Timeshare Merchant Accounts
Timeshare merchant accounts give businesses the ability to accept payments from consumers on services and products purchased within their resorts. This very important aspect is critical to the survival or failure of virtually every organization. The ability to accept a wide variety of payments, including credit cards and debit cards, is a necessity in the timeshare industry. Otherwise, the resort owner would be paying outrageous fees to service only a small portion of its clients. However, this aspect of management is often overlooked by most owners. It is imperative that owners implement this necessary function to maximize revenue and minimize expenses. There are two primary types of timeshare merchant accounts: private and public. Private means those which are operated for the exclusive benefit of the timeshare industry and are not open to other timeshare businesses or retailers. Public means those which are open to all merchants and suppliers. Private companies will usually require a minimum capital investment, although it can vary, depending upon the product and merchant type. Private providers will usually charge higher transaction fees, have much lower transaction rates, and will require a higher level of security for their systems.
how to get a timeshare merchant account
Private timeshare merchant accounts can be accessed through banks and credit unions, as well as through internet service providers (ISP). Banks and credit unions are the most common ways to obtain this type of service. They will require a fairly substantial investment upfront, although it can be paid back over time with interest and reduced transaction fees. Internet service providers may cost less initially but will require a monthly fee for credit card processing and possible discounts for members. Both banks and IPs offer different levels of security, so owners should consider that they feel most comfortable with. A second option for timeshare merchant accounts is to work with online chargeback specialists who offer a more robust service and ability to reduce risk and manage risk more effectively. These companies will charge owners a one-time set-up fee for access to their private payment processing database but charge a monthly fee for access to the full database of timeshare and vacation transactions. This includes all types of transactions for timeshares held by the company, not just the current owner’s activity. An online chargeback specialist can also help owners negotiate payment processing settlements with sellers. This will help owners avoid charges on their next transaction if a seller decides not settle their balance after the agreed purchase date.
Private timeshare merchant accounts can also be obtained through third party cheap credit card payment processing companies. These third party companies will charge a one-time set up fee, but will charge a monthly fee for access to all transactions for timeshares held by the company. If an owner chooses to pay for their transactions through a third party processor, they should check the fees and charges carefully before signing a contract. There may be additional charges for payments made outside of normal business hours or for amounts that exceed the maximum credit limit. Permission to change the availability of credit limits and payment processing fees at any time can be obtained from the timeshare merchant accounts company. Timeshare merchant accounts are used for a wide variety of transactions related to timeshares, such as real estate transactions, vacation purchases, hotel stays and rentals, and more. Most timeshare companies have established relationships with a large number of merchants, which allows them to provide services at a reasonable cost for owners. Owners can enjoy the security and flexibility of timeshare merchant accounts, while avoiding higher fees and interest.