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QUICKBOOKS PAYMENTS OVERVIEW
QuickBooks Payments is a merchant services provider that’s an internal division of the mammoth financial software company Intuit, which has a massive array of products targeting business owners, from accounting software to point of sale (POS) systems. QuickBooks Payments is designed to integrate with the company’s popular QuickBooks accounting software. Like many other merchant services providers, QuickBooks Payments uses Fiserv (formerly First Data) as its back-end processor and is not a direct processor in its own right.
If you don’t use QuickBooks for accounting, there isn’t much point in pursuing QuickBooks Payments. But if you do, the seamless integration with QuickBooks will probably be a big draw. You also get invoicing, eCommerce support, and ACH payments at a reasonable cost. The rates aren’t the lowest I’ve seen — and if your average ticket size is pretty small, it could be very pricey.
QuickBooks Payments can offer most of the features the average small business might be looking for. The trick is that some of QuickBooks Payments’ features are spread between different plans and settings. Selecting the right QuickBooks Payments plan can be a bit of an undertaking.
QUICKBOOKS PAYMENTS (STANDARD)
The standard plan QuickBooks Payments offers new users comes bundled with QuickBooks Online itself. Everything is managed from within the app.
With this plan, you can send invoices, set up recurring payments, and even accept swiped transactions with sales receipts wherever you are. When you generate invoices and sales receipts, you can pull from your customer list and populate the invoice from your product/service catalog.
On a computer, you can use a USB-connected swiper. But since QuickBooks Online has a mobile app for Android and iOS, you can also connect one of the GoPayment readers to accept payments.
While I’m not here to tell you all the differences between the Online and Desktop versions of QuickBooks, I will say in my research that I found many complaints that the Online version isn’t quite as feature-rich. However, the processing rates for the online plan are cheaper.
QUICKBOOKS DESKTOP PAYMENTS
Intuit’s payment processing plan for QuickBooks Desktop users isn’t quite as comprehensive, but that’s not too surprising. After all, the software lacks the cloud capabilities of its nimbler little sibling. However, according to users, it gives some more advanced accounting features in exchange. But clearly, you can’t accept mobile payments with the Desktop version.
ACH transfers are available for a set fee of $3 per transaction instead of being free. However, QuickBooks Desktop Payments includes a check-scanning feature not found in the online version. For other hardware, your options are limited to USB swipers.
There’s also QuickBooks POS, the company’s branded, locally-installed POS system. In the era of software-as-a-service, it’s a throwback to a time when you bought software rather than rented it, which sounds great until you see the price tag. You can technically bring any processor you want to Intuit’s POS system, but only QuickBooks Payments integrates seamlessly and prevents you from having to enter transaction data manually.
QUICKBOOKS MOBILE PAYMENT APP
QuickBooks GoPayment syncs automatically with QuickBooks Online and lets you take payments via smartphone or tablet. There is an item library, but you can just enter a quick sale without selecting a product. You can also collect taxes and tips. While you can accept payments from within QuickBooks Online, if your business is more retail-like, then GoPayment is probably the better option. It’ll certainly feel more familiar.
In addition to the app, you’ll need a card reader. The QuickBooks Card Reader accepts both contactless and EMV/chip transactions and connects to your phone or tablet via Bluetooth. You can also use it as a virtual terminal with QuickBooks Desktop using a USB cable. Check out our GoPayment review for more information.
QUICKBOOKS CHECKING
QuickBooks Checking is a high-yield business banking service (high-yield means about 1% APY at the moment). QuickBooks Checking has no minimum balance or account maintenance fees, but you need a QuickBooks Online account, which will set you back at least $25/month.
Like QuickBooks generally, the more entwined you are with the QuickBooks ecosystem, the more you’ll get out of it.
QUICKBOOKS MERCHANT FEES & RATES
Rating: Good
Below is an overview of the current rates and fees you’ll pay for using QuickBooks’s merchant services. Although some plans distinguish between qualified and nonqualified rates, processing rate plans are generally flat-rate — a hallmark of tiered pricing.
Note also that flat-rate pricing means you pay the same rate for every transaction. This is actually a good thing, as it keeps you from overpaying on most of your transactions. Also, be aware that if you process more than $7,500 per month, you should be eligible for custom processing rates, which should be lower than the advertised Intuit credit card processing fees.
QUICKBOOKS PAYMENTS
QuickBooks Online notably supports PayPal payments, which you won’t get with the Desktop version. Here’s a breakdown of the disclosed QuickBooks merchant rates and fees:
ACH Bank Transfers: 1.0% (up to a maximum of $10)
Card Swiped: 2.4% + $0.25 per transaction
Card Invoiced (Includes PayPal & Apple Pay): 2.9% + $0.25 per transaction
Card Keyed: 3.4% + $0.25 per transaction
There is no monthly fee specifically for this service, but you will need a QuickBooks Online subscription. Rates are currently $25 per month for the Simple Start plan or $40 per month for the Essentials plan. Intuit offers a 70% discount off these rates for new customers but only for the first three months of your subscription.
QUICKBOOKS DESKTOP PAYMENTS
One thing to note is that the QuickBooks Desktop version of Payments does not include PayPal support. You’ll also see that ACH transactions cost $3 each, whereas they are 1.0% each with the Online plan. You’ll also want to note that the per-transaction fee is higher.
PAY-AS-YOU-GO PLAN
Monthly Fee: $0
ACH Bank Transfers: $3 each
Card Swiped: 2.4% + $0.30 per transaction
Card Invoiced: 3.5% + $0.30 per transaction
Card Keyed: 3.5% + $0.30 per transaction
PAY MONTHLY PLAN
Monthly Fee: $20
ACH Bank Transfers: $3 each
Card Swiped: 1.6% + $0.30 per transaction
Card Invoiced: 3.3% + $0.30 per transaction
Card Keyed: 3.3% + $0.30 per transaction
QUICKBOOKS POINT OF SALE PAYMENTS
You can technically bring any processor to QuickBooks’ POS system, but only QuickBooks Payments syncs transactions automatically, sparing you from the need to enter data manually. The pricing here is a bit different, so look at it closely. First, note that there’s no per-transaction fee on the free basic plan. That’s a good thing. In fact, it puts the rates on par with PayPal and Square, making it viable for businesses with low ticket values. You also get PIN debit support, which is a nice touch.
PAY-AS-YOU-GO PLAN
Monthly Fee: $0
Swiped Credit/Debit: 2.7% + $0 per transaction
Keyed: 3.5% + $0 per transaction
PIN Debit: 1.0% + $0 per transaction
PAY MONTHLY PLAN
Monthly Fee: $20
Swiped Credit/Debit: 2.3% + $0.25 per transaction
Keyed: 3.2% + $0.25 per transaction
PIN Debit: 1.0% + $0.25 per transaction
GOPAYMENT
QuickBooks GoPayment was once offered on a standalone basis, but it has recently been folded into QuickBooks Payments. As such, fees and rates for QuickBooks GoPayment are now the same as those of QuickBooks Online/Payments itself.
OTHER FEES
If you decide to opt-in for the PCI compliance service with the pay-as-you-go option, you’ll be charged $9.95 per month. For monthly fee accounts, PCI compliance services are included as part of your monthly account fee. You’ll also be liable for the following incidental fees:
$25 chargeback fee
$25 ACH/bank reject fee
$10 returned check fee
You should also be aware of the fees at the bottom of Intuit’s official pricing schedule. These are incidental fees or fees that have to do with opt-in features. Make sure you’re not looking at one of the legacy schedules for people on existing plans.
SALES & ADVERTISING TRANSPARENCY
Rating: Good
Overall, Intuit’s payment processing services are pretty transparent. It’s easy to find the merchant agreement as well as the pricing schedule, which is a huge plus. They’re also both easy to understand, and the contract is clear about what’s expected of merchants. I don’t see complaints from merchants that they’re paying unexpected fees or have been locked into a contract they can’t get out of. That’s typically a good sign.
The only issue here is more a side effect of just how massive the QuickBooks ecosystem is. There are a lot of different plans that do similar things with very different pricing schemes. You’ll end up having to do some math to figure out what the best value is.
CONTRACT LENGTH & EARLY TERMINATION FEE
Rating: Excellent
You won’t pay early termination fees with any of the service plans that QuickBooks Payments offers. With the pay-as-you-go option, you can simply stop using your account without any penalty. If you use the higher-volume option, then make sure to cancel your account or change over to the pay-as-you-go option if you plan to take time off from processing. Otherwise, you’ll still have the monthly fee taken from your account. If your account becomes inactive for six months, it will likely be suspended or terminated.
You should also know that to cancel your account, you’ll have to mail or fax a formal written request for cancellation. That’s pretty typical of any processor.
Other than that, you’ll find that the Intuit Payments Merchant Agreement is pretty clear on its expectations of merchant behavior: You’ll have a monthly limit on processing volume and an individual transaction limit, for example. Don’t exceed these, or you’ll start to encounter trouble. You should also beware of excessive chargebacks, which could lead to account termination.
If your account is closed for merchant misconduct, Intuit reserves the right to charge you a fee anywhere from $500 to $2,500. But as long as you’re operating a legitimate business and following prescribed guidelines for card processing, you shouldn’t encounter this penalty.
CUSTOMER SERVICE & TECHNICAL SUPPORT
Rating: Good
While I’ve heard conflicting reports in terms of the quality of QuickBooks merchant service support, I can at least say that Intuit’s customer service is very streamlined. The QuickBooks Payments FAQ is enough to answer most basic questions, with phone support available if you prefer to talk to real people. Telephone support is available during the following hours: Monday-Friday, 5 AM to 6 PM PT.
You can also reach out to the sales representatives on Intuit’s live chat feature. I like that they don’t immediately ask a bunch of questions about your business, which can be a pushy sales tactic in disguise. It’s good for quick, simple questions but less suitable for complex questions (especially ones about how all the different components fit together).
However, as a reviewer, it’s difficult for me to ascertain the quality of customer service when it comes to complex, account-specific issues. That’s where you come in! Have you worked with QuickBooks Payments? Have a complaint, a rip-off report, or even a positive testimonial? Please leave us your review.
QUICKBOOKS CREDIT CARD PROCESSING REVIEWS & COMPLAINTS
Rating: Good
NEGATIVE QUICKBOOKS PAYMENTS REVIEWS & COMPLAINTS
QuickBooks Payments doesn’t have its own Better Business Bureau page separate from Intuit’s unaccredited profile (A rating with 2,339 complaints closed in the last three years). However, you can find a handful of complaints directed at the company’s payment processing service there.
You can also find complaints on other review sites across the web — though I’ll admit you have to look carefully because you won’t find a lot of threads devoted exclusively to QuickBooks Payments. Many merchants seem to lump it in as part of the QuickBooks suite of products.
Here are the complaints I’ve seen in QuickBooks Payments reviews:
Long Hold Times For Customer Service: Some users have reported less-than-stellar customer service, including unacceptably long hold times for unhelpful service. You’ll want to make sure you call the right number to start with, so you don’t have to play the department shuffle.
Deposit Times: In a world where the best processors offer same-day or next-day processing times, Intuit’s turnaround of two to three business days seems a bit out of touch. It’s not awful; it’s just not ideal. In case you hadn’t already realized it, Intuit is not exactly a cutting-edge processor.
Lack Of Customizable Invoices: This one seems to come up the most often. Intuit’s invoicing feature is not as capable as some of its merchants would like, specifically regarding customization. In fact, there’s not a whole lot of customization beyond the ability to populate the customer name, the products or services to be provided, and payment options.
All in all, these aren’t terrible complaints, and the overall volume that I’ve seen is relatively low. But these are complaints from actual users, and the lack of some features might be a deal-breaker for other merchants.
POSITIVE QUICKBOOKS PAYMENTS REVIEWS & TESTIMONIALS
While you’ll find a few anonymous, superficial (and all positive) reviews on the QuickBooks Payments site, I could not find any in-depth case studies or testimonials demonstrating the effectiveness and value of Intuit’s offerings. I’m not surprised, given how fragmented the information out there is about QuickBooks Payments.
If you have any insights here, please leave us your review. In the meantime, here’s what I have found from satisfied Intuit customers:
Easy Integration: Unsurprisingly, the biggest draw for most of Intuit’s merchants is simply the easy integration with QuickBooks. Everything is linked up to the software, and the reporting and recording are automatic. You don’t need to do any manual data entry.
Invoicing & Reminders: While the lack of customizable invoices is a bit of a disappointment to some merchants, that’s not to say the feature is a total dud. It’s still a huge draw for many businesses. They also like the ability to send reminders to customers about outstanding invoices. However, take note: These emails are sent from Intuit, not the user’s personal account. If you’re using the Gmail integration for QB invoices, this is the exception.
Good Rates If You’re Already Using QuickBooks: QuickBooks isn’t the cheapest accounting software around, but if you’re already using it, it’s possible to get some below-market rates on your transaction fees.
FINAL VERDICT ON QUICKBOOKS MERCHANT SERVICES
If you love the QuickBooks interface and like the idea of brand loyalty, this could be a great option for your payment processing needs. With online invoicing, a powerful mobile app, echeck/ACH acceptance, and ideal QuickBooks bookkeeping integration, there are certainly some noteworthy draws for Intuit’s payment processing services.
Whether QuickBooks Payments will be a viable option for your business depends on the following:
Are you a QuickBooks user?
Is absolutely seamless QuickBooks integration with your merchant services a priority?
Does your transaction volume make flat-rate pricing an optimal choice for your transaction needs?
Remember when you’re pricing your options that, with the right gateway pairing, any of our top-rated providers can set you up with an account and QB integration. And if you’re not a current QB user but are considering getting the software and payments set up together, I encourage you to check out our QuickBooks Desktop and QuickBooks Online reviews to figure out which one is right for you.
Given the progress made by Intuit in transparency and pricing, as well as its ability to provide a fairly frictionless, seamless merchant experience, I’m going to award QuickBooks Payments a respectable score of 4 out of 5 stars.
Are you a current or previous QuickBooks Payments user? Please let us know all about it in the comments!