Explore your opportunities! Create an account or Sign In
The most trusted and popular consumer complaints website

Merchant One / Hold Credit Card Funds Indefinitely

100% 8
Contact information:
Merchant One
This company doesn't bother to tell you their "standard procedures" and held up my funds for 5 days. They would've held the money longer if I hadn't called to check on why the funds weren't deposited into my account. They were all gung ho to tell me my business was approved for credit card transactions and to start right away. Don't trust these guys. If you don't watch them closely, they'll sit on your money indefinitely.


Sort by: UpDate | Rating
A  16th of Mar, 2009 by 
Agree Disagree +3 Votes
In my experience I would have to say that this is the worst company in the world. There customer support is terrible and it seems like no one there even knows what they are doing. Cancel 2 weeks after signing (which was almost impossible to do by the way).
N  20th of Aug, 2009 by 
Agree Disagree +3 Votes
I have had the same problem. How did you resolve this issue with them? Have you filled a complaint with the Fl State Attorney General's office? I did. Maybe they can stop this company from ripping off more smal businesses.
A  1st of Sep, 2009 by 
Agree Disagree +3 Votes
Let me join the club.
Merchant One is a rip off.
They do not bother to disclose the whole contract to you and fail to provide you with the monthly statements they charge you for. Also, they came up with the PCI fee of $129.00. What I want to know who gave them permission to question our honesty and reliability?
To summarize: they are a bunch of crooks.
I am reporting them to the Florida Attorney General and BBB.
Enough is enough.
N  7th of Oct, 2009 by 
Agree Disagree -1 Votes
PCI is real and is not something made up. All companies are charging it now. Merchant One just got to it first. Don't fool yourselves. Visit www.pcisecuritystandards.org for more information on it. And read the application before signing. Its all you have to do. Everything is on there in plain English. If your business is a scam, dont bother signing up. They will hold your funds in order to protect the card holder. This is the only reason they hold funds. To protect the card holder. If you are a legitamate business, they work just find and are very knowledgeable about their industry.
D  14th of Oct, 2009 by 
Agree Disagree +1 Votes
No, all companies ARE NOT charging PCI fees. PCI fees do not apply to every merchant, and do not need to be charged to EVERY merchant!! I am with an ISO myself, and we do not, nor do we plan to charge ANY PCI fees. PCI is a way for a processor to make money while most times not doing anything.
A  16th of Oct, 2009 by 
Agree Disagree +1 Votes
I signed up with MerchantOne in May 2009. I was told by the sales rep that there was no contract, no cancellation fees. I asked three times for information about any fees not included in the Schedule of Fees. He reassured me there would be no hidden fees. Never once was a PCI fee mentioned. Fast forward to July and my account is debited for $129. I call the sales rep and ask him what the charge was about and he said I was notified on my May Statement. The problem is, I never got a May Statement since I signed up late in May. And by the way, if all MerchantOne customers were notified in May about the PCI Compliance fee, then why couldn't the sales rep tell me about the fee when asked repeatedly to disclose all fees. His answer: I wasn't aware of the fee at that time. Seriously?

I then tried to cancel my service with MerchantOne only to find out that I was going to owe them the greater amount of $295 OR an amount equal to $25 a month for the remainder of my contract. What contract I say! After several days on the phone with 4 different customer service reps I find out that when you sign their application you can attach yourself to them for up to 5 years. The rep said in my case it was 3 years, but when we filed a claim with Florida's Consumer Affairs department, the man from MerchantOne who responded to my complaint said I was indebted to them for 5 years. Now they can't get their story straight.

So for right now, I am paying another processor to actually do business as well as paying MerchantOne because I am simply too stubborn to pay them $800 (or $1500 if it really is a 5 year contract) to leave. It is cheaper to pay the $7.95 a month service fee and remain a customer... more like a financial prisoner.

By the way, my new processor does not charge a PCI Compliance fee. Will I still have to pay MerchantOne's PCI fee even if I am not processing cards through them? I wonder...
A  2nd of Dec, 2009 by 
Agree Disagree +1 Votes
Yes I totally agree that Merchant One is a rip off. They always charge me a ridiculous amount just for me using their services. When I checked my bank account I found out they charge me additional 129 for PCI!! what the heck. I called them and they said that all merchant companies are required to charge PCI fees now. Been doing some research online and called some merchant companies and found out not all merhcant companies have to charge PCI fees, it's another way companies make extra money off of their customers. I wanted to cancel my contract with Merchant One but the fee is $295!! thank goodness I only have a one year contract with them, I guess I'm going have to stay with them for another eight months. But honestly stay away from this company. Their a big rip off and their customer services are always lost and confused they don't know what their doing.
N  11th of Jan, 2010 by 
Agree Disagree 0 Votes
Opened a merchant account. I explained to the salesman that I was a very small businessman and I did not know whether I would be in business for 1 month, 3 months or forever. I explained I would be doing internet sales and point of sales. The sales rep did not explain they were setting me up with 2 accounts. This cost an additional $30 per month. From my understanding it was a month to month contract but as I found out that was not the case. I did not need 2 accounts or a 5 year contract! When I tried to close one of the accounts, I was told it was on a 3 or 5 year contract-no one knew for sure. To get out of a contract it was going to cost me $25 per month per contract for 3-5 years depending on who I spoke to. After trying to resolve the issue many times with customer service, they said I could cancel one account now at no charge. My sales rep said he would work with me in 2010 to resolve the other account.. I felt like I was caught between a rock and a hard place, so I agreed. They email me a cancellation letter and nowhere did it state that I would be charged. So I contacted Nancy (a supervisor) at Merchant One and told her I would not sign this until she sent an email confirming that I would not be billed. Her email stated
“Kelvin-I have attached a cancellation form. Please note: Your business will not incur any penalties for terminating one account because you still will have one active merchant account with us. Thank you.”
Within 24 hours of faxing the cancellation letter, Merchant One took $800 out of my account. After this I was no longer willing to wait another month to work on the other account. I contacted Merchant One immediately. They admitted money should not have been taken out of my account and said it would be replaced in 7-14 business days. That is great that they will return the money but now I have overdrafts and other fees acquiring. I no longer had money for a show that I wanted to do, I was hoping to get some sales before Christmas, well that never happened. The money was finally returned but it has cost me in many other ways. Merchant One’s excuse for taking the money was that I did not send the fax to the right person. I believe the sales rep said what he needed to say to get me to sign and once I did, all the terms changed. I signed up for a $25 per month account and got a nightmare.
Summary: Lied to andor neglecting to disclose terms & agreements of account (s)
Poor response from customer service
Unauthorized monies taken from account after email says it will not happen
Poor response from messages or emails
A  14th of Jan, 2010 by 
Agree Disagree +1 Votes
I agree with everything that has been said above. When I inquired about setting up an account I asked the salesperson, Scott Gonzales, to be absolutely up front and clear with me about what fees there would be, because my business was not bringing in a lot of money and I knew I couldn't handle extra fees (beyond the regular monthly fees). He assured me there would be no additional fees of any kinds, and wrote that into my contract. He also assured me that I had a short-term contract. That was in 10/08. Since then, they have charged me for the $99 annual fee two years in a row, which meant that I had to do battle with them to get them to return the funds. This past December I made the decision to close my account because my business had failed. When I called Merchant One I was told that I would be charged an early cancellation fee of $295 because I was in a 3-year contract! I have argued with them over and over that that is not the case, but I have not been able to get them to budget. I cannot afford $295. Is there anything we can do, collectively, against them?
N  13th of Feb, 2010 by 
Agree Disagree +1 Votes
As President of the Woodstock Playhouse I made the decision to sign with Merchant One through the 2009 summer season only. The statements that started to come in beginning at the end of August enumerated the deposits and the fees & all seemed to come together. In August the total charge to our account was $101.07. They took that amount on Sept. 3rd. They also took the unauthorized $142.50 on Sept. 21st. On the Sept. statement the total charge to our account was $71.80. That was taken on Oct. 5th but they also took the unauthorized $129.00 on Oct. 2nd. Nowhere on their statements were those two figures listed. It was at this point that I began my quest to cancel with them. No one EVER returned a phone call. Then I emailed. No response Ever since November 2009 I’ve been trying to cancel this service. In January we were charged $99 for an annual renewal when we’d only be with them five months and I’d been assured repeatedly by Ross in the beginning that there was no long term commitment and I could cancel any month I chose. Spoke with a guarded and rude employee. I again said that I’d been trying to cancel this service for months and now they had charged us an annual fee. I sent a certified letter on 2/4/10 and got a call on 2/10/10. I spoke with Nancy who said they would settle for $25 a month for the balance of a 3 year contract. No three year commitment or such wording on my documents - ANYWHERE. Then she said she could settle for $295. I told her I wanted the $370.50 stolen returned to us and I had instructed our bank to disallow further debits from MerchantOne. Nancy gave no satisfaction and I thought that these issues remained unresolved. But this saga continues. I was putting this into the hands of the Board of Directors to decide a course of action. Yesterday - on Lincoln’s Birthday no less – again UNAUTHORIZED – Merchant One debited our bank account for the $295 that Nancy had mentioned. We now are forced to close this checking account so that they don’t have any further access. This is a despicable group of people who lie, cheat and now steal! Stay away from them!
A  21st of Apr, 2010 by 
Agree Disagree +1 Votes
This company has been making daily sales calls even after repeated requests to remove us from their call list. Today when I received the call again from the employee Danato (same one I spoke with yesterday) and explained that we were not interested he proceeded to mock my response by saying "Blah blah blah blah blah blah oh I am sorry we must have a bad connection" and hung up. I did call right back using the phone number on the caller ID; however there was no formal greeting and said there is no "call list", but he'll be sure to note not to call us in the future. Yeah Right! Isn't there some way to file a formal complaint for harassing phone calls? I have the history on our call logs from our phone systems.
N  3rd of May, 2010 by 
Agree Disagree +1 Votes
Merchant One is a ripoff. Here's a copy of their termination letter- You'll see there's no question that they are aggressive in their retention policy. Also, don't let them fool you into thinking that they work with Quickbooks. They Don't. They send you to a 4th party company that sells a plug-in for $175, $10/month and .08 per transaction - that's over and above what Merchant One charges you!!

Post your Comment


Reply to