Application Checklist

⌧ Merchant Application. Please download, complete & sign.
⌧ Elavon Agreement. Please complete & sign if applying with Elavon.
⌧ iPayment-First Data Agreement. Please complete & sign if applying with iPayment-First Data. (Please call us if you're unsure which processor Agreement to sign. We will help guide you to the processor that best meets your needs and offers the most savings)
⌧ Voided Business Check including your business name and address.
⌧ Last 3 Months Current Processing Statements. Only required if you are currently accepting credit cards.

We will contact you if we require any additional items to complete your application.

Please include the above checked items to expedite handling of your application. The items on the checklist may be faxed or mailed to NACCA.

Application Fax #: 203.622.1238

Alternatively, the application may be mailed to:

North American Credit Card Association
Attn: New Accounts
57 Old Post Road NO 2
Greenwich, CT 06830

Upon receipt of your complete application package, we will forward your application to the Underwriting Department for review. The processing of your application generally takes 1 to 3 business days and we will contact you once a decision has been made. Nearly 99% of applications submitted with good credit are approved.

Please contact us before submitting an application if you are aware of credit issues that might affect your ability to get approved for credit.

You can expect to receive a welcome kit and telephone training within 1 to 3 business days of approval.

Please call us at 800.258.8472 with any questions.

Click Bellow to Download Application

Attached document

Interchange is defined as the amount of each transaction paid to the card issuing bank. Each transaction clears through interchange on its own merits. This means that a swiped consumer credit card will clear at a one (lower cost) interchange level while a keyed (non-swiped) or e-commerce transaction will clear at another (higher cost) interchange level. There are currently over 400 different interchange categories. The Interchange fee depends upon the Interchange Qualification of each individual transaction. These fees are non-negotiable and are the same for every merchant who accepts Visa or MasterCard no matter how big or small.

Assessments are the amount of each transaction paid to either Visa or MasterCard. This is a fixed fee they earn on each transaction. Currently the assessment levels are set as follows:
Visa Assessment is 0.11% + $0.0195 on each transaction.
MasterCard Assessment is 0.11% + $0.0185 on each transaction.

The vast majority of US merchants are priced on what is known as a Tiered pricing program. This means that a typical merchant will have a "Qualified" rate for their debit and credit transactions that clear at the best possible interchange levels, a "Partial Qualified" or "Mid Qualified" rate for their transactions that downgrade to a higher interchange level (usually for non swiped or Rewards / WorldCard transactions) and a "Non Qualified" rate for those transactions which clear at interchange levels not covered by the first two pricing levels.

Bundled into these Tiered rate levels are dozens of different interchange costs. Typically, one of these tiered rates is a lower more competitive rate while the other two tiers are much more expensive / less competitive rates.

These non-competitive rates are inflated with big margins above actual cost. As much as 50% or more of most merchants’ transactions will downgrade into these much higher rate categories. In fact, with the recent introduction by MasterCard in June 2007 of their Enhanced card interchange levels, the number of transactions that will downgrade is going to increase even more.

Most processors have publically acknowledged that the vast majority of their processing income is earned on these downgraded transactions. In fact, it has been publically acknowledged by the world’s largest processors that 90% of their merchant processing profitability is earned on their downgrade fees (Mid Qualified and Non Qualified rates).

By offering our merchants "Interchange" pricing, we eliminate the opportunity to overcharge for downgraded transactions. Our merchants pay true interchange on each transaction with a fixed % mark-up (based on monthly processing volume) and a 3¢ authorization fee.

In our opinion, this option is in the merchant’s best interest. We have yet to find a merchant whose tiered pricing is not significantly more expensive than what is available via our Interchange pricing program (and we have reviewed thousands of statements).

Fax us a copy of your most recent processing statement and we will show you exactly prove how much we would have saved you had you processed those same transaction with us.

The current Tiered Swiped (retail) and Keyed (mail order, internet) rates offered by large wholesale clubs such as Costco are "Tiered" as follows:
Swiped / Retail wholesale club merchant rates:
Qualified Wholesale Club rate 1.64% + 20¢
Partial Qualified Wholesale Club rate 2.83% + 31¢
Non Qualified Wholesale Club rate 3.35% + 31¢

Keyed / Mail Order / e-Commerce wholesale club merchant rates:
Qualified Wholesale Club rate 1.99% + 27¢
Partial Qualified Wholesale Club rate 3.35% + 31¢
Non Qualified Wholesale Club rate 3.35% + 31¢

Now let’s take a few sample transactions to see how our Interchange pricing compares to the wholesale club pricing listed above for both swiped and keyed merchants each processing two $50 Visa debit card transactions (one clearing at the best possible interchange level and another key entered without the required address information):

Example #1 - Swiped merchant correctly processing $50 Visa debit card
Wholesale club rate 1.64% + 20¢. Actual cost for this single transaction is $1.02.
NACCA rate 1.30% + 18¢. Actual cost for this single transaction is $0.83.
Savings on this single transaction = $0.19 or 19%!!

Example #2 – Swiped merchant incorrectly keying $50 Visa debit card
Wholesale club rate 3.35% + 31¢. Actual cost for this single transaction is $1.99.
NACCA rate 2.02% + 23¢. Actual cost for this single transaction is $1.24.
Savings on this single transaction = $0.75 or 38%!!

Example #3 - Keyed merchant correctly processing $50 Visa debit card
Wholesale club rate 1.99% + 27¢. Actual cost for this single transaction is $1.27.
NACCA rate 1.87% + 18¢. Actual cost for this single transaction is $1.11.
Savings on this single transaction = $0.16 or 13%!!

Example #4 - Keyed merchant incorrectly processing $50 Visa debit card
Wholesale club rate 3.35% + 31¢. Actual cost for this single transaction is $1.99.
NACCA rate 2.02% + 23¢. Actual cost for this single transaction is $1.24.
Savings on this single transaction = $0.75 or 38%!!

As you can see from the examples above our rates are significantly better than those offered by the leading wholesale club in all instances. In fact, our savings increases when the transactions downgrade as we do not have the opportunity to inflate our rates due to our pricing model.

Interchange compensates card issuing institutions for their risk and the expenses they incur to process transactions. The fee amount is based on the level of risk associated with funding a particular transaction - the more perceived risk (based on transaction type (keyed, swiped, etc), the higher the interchange cost. There are built in incentives to encourage each merchant to do everything possible to reduce the level of risk associated with a particular transaction.

For example, if a mail order merchant processed a card not present Visa transaction and does not respond to the address and/or zip code prompts that transaction should clear a higher interchange level (EIRF 2.30% + 10¢) than if that same transaction were processed correctly and the address and or zip code questions were answered so transaction would interchange out to CPS Card Not Present which has an interchange cost of 1.85% + 10¢.

Think of it as the fee the acquiring bank pays to the credit card-issuing bank in order to process a credit card transaction involving a card holder's account. The conditions under which you accept credit cards and process transactions affect how high the fee will be.

The interchange fee is determined by the nature of your business and the processing procedures you follow. Visa and MasterCard set these rates twice each year (in April & October) by assessing the level of risk associated with funding and expenses involved in processing a transaction.

Hence the interchange fee for a face-to-face transaction will be less -- usually -- than in a mail-order transaction, since the risk of fraud drops considerably if a merchant can swipe a card and compare signatures.

Card issuers assign merchants to certain interchange categories reflecting their processing environments. The discount rate set for each merchant assumes compliance with prescribed procedures, and failure to do so, like neglecting to obtain electronic authorization, results in higher fees.

North American Credit Card Association will help secure the best interchange rates for our customers. We keep our merchants aware of requirements they must meet to qualify for the lowest interchange rates for their business.

Authorization, as it may imply, is when you, electronically through our network, get authorization to put aside funds on a particular credit card for a specific dollar amount. This also verifies that the card is legitimist, that the cardholders has sufficient credit for the transaction and puts a "hold" on that amount until you settle at the end of the day.

Our fee’s for Authorization is 3¢ for all our merchants which is well below the industry average 25¢ authorization fee.

In addition to the 24/7 customer support provided by our processors, NACCA assigns one or more in house relationship managers to each of our customers. We encourage our customers to call their relationship manager(s) first with any questions for the fastest response available in the industry.

We pride ourselves in delivering the highest level of customer service. We have won industry awards for having the lowest attrition rate from our client base. We believe we have achieved this distinction by not only providing the most competitive rates, but also in large part, to our efforts to continually work on building strong relationship with our merchants. Making sure all their needs are satisfied with the highest level of service.

Interchange comprises the single largest component of your fee structure to accept credit cards. By passing through MasterCard and Visa Interchange, Dues & Assessments at costs to you, you receive the most advantageous pricing structure in the market place today. Interchange is the same for all providers, banks, processors and merchants no matter how big or how small. These fees must be collected and paid to the card issuing banks and the card associations. We charge a nominal processing fee which covers transaction authorization and settlement costs, underwriting, account maintenance and client support. By pricing your account on an interchange pass through rate structure, you will qualify for reduced rates when accepting a Debit card as well as the exact interchange rate on each transaction, eliminating MID and NON qualified rates.

Visa interchange cost can be 10 basis points lower. Because you’re are paying the exact interchange rates with our interchange plus pricing program, you are assure to capture that 10 basis point savings on all your Visa transaction. This is one example of why such large merchants as WalMart & Home Depots demand "Interchange" pricing.

Our pricing is known as Interchange Pass Thru or Interchange Plus pricing. It differs from tiered pricing in two distinct ways: It is much more efficient and therefore much less costly for the merchant AND it is much more complicated to understand. However, once you understand this pricing structure, you will certainly see why pricing in this fashion is in the merchant’s best interest.

There are 3 different components to our rates: 1] discount rate (%), 2] auth/per item fee (¢) and 3] Interchange. The first two components are easy to understand so we will dispense with them first and then elaborate on interchange:

1] Discount rate – the discount rate charged is the fee charged by the processor above wholesale cost (interchange). This fee is generally between 0.09% - 0.39% and is volume dependent. This means that on a $100 transaction, the processor will charge between 9¢ - 39¢ to cover all the costs and risk associated with processing a merchant’s transactions.

2] Auth / transaction fee – this fee is charged in order to cover the network who carries the transactions from the merchant to the processor.

3] Interchange – Interchange is by definition the amount earned by the card issuer on each transaction. It is also known an raw cost and is the same for every processor and every merchant in the country. Interchange makes up the vast majority of the cost component when running a transaction. There are currently over 400 different interchange levels and each transaction clear thru interchange on its own merits. This means that there is one interchange cost for a swiped Visa debit card and another interchange cost for a swiped Visa Rewards card (for example). There are also special interchange rates available for certain industries such as emerging markets, educational institutions, charitable organizations, small ticket merchants (under $15). Also, there are significantly lower interchange rates for check cards.

By passing interchange thru to our merchants on a direct basis, there is no way for the processor to mark up the “downgraded transactions such as Rewards cards or business cards by more than the actual interchange cost differential.

OK – now that you have absorbed the way our rates are structured, please answer the original question: “What is my rate from NACCA going to be?”

As you can see, there is no easy way to answer this question. Since there are over 400 different interchange levels, there are potentially over 400 different rates. While that sounds daunting, the reality is that most merchants will see less than 10 different interchange levels for each card type in each month.

So here are the most common rates merchant’s will see broken down by general merchant types and assuming a merchant whose volume and ticket size qualifies them for the 0.19% + 10¢ fee program:

Retail merchants:
Swiped Debit = 1.31% + 27¢
Swiped Consumer Credit = 1.82% + 22¢
Swiped Rewards = 1.94% + 22¢
Key Entered Debit = 1.89% + 27¢
Key Entered Rewards = 2.24% + 22¢

eCommerce / Mail Order merchants:
Key Entered Debit = 1.89% + 27¢
Key Entered Rewards = 2.24% + 22¢
Key Entered Consumer Credit = 2.09% + 22¢
Corporate Key Entered = 2.34% + 22¢

Charitable organizations / Educational / most types of classes (including dance instruction, etc):
Key Entered Debit = 1.10% + 37¢
Key Entered Rewards = 1.73% + 17¢
Key Entered Consumer Credit = 1.73% + 17¢
Corporate Key Entered = 2.34% + 22¢

Oil delivery companies:
MasterCard Utility Debit = 0.30% + 56¢
MasterCard Utility Credit = 0.30% + 76¢
MasterCard Utility WorldCard = 0.30% + 76¢

Please keep in mind that interchange will be the same for all merchant sizes and this discount rate and fee will be determined by the type of merchant and processing volume.

We are located in Greenwich, Connecticut. We have been providing processing solutions for Merchants since 1989.

North American Credit Card Association offers a wide variety of hardware and software solutions to meet the specific needs of our merchants.(Clik here to see our equipment offerings.) We find that every merchant is structured a little differently. We work with the merchant to find the most cost effective solutions to meet their processing requirements.

Our equipment is priced at cost for our existing merchants and below cost for new merchants (as an additional enticement to process with NACCA). Some of our more popular models include: The Verifone Omni 3730LE, The Hypercom T7Plus, The Nurit 8000S GPRS on Cingular Wireless, RDM Synergy, PC Charge Pro software, SmartPayments for Quicken and the AuthorizeNet Gateway.

No. We are in the business to provide credit card processing and superior customer service to our merchants. We are not in the business of selling hardware at or below cost with no possibility to recoup that loss in the future.

Once we receive an application and all supporting information, 90% of our accounts are up and running in 24 to 48 hours. Once your account has been approved we will contact you immediately and either re-program or re-configure your existing equipment or ship you a new terminal or software via UPS. Our equipment pricing includes UPS Ground shipping from Connecticut.

Fund are ACH deposited into your designated checking account two business days after transaction have been settled. It is important to settle all transactions daily to ensure that you get your funds as soon as possible and to help each transaction qualify for the best possible interchange rates. We program most terminals for "auto close" to ensure that our merchant’s get their funds as quickly as possible and to avoid any unnecessary delays in funding.

No, there is no application fee. Even though we incur an application fee cost we waive the application fee for our perspective merchants in order to win their business.

We do charge a modest monthly fee of $12 to help provide the best possible service for our merchants. However, unlike the standard in the industry, North American Credit Card Association does not charge a monthly minimum processing fee. (Industry average = $25.00)

A monthly volume cap is a security tool used by many processors to limit their potential exposure on a merchant account. Specifically, a volume cap is just as it sounds: a cap on the total amount of monthly processing allowed by a merchant.

This tool is used very infrequently with our merchant's but depending on the amount and content of financial disclosure and the type of business there may or may not be a monthly cap on Visa and MasterCard transactions.

During the application process, we work with the merchant to make sure we have plenty of headroom on any potential cap to conduct all projected monthly transactions.

And as your business grows, we continually monitor and adjust cap restrictions to ensure seamless operations of your day to day business.

The best way to avoid any potential problems with volume caps is to be as realistic and accurate when completing the projected monthly processing volume section of the application.

In addition to credit and debit card processing, North American Credit Card Association offers a wide array of other related services which include:
Electronic Gift Card Programs
ACH & Electronic Check Processing Dynamic Currency Conversion Recurring & Installment Payment Processing EBT Fleet and Corporate Card Processing