VeriFone Copying Square's User Agreement?

It's really pathetic when an established company like VeriFone attempts to steal it's user agreement almost word-for-word from it's competitor. When VeriFone was notified of this copyright infringement they took quick action to modify it and shaved down their user agreement quite a bit. As per Gigaom:

“When we said that Square made it easy to swipe, we meant credit cards,” said Square spokesperson Aaron Zamost. Sean Kane, a member of law firm Pillsbury’s social media, entertainment and technology team, said a company caught copying another firm’s legal user agreements or terms of service could be sued for copyright infringement. But that is rarely pursued when it comes to terms of service and user agreements. It is still an issue, said Kane, because companies who copy a user agreement or TOS could be accused of fraud if their service actually differs from the user document. That could be a problem now for VeriFone, which now has a slimmed-down user agreement that doesn't address many key points about the service.

The truth about Intuit Go Payment

The bottom line is this:


When things look to good to be true, they usually are.


Here is what an Amazon reviewer stated about Intuit Go Payment:

I got this app as it seemed to have more competitive pricing than Square. For a $12.95 monthly fee I am in the lowest rate program available: 1.7% for swiped transactions, and 2.7% for manually entered. However, I am always charged between 2.7 and 3.7% plus a transaction fee. The reason given is that the cards I am charging are "reward" cards of some type. So I get charged the low fee and at the end of the month every transaction I have ever made has at least 1% added to it. I know many of these card are not reward cards, although the vast majority of cards nowadays are. Customer service has been as pitiful as other processors I have used. 




These are just some of the reasons to use a reliable merchant service provider who will not hide fees and lock you into a contract.

Square Credit Card Processing Raises $100 Million

The NYT is reporting that the mobile credit card processing company "Square" has raised a whopping $100 million in in a financing round led by Kleiner Perkins Caufield & Byers. As part of the deal, Mary Meeker, a partner at Kleiner Perkins, will join Square’s board.


“Square has a great product with extensibility which we believe has the potential to have a lasting impact on how people make payments,” Ms. Meeker said in a statement. “Square’s product is fast, easy and fun for both consumers and vendors; a small business can be up and running within minutes.”


There is little doubt that although this space within the merchant service industry is getting a bit crowded, Square is a force to be reckoned with. As I've mentioned the problems with square is that many don't fully comprehend it's limitations. They are great for someone with a very small side business but for serious vendors a traditional merchant service company is what they need.

Problem with Square Credit Card Processing

Square has been getting  tremendous media coverage for the past few months. They now have a lot more competition but they are still getting the most press. The fact still remains that unless you are a small timer, square is not the product for you. There are some serious drawbacks to using square as far as the allowed processing amounts go, which are not listed but vaguely referenced in their terms of service. Basically if you process more than $100 a day or $1000 a month they may hold your funds for 30 days! Between that and the high rates if you are serious about accepting credit cards you are best off with a merchant service provider that offers low rates and no contracts and free software.

Square and Intuit Face Off With Mobile Payments

Square and Intuit are facing off with their very own versions of mobile credit card technology. As mentioned previously, Square is a great solution for a vendor processing small monthly amounts and small per transaction amounts. Once you get more serious you run into issues: Process large amounts and square will hold onto your fund for 30 days. You can't accept Amex and many complain the swiper unit is easily lost. The problem with both of these solutions is the rates are far from competitive and when you process larger amounts the rate is what is most important. If you are serious about using a Mobile Merchant Service you will bes best off to find an honest credit card processor with great rates and service but beware of contracts, termination and set up fees.

Square Mobile Credit Card Processing. How good is it?

Square has certainly been making a big splash in the news. With promises of allowing just about anybody to accept credit cards simply by signing up and getting their little square plastic swiper to accept credit cards. Before you jump on the square bandwagon however, there are some things to consider. How serious are you about accepting credit cards? If you think you'll only be processing $1,000 or less a month it might be a good move. If however you are processing more than that,  you may be best be served with a traditional merchant account. The reasons are many:

1) Square rates are expensive 2.75% for swiped and 3.50% for key in:traditional merchant accounts could get you rates of  as little as 1.29% for debit cards and 2.15% for key in.

2) Square has had issues working with new Iphones.Square only has 128 bit encryption as opposed to a blue-tooth reader which has Features Triple DES data encryption.  

3) Square for many is considered a very fragile piece of equipment. 

4) They may have issues with their underwriting departments. 

5) Square might be promoting drug use (ok maybe, maybe not). 

5) Square being a new company may not have the best customer service.