Merchant services encompass a wide range of features, but most importantly, they give your business the tools it needs to process card transactions. Credit card processing companies, for example, fulfill merchant services by facilitating payment processing both in-person and online, and sometimes even by providing point-of-sale (POS) hardware.
The best merchant services have competitive processing fees and accept a range of payment types. Some stand out for accommodating high-risk merchants, while others sell a variety of POS systems and card readers, or integrate with popular business apps. Here’s our list of the best merchant services and what sets them apart.
Best Merchant Services
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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 | ||
|---|---|---|---|---|---|---|
Helcim Learn more on Helcim's secure website | Get an estimated monthly cost for your business. | 5.0/5 Best for Overall option | 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 POS Learn more on Square POS's secure website | 5.0/5 Best for Flat-rate option | In-person: 2.6% + $0.10 Online: 2.9% + $0.30 | $0.00 Free plan; $60 Plus plan for retailers and restaurants. | Learn more on Square POS's secure website | ||
Stripe Learn more on Stripe Payments' secure website | 5.0/5 Best for Flat rate for online sales | In-person: 2.7% + $0.05 Online: 2.9% + $0.30 | $0.00 | Learn more on Stripe Payments' secure website | ||
Payment Depot Learn more on Payment Depot's secure website | 4.0/5 Best for High sales volume | In-person: 0% + $0.00 Online: 0% + $0.00 Plus interchange | $79.00 and up. | Learn more on Payment Depot's secure website | ||
PaymentCloud Learn more on PaymentCloud's secure website | 3.5/5 Best for High-risk businesses | 2.7% + $0.00 to 4.3% + $0.00. | $10.00 to $45. | Learn more on PaymentCloud's secure website | ||
National Processing Learn more on National Processing's secure website | 3.5/5 Best for Free terminal | 2.5% + $0.10 for Basic In-Person Package. | $12.00 for Basic In-Person Package. | Learn more on National Processing's secure website | ||
U.S. Bank Merchant Services | 4.0/5 Best for Fast funding | In-person: 2.6% + $0.10 Online: 2.9% + $0.30 | $0.00 and up. | |||
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. | |||
QuickBooks Payments | 5.0/5 Best for QuickBooks loyalists | In-person: 2.5% + $0.00 Online: 2.99% + $0.00 | $0.00 QuickBooks subscription required. |
Our pick for
Overall option
Helcim
Learn more
on Helcim's secure website
Monthly fee
$0.00
Helcim’s transparent pricing, lack of monthly fees and volume discounts are what pushes it to the top of the list. And without a contract or cancellation fees, there’s no penalty to close your account.
Pros
- Low processing fees.
- Transparent pricing.
- Volume discounts.
- No contracts.
- No monthly fees.
- No cancellation fees.
- Free virtual terminal.
- Fully hosted online store options.
Cons
- Customer support isn't available 24/7.
- No free card reader.
Our pick for
Flat-rate option
Square POS
Learn more
on Square POS's secure website
Monthly fee
$0.00
Free plan; $60 Plus plan for retailers and restaurants.
Square is our top pick for flat-rate pricing with no monthly fees, low transaction rates and free virtual terminal.
Pros
- No monthly fee.
- Low transaction rates.
- No long-term contracts.
- Quick setup.
- Free card reader.
- Free virtual terminal.
- Free dispute management services for chargebacks.
- No processing fees on customer refunds.
Cons
- 24/7 live phone support is not available for payments.
- Readers are not compatible with Windows devices.
Our pick for
Flat rate for online sales
Stripe
Learn more
on Stripe Payments' secure website
Monthly fee
$0.00
Stripe is best for online sales because it supports processing payments in multiple currencies, allowing customers to charge in their native currency and businesses to receive funds in theirs.
Pros
- No monthly fees.
- Low transaction rates.
- Supports over 135 currencies.
- Your account can be terminated at any time.
- Developer platform.
- Support is available 24/7 by phone request, chat and email.
- Tools to customize payment flows on your website.
Cons
- No free reader.
- Virtual terminal allows the customer to enter card information but not the merchant.
Our pick for
High sales volume
Payment Depot
Learn more
on Payment Depot's secure website
Monthly fee
$79.00
and up.
Payment Depot offers membership plans that give businesses access to wholesale interchange rates at a set monthly fee.
Pros
- Simple and transparent pricing model.
- Custom plans are available.
- No cancellation fees.
- Free virtual terminal.
- Satisfaction guarantee with option for refund of membership fee.
- Customer support is available 24/7.
Cons
- A 20% restocking fee for returned terminals.
- Monthly membership fees.
Our pick for
High-risk businesses
PaymentCloud
Learn more
on PaymentCloud's secure website
Payment processing fees
2.7% + $0.00
to 4.3% + $0.00.
Monthly fee
$10.00
to $45.
PaymentCloud specializes in services for high risk industries, although they also offer services to low and medium risk businesses.
Pros
- Specializes in high-risk merchant accounts.
- Cancellation fees are waived.
- Free rate review and analysis.
- 24/7 customer support.
- Chargeback prevention tools.
Cons
- Processing rates and monthly costs are not readily available on its website.
- Monthly volume limit may apply.
Our pick for
Free terminal
National Processing
Learn more
on National Processing's secure website
Payment processing fees
2.5% + $0.10
for Basic In-Person Package.
Monthly fee
$12.00
for Basic In-Person Package.
National Processing offers different plans based on whether you’re accepting payments in-person or online, and it promises $500 if it can’t beat high-volume ($10,000 or more in monthly sales) merchants’ current rates. It works with some high-risk companies, as well as retail stores, e-commerce businesses, restaurants and service-based businesses. New merchants may also receive a free terminal, depending on their qualifications.
Pros
- No monthly minimum processing volume.
- High-risk payment processor.
- 24/7 phone support.
- Offers a virtual terminal.
Cons
- Contract with possible early termination and restocking fees.
- Monthly fees.
Our pick for
Fast funding
U.S. Bank Merchant Services
Monthly fee
$0.00
and up.
U.S. Bank offers business banking, payment processing and point-of-sale solutions for small businesses. The bank also offers Everyday Funding, which allows merchants to receive funds in their deposit account every day of the week, including weekends – not something you’ll find among many competitors.
Pros
- No long-term contracts.
- No cancellation fees.
- No PCI fees.
- Variety of monthly plans available, including a free option.
Cons
- No free trial period.
- No free setup help.
- Hardware costs are buried on website; you need to contact the bank directly for purchase pricing.
Our pick for
Nonprofits
Dharma Merchant Services
Monthly fee
$15.00
for most industries; $12 for nonprofits.
Dharma specializes in helping nonprofits and has one of the lowest rates for card-not-present transactions.
Pros
- Low processing rates.
- Pricing transparency.
- Reduced rates for large monthly processing volume.
- 24-hour help lines.
- Virtual terminal included.
Cons
- Monthly fee.
- Account closure fee.
Our pick for
QuickBooks loyalists
QuickBooks Payments
Monthly fee
$0.00
QuickBooks subscription required.
For loyal QuickBooks users, QuickBooks Payments can process online, in-person and invoiced transactions.
Pros
- No contract.
- No cancellation fees.
- Competitive pricing.
- Instant deposits are available for an extra 1% fee.
- Invoice formatting lets customers pay online.
Cons
- QuickBooks Desktop users and new customers may pay higher fees.
- 24/7 phone support is not available.
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Helcim: Best overall option
Payment processing:
- 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.
Monthly software fees: $0
Hardware cost:
- $109 for a mobile card reader (with stand).
- $349 for a standalone terminal with built-in thermal printer.
Why we like it: It's easy to sign up for a Helcim account online by providing some basic information about your business. Funds from your transactions are deposited within two business days. Customer support is available weekdays from 9 a.m. to 7 p.m. Eastern time and on Saturday from 11 a.m. to 7 p.m. Eastern time. You can sync data with both QuickBooks Desktop and Online as well as WooCommerce. Read our full Helcim review.
Square: Best flat-rate option
Payment processing:
- 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.
Monthly software fees:
- $0 for Square POS, Restaurant, Retail and Appointments Free plans.
- $29 for Square Appointments Plus plan.
- $60 for Square Restaurant and Retail Plus plans.
- $69 for Square Appointments Premium plan.
Hardware:
- $0 for Square magstripe-only card reader ($10 for each additional reader) or if using Tap to Pay for iPhone (iPhone not included).
- $49 and up for Square Reader contactless and chip card reader.
- $149 for Square Stand iPad POS or Square Stand Mount (iPad not included).
- $299 for Square Terminal mobile card reader with built-in printer.
- $799 for Square Register two-screen system.
Why we like it: Square can accommodate all types of credit card transactions. You receive your funds as fast as the next business day for free, or you can pay a fee to receive funds instantly. Square also offers free dispute management for chargebacks. Free phone support is available during the week from 6 a.m. to 6 p.m. Pacific time. Square integrates with QuickBooks, Xero, WooCommerce and other popular apps.
Dharma Merchant Services: Best for nonprofits
Payment processing:
- 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.
Monthly software fees:
- $12 for nonprofits.
- $15 for business to business, e-commerce, hospitality, retail and restaurant.
Hardware cost:
- $149 for Walker 2 chip, swipe and NFC card reader.
- $295 for First Data FD-150, Verifone Engage V200c, Ingenico Desk/3500 or Dejavoo Z11 terminals.
- $369 for Ingenico Desk/5000 terminal.
- $480 for FD-150, Desk/3500, V200c or Z11 terminals plus a separate pinpad.
- $649 for Clover Flex mobile card reader with printer.
- $899 for Clover Mini POS device.
- $1,649 for Clover Station Solo POS bundle.
- $1,999 for Clover Station Duo POS bundle.
Why we like it: With Dharma Merchant Services, nonprofits benefit from reduced transaction rates and partnership with a provider that’s been committed to doing good from its inception. Additionally, businesses with monthly card sales over $100,000 or more than 5,000 transactions may qualify for volume discounts, as well as restaurants with average ticket amounts of less than $25. Funding is guaranteed in two business days. Customer support to process your card transactions is available 24 hours a day. Read our full Dharma Merchant Services review.
Stripe: Best flat rate for online sales
Payment processing:
- 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.
Monthly software fees:
- $0 for standard Stripe Connect.
- $2 per account for Stripe Express (for marketplaces) or Stripe Custom (the white-label option that allows businesses to customize the checkout process).
Hardware cost:
- $59 for Stripe Reader M2.
- $249 for BBPOS WisePOS E card reader.
- $349 for Stripe Reader S700.
Why we like it: With Stripe, payments are typically processed in two to three business days. Stripe integrates with a large number of apps and automatically syncs with QuickBooks and NetSuite. You can use the developer tools in Stripe Terminal and pre-certified card readers to build your own in-person checkout system. Read our full Stripe review.
Payment Depot: Best for large transaction amounts
Payment processing: Interchange plus $0 per transaction.
Monthly fee:
- $79 if you process up to $250,000 per year.
- Custom quote if you process more than $250,000 per year.
Hardware cost: Sells card readers as well as countertop and mobile point-of-sale hardware from Clover, Dejavoo, and SwipeSimple, but prices are undisclosed. You have to request a quote.
Why we like it: Payment Depot, which is owned by Stax, is an independent sales organization that handles merchant accounts for Wells Fargo Bank. It’s a great option for businesses that have large monthly and/or annual sales volume because it uses a subscription model. This means you pay one monthly fee for the software and payment processing services and pay only the interchange rate on each transaction — no percentage cut taken from each transaction and no provider markup charged. Funds are automatically deposited within one to two days, and support is available 24/7. Payment Depot integrates with Shopify, OpenCart, QuickBooks, PrestaShop, Shift4Shop, BigCommerce, WooCommerce, Adobe Commerce (formerly Magento), Zen Cart, Revel, NCR and Authorize.net. Read our full Payment Depot review.
PaymentCloud: Best for high-risk businesses
Payment processing:
Quote-based. You’ll have to call to get specific pricing information for your business, but average ranges are:
- 2% to 3.1% for low-risk merchants.
- 2.3% to 3.4% for mid-risk merchants.
- 2.7% to 4.3% for high-risk merchants.
Monthly software fees: $10 and up.
Hardware cost: Varies by third-party hardware company (e.g., Clover, Dejavoo, Poynt, Verifone and more).
Why we like it: PaymentCloud's payment processing is available for in-person, online, mobile, keyed and cryptocurrency transactions. It has multiple banking relationships that can be used to secure a merchant account for high-risk businesses in industries including firearms, tobacco, credit repair, telemedicine and other industries. The platform integrates with QuickBooks and many shopping carts including BigCommerce, WooCommerce, Shopify and Adobe Commerce (formerly Magento). Read our full PaymentCloud review.
National Processing: Best for free terminal
Payment processing:
- 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.
Monthly software fees:
- $12 for Basic In-Person Package, Basic E-Commerce Package.
- $19 and up for Advanced Package.
- $9.95 and up for Premium Package (for businesses with monthly sales volumes exceeding $30,000).
Hardware cost: Undisclosed/quote only. A mobile reader is included with most plans at no additional cost. Based on the plan you select, a terminal and PIN pad may also be included.
Why we like it: National Processing offers processing services for some high-risk businesses. You can expect to receive your funds in two days with an opportunity for next-day deposits. Phone support is available 24/7. Integrations are offered for popular business apps including QuickBooks, WooCommerce, Ecwid, Zendesk, BigCommerce, OpenCart and Shopify. Read our full National Processing review.
QuickBooks Payments: Best for QuickBooks loyalists
Payment processing:
For QuickBooks Online users
- 2.5% for in-person payments.
- 2.99% for online and invoiced payments.
- 3.5% for manually keyed payments.
- 1% for ACH transactions.
For QuickBooks Desktop users
Pay as you go plan (no monthly fee):
- 2.4% plus 30 cents per swiped transaction.
- 3.5% plus 30 cents per keyed-in or invoiced transaction.
- $3 per ACH transfer.
Pay monthly plan (monthly fee):
- 1.6% plus 30 cents per swiped transaction.
- 3.3% plus 30 cents per keyed-in or invoiced transaction.
- $3 per ACH transfer.
Monthly software fees:
- $0 if you already have a QuickBooks Online plan.
- $30 ($15 for first three months) for Simple Start plan for new QuickBooks users.
- $60 ($30 for first three months) for Essentials plan for new QuickBooks users.
- $90 ($45 for first three months) for Plus plan for new QuickBooks users.
- $200 ($100 for first three months) for Advanced plan for new QuickBooks users.
Hardware cost:
- $39 for QuickBooks charging stand.
- $49 for QuickBooks card reader.
- $79 for QuickBooks card reader with charging stand.
Why we like it: You’ll need a QuickBooks Online account to use QuickBooks Payments. Funds are typically deposited the next business day when the cutoff time of 6 p.m. Eastern time is met. Phone support is available Monday through Friday from 9 a.m. to 8 p.m. Eastern time. QuickBooks Payments integrates with Shopify, Amazon, eBay, WooCommerce, Adobe Commerce (formerly Magento), BigCommerce and Etsy shopping carts. Read our full QuickBooks Payments review.
U.S. Bank Merchant Services: Best for fast funding
Payment processing fees:
- 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.
Monthly software fees:
- $0 for Mobile plan.
- $29 for Starter plan.
- $69 for Standard plan.
- $99 for Premium plan.
- $29 for each additional software license.
Hardware cost: Sells a variety of hardware including full POS stations, handheld terminals and customer displays. You can purchase hardware outright or rent for a monthly fee. Monthly rental pricing starts at $20 for a handheld terminal.
Why we like it: U.S. Bank offers business banking, payment processing and point-of-sale solutions for small businesses. With a variety of monthly plans, transaction rates that are on par with other merchant services providers, no long-term contract, no cancellation fees and no PCI fees, U.S. Bank Merchant Services may be an appealing option for businesses, especially if you’re looking for a single provider for payment processing, business banking and/or a POS solution. Free same-day funding is available if you have a U.S. Bank business checking account.
Merchants opening a new Payment Solutions account with U.S. Bank by Dec. 20, 2023, will receive 2.50% back on transaction fees through 2024. Terms and conditions apply.
Last updated on November 22, 2023
Methodology
NerdWallet’s ratings of payment processing providers rewards companies whose products and services are priced well and work in a variety of payment scenarios, among other criteria. Ratings are based on weighted averages of scores in several categories, including overall cost, hardware and software options, system capabilities, customer service, contract requirements and integrations. Learn more about how we rate payment processing providers.
These ratings are a guide, but fees, hardware, software and contract requirements can vary widely from business to business and provider to provider. We encourage you to shop around and compare several providers.
NerdWallet does not receive compensation for any reviews. Read our editorial guidelines.
Frequently Asked Questions
Merchant services encompass a variety of business financial services offered to merchants by merchant services providers. These services can include payment processing (both in-person and online and including payment gateways), merchant accounts designed specifically for collecting, holding and disbursing funds related to card transactions, point-of-sale systems and credit card readers that enable merchants to take payments and more.
Merchant services help facilitate the payment process so that merchants can collect funds from card transactions.
Merchant services include payment processing, merchant and business bank accounts and point-of-sale solutions. Some examples of merchant services providers include Helcim, Square and Stripe.