Complaint Review: Elavon Merchant Services - NOVA Information Systems - Knoxville Tennessee

I am an Ex-employee at Elavon Inc. I have to say, I did not particularly enjoy working there. The work environment was hostile and unfriendly. The pay wasn't that great. That being said, the business itself IS NOT as bad as you are claiming it to be.

Yes, Elavon is a business and wants to make a profit, but the money that they put on hold does not stay in their coffers. It is placed on hold in a separate account specifically made for that business transaction in case the transactions are found to be fraudulent. If a customer had disputed the transaction, their credit card would have to be credited.

I agree with the first comment made here. If you are not keeping adequate records of transactions then you are at fault for the hold not being resolved. In case you aren't aware, the federal government has placed many restrictions on credit card transactions in an attempt to prevent terrorist funding and money laundering. Elavon isn't holding your money as a personal attack. They are holding it because your transactions looked suspicious and you weren't able to provide the documentation needed to prove your innocence. Elavon stands to lose millions if they give you all the money back and the transactions turn out to be fraud.

As for the other comment about the wireless terminal and having no other way to complete transactions, this is also false. I worked in the voice authorization department for three years at Elavon. You can call in with your merchant ID, the card number, expiration date, and amount and get an approval code. This will hold the money you need from the customer for up to 30 days. It insures that the funds are available so you can sell the merchandise. You can then go to a regular wired terminal (available for purchase or rent through Elavon. You can even trade in your wireless) and put the codes through as force transactions in order to get payment on the held funds. If you turned off your terminal, this does not excuse you from paying merchant fee minimums agreed upon in your contract. I have a tanning membership that I pay $20 a month for and haven't been in almost 7 months... I don't get out of paying the $20 a month on the contract just because I don't use the service. It is available for use. That is what you are paying for.

In conclusion, yes, I understand that having your funds held is a frustrating process. I dealt with this same situation time and time again. But if you do what you are supposed to do on your end, things usually get resolved rather quickly. Bottom line, if you have nothing to hide, KEEP BETTER RECORDS! The commenter was correct, you should keep the receipts for at least a year. All Elavon needs is the name and last 4 of the credit card and the contact info. No need for you to have the full card numbers on file there at your business.

I would give up on thinking you will collect interest on the money being held. You signed a contract with all the details about your business, including your average transactions and what will happen in the case of potential fraud. If you signed without reading, that is your own mistake.

Again, I worked there for over three years. I know how they operate. It may not be the best place to work, but it is a reputable company. Every single thing you have experienced could have been avoided if you had read your contract before signing. Your bad. Suck it up, keep better records, and stop blaming other people for your mistakes.

I too am not happy with Merchant Services.  I contracted with their services so I could go to shows and take credit cards instead of checks.  I looked at it like an insurance policy.  Most of my business is cash or check locally, rarely is a credit card used.  But on the road a couple hundred miles from home I refused to take checks as collection on a bad check would be difficult.

I set up an account with Merchant Services, which cost $49 a month even it I don't use it.  The fee is taken directly out of my bank account.  The only way they will set up and account.  I used their service twice the first season, worked great.

In the second season I had difficulty using their service at two shows.  My wireless terminal showed it was working but not connecting.  I contacted Merchant Services about the problem.  I learned Merchant Services had turned off my terminal without notifying me and continued to charge me a monthly fee.  I was told the program automatically turns off terminals which aren't used for an extended period of time to protect the merchant.  I don't know how that would protect a merchant, if the machine isn't being used the Merchant isn't being ripped off.

I contested the fees for the eight months my terminal had been turned off.  Merchant Services denied to refund the service fees claiming I wasn't denied accepting credit cards through their services, I just couldn't do it with the wireless remote they shut off without telling me.  I had no other means to accept credit cards.   I had to send in the old terminal and they supplied me with a new one which was activated. 

I have been exploring other options for the low volume business I have and have found a way to accept credit cards without monthly fees.  I called Merchant Services to cancel their services and was told I couldn't cancel the service, only the bank could cancel the service.  I found it frustrating to be prevented from canceling a service for which I pay the bill for.  Needless to say I went straight to the bank and had them cancel the service.

If you are a large volume business Merchant Services may be a good deal but for small business I don't recommend them.  They are all about charging fees.  I describe them as cold, non-communicative and greedy. 

We had the exact same experience as you had with Elavon and Mr. Crabtree. What happen to your situation now?

Again, I have been through this in YOUR shoes. Why don't you have any of the receipts from the transactions in question? You are supposed to keep the signed merchant copies for at least a year. It does not matter if you have the full card number because Elavon has that info. They just want your customers name and the last 4 digits of the card and contact information. If you are not keeping proper records this is a HUGE red flag. Also since you stated that it was a typo in the amount entered on the application why did you sign it? Since you processed fine for a few months before this happened why did your volume skyrocket all of a sudden? This is information that you as a merchant should have and disclose to Elavon in order to protect your interests. Elavon is doing nothing wrong as they are protecting themselves as they are on the hook to your customers when they dispute the transactions. I find it hard to believe that you do not have the information that Elavon is asking for. If you truly do not have this information you really should evaluate your record keeping policies.