Velocity Merchant Services Review

Rates and Fees
80/100
Truth in Advertising
75/100
Consumer Reviews
80/100
Customer Support
85/100
4

Best for

Velocity Merchant Services' products best suit small retail/restaurant businesses and eCommerce players. It offers the needed suite of products for multiple payment types (credit, debit, check, EBT, touchless, no-card present). Ecommerce businesses receive complimentary website design and setup services.

Specializes in

If you are concerned about COVID, VMS provides multiple equipment options to prevent the transfer of germs, such as mobile swipers. EBT services are available for grocery and convenience stores. Cash advances and online sales development services are also on offer.

Pricing Summary

Setup Fee: $

Monthly Fee: $10

Swipe Rate: 1.00% - 4.99%

Keyed-in Rate: 1.00% - 4.99%

Early Termination Fee : Up To $700

Contract Terms:

Month-to-month 3 Years
Visit Velocity Merchant Services

VMS is a Chicago-area-based company and has been in business since 1998. It specializes in credit card and debit card processing and eCommerce payment services. It also has strengths in gift card processing, check guarantees, and website development. VMS states that its mission is to provide value and convenience for merchants by helping them achieve business goals within their industries.

Velocity Merchant Services Overview

 

VMS bills itself as a smaller-sized supplier with several thousand merchant clients. The company is a reseller of First Data and EVO Payments International. It is a registered ISO and MSP of Deutsche Bank, AG, New York, and headquartered at 3051 Oak Grove Road, 2nd Floor, Downers Grove, Illinois 60515.

Dema Barakat, the founder and President, formerly worked under the EVO Payments umbrella before establishing VMS. She has dozens of years experience in the payment processing business. The company serves merchants nationwide. It has built an internal sales force and also uses independent sales representatives. Barakat does sometimes get involved with customers regarding complaints and pricing.

Quick Facts

Head Quarters

Downers Grove, Illinois

Year Founded

1998

CEO

Danoush Khairkhah

Employees

50

Merchant Provider Risk Tolerance

What We Like

Multiple contract terms are available.

Can process many payment options.

Ecommerce businesses receive complimentary website design and setup services.

Has multiple equipment options to prevent the transfer of germs.

Offers cash advances and online sales development services.

What We Don't Like

Early termination fee.

Monthly fee.

Public pricing is not available.

All important terms are not disclosed.

Employs independent sales representatives.

Industries Served

  • Clothing & Apparel
  • Convenience Store
  • Electronics
  • Gas Station
  • Healthcare
  • Hunting & Outdoor Equipment
  • Marketing Agency
  • Moving Companies
  • Personal Service
  • Property Management
  • Restaurant / Bar
  • SAAS
  • SEO & SEM Services
  • Thrift Store
  • Web Design Services

Business Types Served

  • Ecommerce
  • Enterprise Merchant Accounts
  • Information
  • Low Risk
  • Mobile
  • Mom & Pop
  • MOTO
  • Online
  • Retail / Card Present
  • Small Business
  • Wholesale

Velocity Merchant Services Products & Services

 

VMS leverages relationships with equipment manufacturers to offer customers a wide variety of hardware and software options.

Hardware and Software


VMS offers hardware and software options that suit many types of businesses. Common industries that gravitate to VMS include retail, grocery and multi-lane retail, restaurants and coffee shops, entertainment stores and venues, health & wellness organizations, and salons and spas. It also offers excellent options for professional- and in-field services mobile payment options.

As a Clover reseller, the company offers a choice of processing systems. The Clover 2.0 provides a 14" HD display, an 8-core processor, and  4 GB of memory. It accepts all types of stripe- and chip cards, along with contactless payments. An available app provides smartphone payment capability. The Clover Flex processes mobile payments on the go.

The VMS gateway payment system provides cloud-based payment processing, Quickbooks integration, recurrent billing, and paperless billing.

Value-Added Services


If you are looking for more than bare-bones processing, you may want to consider if VMSs value-added services would be helpful. The VMS ProPak is a custom-designed POS system that captures and reports on sales information to help you develop strategies for business development. The system enhances efficiency, lowers operating costs, and manages inventory.

Velocity Payment Systems also offers merchant cash advances, which can help when cash runs short. The company provides up to $275,000 in 72 hours, according to its website.

Payment Types Accepted


This processor can handle any major debit- or credit card. It also processes check guarantees, gateway payments, contactless payments, and card-not-present payments. Its website does not indicate if it handles bitcoin.

Velocity Merchant Services Payment Processing

  • Credit Card Processing
  • Debit Card Processing
  • EBT Acceptance
  • Gift & Loyalty Program
  • Merchant Cash Advance
  • Mobile Payments App
  • Online Payments
  • Payment Gateway
  • POS Equipment
  • Virtual Terminal

Velocity Merchant Services Billing & Invoicing

  • Mobile Payments
  • Multi-Currency
  • Online Payments
  • Payment Processing
  • Recurring/Subscription Billing

Velocity Merchant Services Advertising & Sales

 
VMS relies on an in-house payment team and independent sales representatives. Reviewers indicate that sales representatives have often not given the full picture as to contract terms and fees. Common complaints include a failure to explain the length of the contract and cancellation fees.

Also, one reviewer noted that the sales rep told her the fees would also be 1.49%, though in truth a tiered fee structure is in place with fees as high as 4.99%. Rates and terms are not included on the website or in marketing materials, so gaining a clear understanding of the terms and prices before signing the contract is very important.

Also, some complaints about deceptive marketing indicated some VMS employees portray themselves as representing Visa or  Mastercard to make customers more receptive to switching and possibly make them think they represent their current provider.

Some positive reviews indicated a good experience with the salesperson, so these problems do not appear to be universal, though the company has a large number of complaints for its size.

Truth in Marketing

Discloses All Important Terms

No

Public Pricing Available

No

Velocity Merchant Services Pricing, Rates & Fees

 

As a reseller, VMS must charge certain fees, though many reviewers indicate they were able to get the fees lowered through negotiating or complaining about them to management. Processing fees range between 1.00% and 4.99%. A PCI compliance fee of $120 per year applies, as do a $10 statement fee and a $10 monthly minimum. There is also a $120 gateway setup fee.

Pricing at a Glance

Pricing Model

Interchange Plus

Swiped Rate

1.00% - 4.99%

Keyed-in Rate

1.00% - 4.99%

Mobile Payment Rate

Virtual Terminal Rate

1.00 - 4.99%

Monthly Fee

$10

Payment Gateway Fee

Undisclosed

Batch Fee

Undisclosed

Early Termination Fee

Up To $700

PCI Compliance Fee

$120 Per Year

Equipment Lease Terms

48 Month (locked)

Address Verification Service (AVS)

Application Fee

Account Setup Fee

$

Gateway Setup Fee

$120

Annual Fee

Monthly Minimum

$10

Statement Fee

$6 (discounted from $10)

Velocity Merchant Services Contract & Terms

This payment processor offers a three-year contract (with one-year autorenewal) through EVO payments; however, equipment rental contracts run for four years. A $395 early termination fee applies. In addition, the contract may require liquidated damages, which require repayment of the company's losses in the event of early cancellation.

Contract Length

Month-to-month3 Years

Early Termination Fee

Up To $700

Velocity Merchant Services Setup & Support

 

Setup Highlights

  • Documentation / Knowledge Base
  • Live Online (1-on-1)

Support Highlights

  • Domestic Phone Support (Business Hours)
  • Offshore Tech Support (After Hours)

Velocity Merchant Services Complaints, Ratings & Reviews

VMS earned a “B+” rating with the Better Business Bureau, though it is not BBB-accredited.

The BBB started its profile of Velocity Merchant Services in October 2001. The company has had 18 complaints in the last 36 months. Nine were attributed to products or services, three to billing, four to advertising & sales, one to warranty, and one to delivery. Seven complaints were resolved to the customer's satisfaction, while 11 were either resolved to the dissatisfaction of the merchant or the merchant never filed a final response.

Ratings

BBB

A+(18 complaints)

Google

4.7 stars / 912 Reviews

Facebook

4.7 Stars / Based on the opinion of 98 people

Yelp

2.5 Stars / 17 Reviews

Reviews

Total Online Reviews

900+

Total Online Complaints

45+

Lawsuits

None

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