Host Merchant Services vs. Chase Merchant Services

Simplicity is a necessity for all merchant services. Host Merchant Services and Chase Merchant Services are two companies that provide a simple approach to merchant services all people can trust. But you have to note how you’re going to use what HMS and Chase provides.

To start, you should consider the backgrounds of these two companies. Both HMS and Chase work in the United States, and they have been around for more than twenty years. Host Merchant Services has been around since 1997 with a focus on providing simple interchange-plus pricing for merchant services. Meanwhile, Chase has been working since 1985 and processes more than $1 trillion each year.

But while Chase Merchant Services handles massive amounts of money, it may not be the ideal solution for all people to review. Chase may be appealing, but it is not as great as what HMS provides.

Simple Rates

Predictability is critical for when you’re trying to manage transactions. HMS provides a predictable approach that fits your needs, but Chase does not offer the same feature.

Chase Merchant Services charges people varying rates based on how a card functions. There are separate debt, credit, and flat keyed-in rates for card transactions through Chase.

Host Merchant Services provides consistent rates for different business types, including ones for retail and dining spaces. HMS charges specific rates based on an interchange-plus system. The setup supports more interchanges and provides a more predictable approach to reviewing the charges associated with a plan.

Sub-ISO Concerns

One problem Chase has is that it uses sub-independent sales organizations or sub-ISOs in its service. Most of what Chase Merchant Services provides comes through partnered sub-ISOs and telemarketers. These entities can potentially charge additional amounts of money for what they provide. You may spend unplanned PCI compliance fees, with those totals varying over who you use for services. These charges may become too much of a hassle, although that point may vary surrounding what you incorporate in your work.

HMS does not charge any PCI non-compliance or penalty fees. Host Merchant Services is an ISO of Wells Fargo Bank, plus it uses TSYS as its back-end processor. You won’t worry about outside parties besides these groups entering the transaction process. You will know what you will spend on services without worrying about extra charges entering the process.

Agreement Terms

HMS opposes the concept of long-term commitments to services. Host Merchant Services wants to provide a flexible approach to its services. That’s why HMS only charges for monthly services. You can also use equipment from HMS for free and return it when you no longer require the HMS system. HMS will not charge extra for the return, plus it lets you know what it will charge for your services, helping you plan your work efforts accordingly.

Chase Merchant Services requires a two-year service agreement for all its offerings. The two-year term may be a concern for some people, especially since cancellation fees may apply for the equipment you use. While Chase Merchant Services does not have any early termination fees, you may be subject to extra fees surrounding the equipment you lease. The terms vary over the equipment you wish to use, so you have to review the terms of what you will utilize before you sign up for services.

Virtual Terminal Help

Having support for a suitable gateway is critical for your business. A gateway gives you control over the transactions and helps you read what you are doing with your money. Host Merchant Services and Chase Merchant Services have virtual terminal features, but they are also different surrounding how they function and what you can expect from them.

One of the best parts of HMS is that it can program your payment gateway system as necessary. You can have HMS reconfigure your existing equipment and establish a suitable virtual terminal that fits the Host Merchant Services network. The work is part of the Transaction Express system that manages terminals while encrypting data.

Chase Merchant Services focuses on its dedicated virtual gateway system, the Orbital Virtual Terminal. While this system appears to be convenient for many needs, it may not work as well as you wish. You would have to use a card reader provided by Chase to make this work. The Orbital program may not be compatible with all the programs available for use. You may also be subject to lease terms through the card reader that works with this setup.

Transaction Sensitivity

Chase has a very sensitive transaction analysis system. Part of this comes from how Chase Merchant Services reviews more transactions than most other service providers. The overly sensitive process can produce false flags on transactions that could land a merchant on a blacklist.

Host Merchant Services has a better monitoring system that can identify unique transactions and find instances of chargebacks, declined cards, and other points. The setup identifies the context of each transaction to ensure the merchant is treated fairly and won’t receive a flag for anything that happens. You will feel more secure using the Host Merchant Services system, especially if you work with many other people who have poor credit histories who are trying to use your business.

How the Customer Service Works

Chase Merchant Services offers a 24-hour customer service setup, although it is uncertain who is providing the work. There’s a chance Chase might be offering help from outside the United States, and that service may not be as reliable. You may not get an answer right away either, which is frustrating for some of the more substantial concerns you may have with your setup.

Host Merchant Services has a US-based help desk available 24x7x365. You can also use the live chat system for sales or support any time. HMS also follows up on any communications you make with third-party services, ensuring you receive the help you request.

Host Merchant Services provides a better overall approach to managing card transactions than what you would find through the Chase Merchant Services system. HMS can work well for all your merchant service needs, so take note of what you can get out of HMS for all your needs.

Save Time, Money, & Resources

Categories

HMS vs. Competitors

Contact HMS

Ready for the ultimate credit card processing experience? Ask us your questions here.