Best Mobile Payment Processors

Despite breaches of consumer security on a grand scale – such as with Target´s incident regarding system hacking – the world of mobile payments is stronger than ever. In fact, according to statistics from IBISWorld, the industry of credit card processing and mobile payments is expected to grow by 2.6% annually. That means, despite fees and security concerns, more and more folks like paying for things with their cards.

Consequently, the market is flooded with mobile payment processors the same way mobile devices are inundated with apps. The trick is finding the most secure processors with the lowest fees that work best for businesses and customers alike. Here are five options that rank highly across a wide spectrum of criteria.

Flagship Merchant Services

This option boasts a 98% approval rating, which isn´t surprising considering the convenient features on offer. Merchants who opt for FMS have their choice of three different POS systems for in-store use, and that´s to say nothing of the low fees (0.38% per transaction) and no sign-up costs. Those wary of long-term commitments can take comfort in the month-to-month nature of the contract, too. As for clearance, all purchases are cleared one day after they are made.


This is one of the most popular mobile payment options out there, plus it has a month-to-month plan as well. However, it should be noted that Square works best for smaller-scale operations. For example, merchants who do no more than six digits a month in sales will benefit from Square, as will those who key in few transactions and have a very small amount of invoices over $400.

PayPal Here

This is the other major player in the market, and despite its popular pedigree it is best utilized by a certain segment of merchants, much like Square. Those who do no more than five figures a month in sales, and who have an average transaction fee of less than 17 bucks, will likely find this a viable option.

Like Flagship Merchant Services, there are no sign-up costs with this option. Plus, it will work with transactions from all over the world. It comes with a host of features, from 24/7 support to a virtual terminal and an payment gateway. CreditCardProcessing takes a 20-cent fee for every card purchase.

Leaders Merchant Services

Leaders backs up their claim of a 99% approval rate by guaranteeing the merchant $500 if it can´t beat his or her current processor. Leaders´ terminal is compatible with virtual shopping carts and it uses as well. Transaction fees are between 10 and 26 cents.

Of course, like any contractual commitment, it is crucial to always read the fine print. This goes double for mobile payment processors. That`s because the cost of many of these programs and systems can greatly increase once the hidden fees are taken into account. For example, many processors offer low rates, but the lowest only apply with “qualified transactions,” which are limited to non-rewards card transactions. This can leave 40% or more of all remaining transactions costing a pretty penny.

Peter Bowman is a professional blogger that provides tips and information on franchise opportunities you should invest in. He writes for, the place to find the best franchise opportunities available.