It’s bad enough to lose a merchant in your portfolio, but it’s even worse when a closed merchant is COSTING you money.
Let’s do some review and cleanup and make sure you’re not losing money on closed merchants.
👉 Compare your processing billing detail against your active merchant list. Any unmatched merchants are likely closed and you’re probably paying a per-merchant-per-month fee for these closed merchants.
👉 Compare your gateway billing against your closed merchant list to be sure you’re not paying monthly fees for merchants who are no longer processing.
👉 Compare any third-party services where you pay per merchant account — PCI services, CRM, risk monitoring, etc.
👉 Did you deploy any equipment that has ongoing costs associated that flow through to you, even if the merchant no longer processes through you? Did you collect the equipment if it belongs to you?
👉 Are you losing money on closed merchants because you didn’t adequately reserve higher-risk accounts, and now you’re stuck paying their chargebacks and resulting fees? If so, it’s time to revisit your underwriting/reserve guidelines.
Now that you’ve completed the above and see how much money you’ve saved, formalize a merchant closing procedure so that you can prevent these costs in the first place.