Costco Merchant Services Review

Costco Merchant Services Review

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Overview:
Costco is a merchant account provider or more correctly an ISO (reseller) of Elavon (Nova), which I have reviewed in detail earlier so you can look into that for more information. Here is a brief overview of Costco’s merchant services. Getting a merchant account through Costco, of course, implies that are working through Elavon.

Working with Costco has an advantage over directly dealing with Elavon and that is the offer of “discounted prices” provided to the premium members. But honestly speaking getting an account through Costco is practically not that economical.  There is no doubt that Costco’s offer of lower costs on Playstatoins and poultry are pretty amazing but that’s not the case with merchant accounts.  Here we are not going in much details pertaining to the reasons for which “discounted prices” are being cost-effective in practical situation. For that you can go through my previous work.

They also charge you with a cancellation fee which is never good on the part of merchants. In that case you can certainly consult other processors such as Flagship Merchant Services or CDGcommerce, who don’t make you pay any kind of fees for cancellation of the account.

I have come across many such merchants who are dealing with Costco without even knowing the fact that Costco is not the actual processor handling their accounts but a reseller of Elavon and Elavon is the actual credit card processor through which they are getting the merchant services.  It’s better to go directly to Elavon if you can negotiate good rates with them and know how to get a fair deal rather than going with Costco. Otherwise you can also turn to any other credit card processor out there in the industry. So those merchants who know merchant account pricing really well can of course have a better deal by directly going with Elavon.

Bottom line is that Costco is not providing anything out of ordinary but just creating confusion by being a reseller in the industry of credit card processors. On that account I have given them a lower score than Elavon.

Offers that Costco provide with wholesale goods are worth mentioning; in that regard they are undoubtedly doing a great job!

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