A Comparison Between Slice and Host Merchant Services

Selecting the right payment processor and merchant services provider is crucial for smooth operations, and the decision directly impacts your revenue. The right choice varies significantly depending on your business model and specific needs. So, to help you ease your search, we will review Slice Merchant Services vs. Host Merchant Services, the top payment processors you might have heard about during your research –.

This comparative review of Slice Merchant Services and Host Merchant Services covers various essential factors, including fees, pricing structures, features, and contract conditions. Additionally, we’ll see the pros and cons of each, ensuring you have a comprehensive understanding of what each service can offer. By the end, you can equip yourself with the information from Slice Merchant Services Vs Host Merchant Services to choose the service that best fits your business.

A Look at Slice Merchant Services

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Slice Merchant Services, based in New York City, offers payment processing solutions and POS systems to its merchant clients. These services include equipment rentals featuring Fiserv’s Clover POS equipment line.

Slice Merchant Services offers innovative solutions for businesses by providing a “Zero Cost Processing” plan that eliminates typical credit card processing fees. This approach allows companies to accept credit cards without incurring processing costs; by utilizing a dual pricing model, customers paying with cash receive a discount, effectively shifting the processing fees to those who choose to pay with cards. This model is legal and compliant across all states and is designed to be straightforward for businesses to implement and manage​.

Beyond just payment processing, Slice offers a range of services and equipment tailored to different business needs, from restaurants to retail stores. They offer advanced POS systems like the Clover product line, which includes devices that suit various business sizes and types, providing options for mobile connectivity and comprehensive business management tools. Additionally, Slice engages in social responsibility programs, contributing to various charitable causes with each new merchant account​. This holistic approach to business services and their commitment to social responsibility defines Slice’s market presence.

Pros and Cons of Slice Merchant Services

A Look at Host Merchant Services

Host Merchant Services (HMS) offers a comprehensive suite of payment processing solutions tailored to various business needs, including those of high-risk and e-commerce businesses. They provide multiple services, such as merchant accounts with interchange-plus pricing, mobile payment solutions, and advanced POS systems. HMS is noted for its flexibility, offering no long-term contracts and no fees for setup or early termination. It is a more attractive option for businesses seeking minimal financial commitment and high transactional flexibility​.

HMS also supports a variety of payment processing hardware and software, including modern payment terminals that can handle EMV and NFC payments. Their proprietary POS software, Bonsai, is tailored specifically for the hospitality industry while offering options like Clover and SwipeSimple for broader retail environments. For e-commerce merchants, HMS provides over 100 payment gateway solutions and the capability to integrate with major online shopping carts like Shopify and WooCommerce. Their commitment to transparency is evident in their explicit pricing models and the absence of hidden fees, making HMS a reliable partner for businesses aiming to optimize their payment processing systems​.

Pros and Cons of Host Merchant Services

Features of Slice Merchant Services

Slice Merchant Services offers a comprehensive suite of payment processing solutions designed to meet the diverse needs of businesses. Their services encompass various payment methods, including credit card, debit card, and ACH payments, all while emphasizing security features such as PCI compliance, fraud prevention, and tokenization.

• Payment Processing Solutions

Slice’s Dual Pricing Program allows merchants to offset processing fees by offering customers two pricing options – a standard price for card payments and a discounted price for cash payments. This approach is legal across all 50 states and enables businesses to collect 100% of their processing sales.

Through partnerships with systems like Clover, Slice provides solutions that enable businesses to accept credit card payments without incurring processing costs. This is achieved by implementing a service fee for card transactions, effectively passing the processing cost to the customer.

• Point of Sale (POS) Systems

Slice offers a range of POS systems tailored to various business types, featuring functionalities such as inventory management, employee management, and real-time reporting. Their offerings include Clover POS Family – A versatile POS system suitable for retailers, quick-service restaurants, and service-based businesses. It supports all payment types and offers features like WiFi and LTE connectivity, enabling business management from anywhere.

Additionally, Startslice™ POS, which is designed for small businesses, this intelligent POS solution simplifies processes like order management, payment processing, staff coordination, loyalty programs, and sales reporting. It facilitates accepting various payment methods, including in-person and online payments, ensuring businesses can take payments anywhere.

• Virtual Terminals

Slice’s virtual terminals enable businesses to process payments via computers or mobile devices. These terminals are equipped with customizable checkout pages, fraud prevention tools, and support for recurring billing, enhancing the flexibility and security of remote payment processing.

• Online Payment Gateway

Slice offers an integrated payment gateway for online businesses that facilitates secure transactions through company websites. This gateway supports various e-commerce platforms and includes features like customizable checkout pages, fraud prevention tools, and the ability to handle recurring payments.

Slice markets its services as highly adaptable and cost-effective, aiming to provide solutions that meet the specific needs of businesses across different industries. Despite their claims of processing over $7 billion annually, prospective clients should consider verifying such figures as part of their due diligence due to the size and history of the company.

Features of Host Merchant Services

Host Merchant Services offers a comprehensive suite of payment processing solutions designed to cater to various business needs across multiple industries. Their services support all major debit and credit cards, allowing businesses to handle different types of transactions.

• EMV Card Readers and Swipers

HMS equips businesses with EMV card readers and swipers like PAX A80, Valor VL series, Dejavoo QD2/4, and Dejavoo Z8/9 that comply with the latest security standards. These devices are essential for reducing the risk of fraud and unauthorized transactions, ensuring secure transactions for businesses and their customers.

• Point of Sale (POS) Solutions

They offer a variety of POS solutions, including popular systems like Bonsai, Clover, SwipeSimple, and Vital POS. These systems are designed to streamline the checkout process and enhance the overall customer experience in retail settings.

• Mobile Solutions

For businesses that operate outside traditional settings, HMS provides mobile solutions that allow for on-the-go payment processing. This is ideal for companies such as food trucks, pop-up shops, and mobile service providers, enabling them to accept payments anywhere.

• Payment Gateways and Virtual Terminals

HMS also provides robust online payment solutions, including payment gateways and virtual terminals. These tools are vital for online businesses, facilitating secure and efficient transactions through their websites. It integrates well with major payment gateways like NMI, Authorize.net, and Transaction Express.

Its proprietary web-based solution, HMSPay, offers an intuitive and smooth design that supports all major credit cards, signature debit cards, e-check, ACH, and even recurring payments. It is fully PCI-compliant with advanced security measures, including data tokenization, 3D Secure, and a customer vault with wallet and history capabilities. With HMSPay, you can also integrate directly into various shopping carts, CRMs, ERPs, billing software, and more, providing flexibility for different business needs.

• E-Commerce Solutions

Their e-commerce services ensure seamless integration with online shopping carts and support for all major payment gateways, which enhances the online shopping experience by providing a smooth and secure checkout process.

• Cash Discounts and Merchant Cash Advances

HMS offers cash discount programs and merchant cash advances to improve cash flow management and reduce processing costs. These programs provide financial flexibility, making it easier for businesses to manage their finances effectively.

• EBT Processing

HMS supports Electronic Benefit Transfer (EBT) processing, enabling businesses like grocery stores to accept payments from government-issued benefits cards, catering to a broader customer base.

• Gift and Loyalty Programs

Lastly, HMS provides gift and loyalty card programs to boost customer retention and engagement. These programs are designed to incentivize repeat business by rewarding customers for their loyalty.​

Slice Merchant Services vs Host Merchant Services: Pricing

When comparing Slice Merchant Services and Host Merchant Services, evaluating their pricing structures, including early termination fees, monthly fees, transaction fees, and other associated costs, is essential.

Slice Merchant Services employs a surcharge pricing model where customers using credit or debit cards are charged an additional fee of approximately 3.99% to cover transaction costs. This allows merchants to receive the full sale amount without deducting processing fees. However, merchants may encounter an early termination fee of $500 (while, as mentioned, some customers have been charged thousands)  if they cancel their contract before the agreed term. Monthly service fees are reported to be $50, with additional charges for POS system services. While specific per-transaction fees for merchants are not detailed under the surcharge model, the contract typically spans 48 months, which can be a significant commitment.

On the other hand, Host Merchant Services operates on an interchange-plus pricing model, offering transparent and competitive rates based on business type. For retail businesses, the rate is interchange plus 0.25% and $0.10 per transaction; for restaurants, interchange plus 0.20% and $0.09 per transaction; and e-commerce, interchange plus 0.35% and $0.10 per transaction. Host Merchant Services does not charge early termination fees, providing flexibility with month-to-month contracts. The standard monthly fee is $14.99, and an annual 1099 reporting fee of $24. Additional costs include a batch fee of $0.20 per batch and an optional gateway fee of $5.00 per month. Host Merchant Services does not impose a PCI compliance fee, enhancing its cost-effectiveness.

Overall, Slice Merchant Services offers a surcharge model that eliminates processing fees for merchants by transferring a 3.99% fee to customers. However, it comes with a long-term contract, significant early termination fees, and relatively higher monthly costs. In contrast, Host Merchant Services provides a transparent interchange-plus pricing structure with lower monthly payments, no early termination penalties, and flexible contract terms, making it a potentially more cost-effective and adaptable choice for businesses.

Slice Merchant Services vs. Host Merchant Services: Customer Support

When comparing the customer support services of Slice Merchant Services and Host Merchant Services, it is essential to assess their contact methods and availability to address customer needs effectively.

Slice Merchant Services provides 24/7 phone support for order-related inquiries, ensuring assistance is always available at (888) 974-9928. For account management issues, their team is accessible at (855) 237-4992 during extended hours from 10:00 AM to 10:00 PM ET. Customers can also reach out via email at [email protected] for support. Additionally, Slice offers in-app support through the “Get Help” option on the tablet, enabling users to connect with their team conveniently.

Host Merchant Services also prioritizes comprehensive customer support with 24/7 phone assistance for merchants, accessible at 1-877-517-4678. Their sales team is available for inquiries Monday through Friday, from 8:00 AM to 8:00 PM. You can also get in touch with Host Merchant Service through email. Host Merchant Services further enhances its offerings by providing live chat support through its website, ensuring real-time assistance is readily available.

Both companies offer multiple channels to support their customers effectively. Slice Merchant Services focuses on 24/7 phone support, email, and in-app communication. At the same time, Host Merchant Services extends its support with 24/7 phone availability, email, and the added convenience of live chat, making it a well-rounded choice for continuous support.

Conclusion

Slice Merchant Services and Host Merchant Services provide valuable payment processing solutions, but Host Merchant Services offers businesses a more flexible and transparent option. While Slice’s unique “Zero Cost Processing” model might seem appealing for some, its long-term contracts, high early termination fees, and additional costs could pose challenges for businesses seeking flexibility.

On the other hand, Host Merchant Services stands out with its clear pricing structure, no early termination fees, and the ability to cater to high-risk businesses. With strong customer support, competitive rates, and no hidden fees, Host Merchant Services emerges as a more adaptable and cost-effective choice, especially for companies looking for transparency and minimal commitment.