Read the fine print on early termination fees. It could save you thousands of dollars.

Read the fine print

Do You Know Your Processing Costs?

Start working with a processing partner that cares about your business. For more information, please complete the form below.

Read the fine print on early termination fees. It could save you thousands of dollars.

Practically every service contract — for cell phones, cable TV or Internet — has a provision for early termination. 

So does credit card processing services. Typically, early termination results in a flat-rate fee for the merchants. Before signing an agreement with a processing company, it’s wise to look closely at the early termination section of your Merchant Processing Agreement. 

That’s because some processors have deviated from the flat-rate early termination fees found in most processing agreements. Their termination fees are either the flat fee — say, $400 per location — or the amount of the missed processing fees after the contract is cancelled, whichever is higher. 

A Real World Example of What this Means

Let’s say a merchant signs a three-year agreement. After six months, the merchant’s average fees are $200. Then the merchant cancels the agreement. The merchant is now responsible for an early termination fee, whichever is the higher of these two numbers: (1) $595 per location, OR (2) since the merchant has 30 months remaining on the initial contract, and they averaged $200 in fees per month, an early termination fee of $6,000.

Example of liquidated damages

No Hidden Surprises with Sterling

Sterling values its customers and our goal is to help your business thrive. That means treating you with care, respect and honesty. There are no hidden fees in our processing agreement and no costly surprises. 

For more information, contact Sterling Payment Technologies at 800-591-6098 or visit www.sterlingpayment.com