Merchant Accounts and Other Payment Solutions

There are several online businessmen who think that they don’t need a merchant account and can easily carry out financial transaction using other payment processing option like Paypal, Authorize Net, WorldPay, No Chex, FastPay, Website Payment Pro, Barclaycard e PDQ and others. But do any of these options match up to the service quality and security offered by merchant account service providers.

The first argument favoring Merchant accounts is that it offers international transactions. Most other alternative payment options are restricted to inbound transactions. For example FastPay, No Chex and Barclaycard e PDQ can be used by British customers while Authorize Net and Website Payment Pro can only be used by people living in the United States. Then there are international processing options like Paypal and WorldPay that allow a businessman carry out international transactions. But the word international needs to be used in a limited sense, since even PayPal is not is available in not available in number of counties.

• Moreover if currency conversion is involved, PayPal has its own conversion rate which it keeps changing depending on market conditions. This usually works out to about 5% more than the international bank rate.

• Moreover PayPal has a notorious reputation of withholding money over due to fickle reasons causing both parties a lot of undue stress.

• Customers find it very hard to get in touch with PayPal representatives as they don’t give their contact numbers to their customers. But technical support staff of merchant services can be reached at all hours of the day, usually though toll free numbers.

• But the most important difference that tilts the balance firmly in favor of merchant accounts is that the customers are not required to have a merchant account. This is not the case with PayPal where both the parties – the buyer and the seller are required to have PayPal accounts. This is a huge inconvenience for most people.

So it’s obvious that merchant accounts offer the best services at convenient prices. Now by logging on to Advanced Merchant Services you can find out about the number of other unique advantages offered by AMS. Advanced Merchant Services not only authorize your merchant account with 24 hours but will also provide you with a free credit card terminal with each new account. AMS also offers a rebate of $200 dollars to anyone who processes $10,000 in any of the first three months of the service.

Consider the Cost When Choosing a Merchant Account

A merchant account can be described as a relationship between a businessmen and a merchant bank that allows them to accept payments through credit cards from their customers. All businessmen accepting credit card payments have a merchant account into which the service provider deposits the money from all transactions made through credit cards.

Advanced Merchant Services is an undisputed leader of the merchant accounts industry. With over nine of years of experience AMS has been providing unparalleled merchant account services to its clients, ever since credit cards became the buzzword for financial transactions. Advanced Merchant Services offers a variety of secure, all-inclusive, highly cost-efficient, financial processing solutions. With Advanced Merchant Services, businessmen can start accepting payments in credit cards within a day or two of completing the online application. AMS has a record of getting most of its merchant account application approved in less than 24 hours. Moreover AMS offers the most cost effective solutions in the market today. With Advanced Merchant Services you will never have the fear of getting entrapped into a manipulative merchant account riddled with hidden fees and bogus charges. Hidden fees are basically of two types:

• The kinds that are overtly mentioned in the contract, but you have no way of knowing that you are actually being overcharged till you compare the rates.
• The kinds that are not charged immediately but get deducted once the honeymoon period is over.

There is also a third kind. These are indiscernible non titled fees that can only be ascertained after carefully deducting the fees and charges and from deposits. The money inexplicably siphoned off is the hidden fees. Some of the bogus fees charged by most Merchant Account Services include Chargeback fees, Retrieval fees, Termination fees, Gateway fees, Gateway per Item fees, Minimum fees, Over limit fees, Voice AVS fees Annual fees, Statement Fees, Customer Support fees, Technical Support fees. There are a number of other fees that are covertly charged by merchant service provider and credit card processing units.

Advanced Merchant Accounts on the other hand provides you with the best deal in market. You will not be charged unfairly and if you ever come across another merchant service provider offering cheaper rates, than AMS will immediately beat it by 5%.

How to Maintain Your Merchant Account

As most of you would agree, choosing the right merchant account can be a tough task. Having toiled long and hard to find the right merchant service provider, you must now make sure you keep a careful tab on your merchant account. Most businessmen make the fatal error of not paying enough attention to their merchant account. As rules change and as the rates and fees are slowly increased, the monthly expense of maintaining the account rises beyond their initial expectation. Eternal vigilance is the price of not being taken for a ride. It has often been the case that by the time the businessman wakes up to the inflated bills and starts calculating and comparing the rates and fees, he has already been duped of thousands of dollars.

When rates are increased without notification or proper justification and when new regulations are introduced by credit card associations without informing the businessmen, your merchant account gets affected, and consequently, becomes more expensive. This process is known as merchant account degradation. The key to self preservation is not letting your merchant account degrade in the first place. Here are a few things that you can do to maintain an optimum merchant account.

• You should carefully read through your monthly merchant account statement and get all ambiguities clarified from the customer support executives.
• Merchant service providers are required by the law to inform their clients of any changes before introducing them in their accounts. These notifications should be prominently mentioned in the front page. Always make sure that you go through these information.
• As you must know, there are as many as three different discount rates that you may be charged to process your transactions. Keep a careful tab on these discount rates to make sure that your transactions are running through the lowest qualified rates.

By logging on to the online webpage of Advanced Merchant Services at www.merchant-accounts.com, you can easily and immediately lower your current rates, if they are bothering you. Advanced Merchant Services (AMS) can save you hundreds, perhaps even thousands, of dollars that you pour into processing costs. Fill up the AMS form and you will soon be contacted by an AMS representative with a proposal that will beat your current rates. With AMS, you are always assured of complete satisfaction. AMS is a well established player and is backed by the largest processing banks in the United States of America. So whether you need to process a thousand dollars a month or a million, your funds are absolutely safe with the merchant accounts at AMS.

Are Equity-Indexed Annuities Right for You?

What is an equity-indexed annuity?
An equity-indexed annuity is a type of contract between you and an insurance carrier. This annuity earns interest by linking to a given index. One of the most commonly used indices is the Standard & Poor's 500 Composite Stock Price Index (the S&P 500).

Competitive interest rate guarantees on principle:
Some equity indexed annuities are able to offer as much as a 10% interest bonus the first year. In addition, the insurance carrier typically guarantees a minimum return on your principle contribution amount over the life of the contract. This rate is guaranteed even if the index-linked rate is lower. Guaranteed minimum return rates vary from carrier to carrier, but they’re typically in the range of 1-3%.

Here's how you can earn 13-14% in year 1:
At the time of transfer, some insurance carriers will issue an immediate 10% upfront bonus. The remaining 3-4 comes from your money usually being placed in a “fixed bucket” (like a money market) the remaining 12 months, thereby giving you a total for year 1 of 13.00-14.40%.

In addition, the insurance carrier typically guarantees protection on your principle contribution amount. This means that your investment may never dip below your principle contribution. Some insurance companies even guarantee a protection of your principle balance each anniversary year of your investment. This allows your investment to potentially grow to higher balances each year allowing those new balances to become protected as well. (All the guarantees are based on the premise that you leave the money in the contract for the duration of the term).- see next section

Can you lose money buying an equity-indexed annuity?
With all the equity indexed annuity guarantees, you may be wondering if you can loose money investing in these types of investments. You can lose money buying an equity-indexed annuity, especially if you need to cancel your annuity early (before the term expires). There are early withdrawal penalties that apply.

Even with a guarantee, you can still lose money if your guarantee is based on an amount that’s less than the full amount of your purchase payments. If your equity-indexed annuity only earned its minimum guarantee, it would take several years for it to “break even.”

Who are equity-indexed annuities more appropriate for?
Equity-indexed annuities tend to be more appropriate for long-term retirement monies, where you will not access your contributions and interest credits on a regular basis. These types of investors are not concerned with the early withdrawal penalties and are more interested in the guarantees and protection offered.

What are some of the contract features of equity-indexed annuities?
Equity-indexed annuities are complicated products that may contain several features that can affect your return. Bass Financial Solutions, Inc. makes it a point to help you fully understand how an equity-indexed annuity computes its index-linked interest rate before you buy. An insurance carrier may credit you with a lower return than the actual index’s gain. So there’s a “trade-off” in kind, for the principle protection they provide. Some common features used to compute an equity-indexed annuity’s interest rate include:

* Participation Rates. The participation rate determines how much of the index’s increase will be used to compute the index-linked interest rate. For example, if the participation rate is 80% and the index increases 9%, the return credited to your annuity would be 7.2% (9% x 80% = 7.2%).

* Interest Rate Caps. Some equity-indexed annuities set a maximum rate of interest that the equity-indexed annuity can earn. If a contract has an upper limit, or cap, of 10% and the index linked to the annuity gained 10.2%, only 10% would be credited to the annuity.

* Margin/Spread/Administrative Fee. The index-linked interest for some annuities is determined by subtracting a percentage from any gain in the index. This fee is sometimes called the “margin,” “spread,” or “administrative fee.” In the case of an annuity with a “spread” of 3%, if the index gained 10%, the return credited to the annuity would be 7% (10% - 3% = 7%).

Another feature that can have an impact on an equity-indexed annuity’s return is its indexing method (or how the amount of change in the relevant index is determined). Some common indexing methods include:

* Annual Reset (or Ratchet). This method credits index-linked interest based on any increase in index value from the beginning to the end of the year.

* Point-to-Point. This method credits index-linked interest based on any increase in index value from the beginning to the end of the contract’s term.

* High Water Mark. This method credits index-linked interest based on any increase in index value from the index level at the beginning of the contract’s term to the highest index value at various points during the contract’s term, often annual anniversaries of when you purchased the annuity.

These and other features may be included in an equity-indexed annuity you are considering. Before you decide to buy an equity-indexed annuity, let Bass Financial Solutions, Inc. help you understand how each feature works and what impact, together with other features, it may have on the annuity’s potential return.

As we say to all of our clients: Like any other investment or contract that you enter into, Equity Indexed Annuities are not appropriate for everyone. They are most appropriate for those investors that have a solid understanding of the contract features and benefits. Additionally, these features and benefits must match your stated objectives and goals for your money, in order to be a suitable and viable alternative for your money. At that time, and only then, is an Equity-Indexed Annuity the right investment option for you.