several POS hardware providers, including Clover.
- 24/7 phone support.
- Markups vary by business.
- Website doesn’t disclose hardware pricing.
National Processing
- $9.95 for Basic In-Person Package, Basic E-Commerce Package.
- $9.95 and up for Premium Package (for businesses with monthly sales volumes exceeding $30,000).
- $19 and up for Advanced Package.
- Basic In-Person Package: 2.5% plus 10 cents per transaction.
- Basic E-Commerce Package: 2.9% plus 30 cents per transaction.
- Advanced Package: 2.41% plus 10 cents.
- Premium Package: quote-based.
- Works with high-risk merchants.
- Offers several good integrations for accounting, online selling and shopping carts.
- Each plan includes free reprogramming of existing hardware plus a free mobile card reader.
- National Processing’s payment processing fees are only guaranteed for merchants that process at least $10,000 in sales a month.
- Monthly fees can add up.
- Requires a long-term contract, and there are early termination fees (with a few exceptions).
Dharma Merchant Services
- $12 for nonprofits.
- $15 for business to business, e-commerce, hospitality, retail and restaurant.
- Interchange plus 0.15% + 8 cents for in-person transactions.
- Interchange plus 0.20% + 11 cents for online transactions.
- Interchange plus 0.25% + 8 cents for in-person AmEx transactions.
- Interchange plus 0.30% + 11 cents for online AmEx transactions.
- No long-term contracts.
- Includes access to a free virtual terminal and online reporting.
- No PCI compliance fees (although there is a $39.95 monthly fee for those that become noncompliant)
- 24/7 support.
- Monthly fee required.
- Doesn’t work with high-risk merchants.
U.S. Bank Merchant Services
- $0 for Mobile plan.
- $15 for Terminal plan.
- $29 for Starter plan.
- $69 for Standard plan.
- $99 for Premium plan.
- $15-$29 for each additional software license.
- 2.6% plus 10 cents for in-person payments.
- 2.9% plus 30 cents for online payments.
- 3.5% plus 15 cents for keyed payments.
- Same-day funding seven days per week for U.S. bank checking account holders.
- No PCI compliance fees.
- No cancellation fees.
- Free POS software plan available.
- POS system onboarding assistance can be costly.
- Deposit times are not as quick for merchants using third-party bank accounts.
PayPal Zettle
- 2.29% plus 9 cents for in-person and QR code transactions.
- 3.49% plus 9 cents for manual-entry card transactions.
- 2.99% plus 49 cents for invoicing (payment made with card).
- 3.49% plus 49 cents for invoicing (payment made with PayPal).
- No monthly software fees for accepting in-person payments.
- No long-term contract or termination fees.
- Accepts a variety of payment types, including Venmo and PayPal payments.
- Inexpensive card reader with a keypad, plus built-in payment processing and a free mobile app lets you quickly accept in-person payments on the go.
- Accepting online transactions involves additional monthly fees, depending on your gateway.
- No offline mode.
Didn't find what you're looking for?
Credit card processing fees
Hardware and software fees
Other fees
Learn more about credit card processing fees
- Your industry: Your industry’s perceived level of risk can impact how many payment processors you have to choose from. For example, many credit card processing companies won’t work with high-risk businesses in industries like CBD, credit repair, travel and vitamins. That’s where high-risk payment processors come into play. Risk aside, certain types of businesses, like retail shops and restaurants, might want to work with a credit card processing company that sells POS systems created specifically with their industry needs in mind.
- Typical transaction size: Average transaction size affects how much your processing costs cut into your margins. For example, imagine you run a landscaping company and your average transaction size is $1,000. A flat rate of 2.6% plus $0.10 would cost you $26.10. If you own a cafe, however, and your average transaction size is $5, you’d owe $0.23 cents per transaction, which adds up to $46 in processing fees per $1,000 in sales. This discrepancy illustrates why it’s so important to predict and compare your processing fees across multiple credit card processing companies before committing.
- Sales volume: Similar to average transaction size, the number of transactions your business completes each month also impacts your overall credit card processing costs. The cheapest credit card processing company for a business that does $5,000 in transactions per month may not be the best choice for one that completes $100,000 in monthly sales. That being said, higher-volume businesses might be able to negotiate down rates or qualify for volume discounts.
- Convenience: If you want to start accepting card payments immediately, payment service providers, like Square and Stripe, are often good options. They might not offer the absolute lowest rates, but they don’t require you to apply for your own merchant account, which simplifies the process. Oftentimes, there’s a tradeoff between convenience and cost.