--- title: Unethical Software Providers Penalize You for Using Other Merchant Account Providers description: Some software providers will offer their own payment services and penalize your business if you opt for an external payment provider. image: https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/software-providers-unethical.svg --- [tel:1-800-601-0230](tel:1-800-601-0230) 800-601-0230 - Features - Solutions - Developers - [Pricing](https://www.payjunction.com/payments/pricing.html) - Resources [See a Demo](https://www2.payjunction.com/tour-payjunction) Features - EXPLORE PRODUCTS [No-code Payments Integration®](https://www.payjunction.com/payments/no-code-payments-integration.html) [ZeroTouch Terminal](https://www.payjunction.com/payments/smart-terminal.html) [Portable Terminal](https://www.payjunction.com/payments/portable-credit-card-reader-terminal.html) - ACCEPT PAYMENTS [Invoices](https://www.payjunction.com/payments/electronic-invoices.html) [ACH Electronic Checks](https://www.payjunction.com/payments/ach-payments.html) [SmartSurcharge®](https://www.payjunction.com/payments/smart-surcharge.html) [Cards on File](https://www.payjunction.com/payments/store-credit-card-info.html) [Rapid Refunds](https://www.payjunction.com/payments/credit-card-refund.html) [Recurring Billing](https://www.payjunction.com/payments/recurring-payments.html) [Ecommerce](https://www.payjunction.com/payments/ecommerce-merchant-services.html) [Mobile App](https://itunes.apple.com/us/app/payjunction/id1324839420?ls=1&mt=8) - EXPLORE CAPABILITIES [Overview](https://www.payjunction.com/payments/payment-processing-solutions.html) [Integration Marketplace](https://integrations.payjunction.com/) [Remote Signature](https://www.payjunction.com/payments/signature-capture.html) [Multi-Location](https://www.payjunction.com/payments/enterprise-payments.html) [Sales Reports](https://www.payjunction.com/payments/sales-reports.html) [Search and Export](https://www.payjunction.com/payments/transaction-history-search.html) [Customization](https://www.payjunction.com/payments/custom-payment-software.html) Solutions - [Veterinary Streamline payment workflows and get paid faster with up-front deposits and payment schedules for high-cost procedures. Get time back and spend it with furry patients.](https://www2.payjunction.com/payment-processing-veterinarians) - [Dental Simplify patient payments with multiple means of collection at your dental practice. Meet patient expectations and elevate the payment experience.](https://www2.payjunction.com/payment-processing-dentists) - [Auto Dealer Manage dealership payments by department, brand and location. Get automated reports for simplified end-of-day close and save on processing fees.](https://www2.payjunction.com/automotive-merchant-services) Developers - [API Documentation See how to embed omnichannel payment features into your software, using your choice of our intuitive integration methods.](https://developer.payjunction.com/) - [Developer Experience Explore the developer journey and learn how our full-service partnership model helps you maximize merchant payment adoption rates.](https://www.payjunction.com/payments/payment-api.html) - [No-code Payments Integration® Rapidly integrate payment acceptance features into any SaaS application in minutes using our easy-to-use Chrome browser extension.](https://www.payjunction.com/payments/no-code-payments-integration.html) - [Integration Marketplace Check out our growing marketplace of integrated solution partners that streamline payment acceptance and help businesses automate and scale.](https://integrations.payjunction.com/) [Pricing](https://www.payjunction.com/payments/pricing.html) Resources - [About Us Learn how our people-first culture at PayJunction helps us earn widespread recognition and awards.](https://www.payjunction.com/payments/about.html) - [Careers Join us in our pursuit to deliver exceptional experiences to customers and partners.](https://www2.payjunction.com/careers) - [Support Get helpful information about how to use features, troubleshoot problems and contact us.](https://support.payjunction.com/) - [Blog Gain useful insights into payment industry trends and PayJunction solutions.](https://blog.payjunction.com/) - [Guides Up your payment processing knowledge with our in-depth eBooks and White Papers.](https://guides.payjunction.com/) - [Tutorials Read articles and watch videos about how to use valuable features on the PayJunction platform.](https://blog.payjunction.com/topic/pj-university) # Unethical Software Providers Penalize You for Using Other Merchant Account Providers ![Unethical Software Providers Penalize You for Using Other Merchant Account Providers](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/software-providers-unethical.svg) [![Picture of Ursula Librizzi](https://blog.payjunction.com/hs-fs/hubfs/Ursula_Librizzi.jpg?width=48&height=48&name=Ursula_Librizzi.jpg) Ursula Librizzi](https://blog.payjunction.com/author/ursula-librizzi) 1/9/2018 Running your business efficiently may mean using multiple providers to satisfy all your needs. This could include client or inventory-management software, an e-commerce hosting platform and a Merchant Account Provider to process in-person and online payments. Integrations between merchants and software providers make reporting and access a breeze, but what about the cost? An ideal integration should [eliminate fees](https://blog.payjunction.com/payment-gateway-bill-e-commerce/), not tack on more. Unfortunately, not all software providers play fair. In installment 17 of this [series](https://blog.payjunction.com/tag/unethical-billing/), we expose how some software providers force you into expensive, Flat Rate pricing plans to profit off your processing volume or penalize you for using other integrated providers. ## Payment Processing Demo Schedule 15 minutes with a payments expert Get a customized PayJunction product walk-through Understand requirements and pricing Determine your SAVINGS! GET DEMO NOW ## Software Providers Practice Unethical Billing As customer experience becomes more important, software companies are adopting an omnichannel business model. In an effort to move toward this approach, many software companies now offer their own services to process credit card transactions. While this seems more streamlined, it actually comes with expensive processing rates. That’s because becoming a true Merchant Account Provider takes time. To bypass the wait, some software providers resell the payment services provided by Payment Facilitators. So what’s the catch? Payment Facilitators cannot offer premium pricing, so you’re faced with costly Flat Rate pricing if you use a software provider’s payment service. Flat Rate pricing is [not ideal for larger businesses](https://blog.payjunction.com/interchange-plus-pricing-flat/) with high monthly processing volume. To lock you in with a partnered Payment Facilitator, these software providers penalize customers for using more affordable alternatives by tacking on a 2% markup. Either way, you’re paying more than you should while your software provider makes a pretty penny off your sales. This practice hinders your ability to make the best decisions for your business, and the costs are tangible. ## Get Fair Billing You can still fulfill all your business needs, work with fewer softwares programs and providers, and get fair billing. Before you commit to working with any service provider, learn about all possible pricing models. If your business requires software to manage customers or inventory, research all integrated providers in depth and seek out free, seamless integrations with [Merchant Account Providers that offer fair billing](https://blog.payjunction.com/ethical-credit-card-processing-why/). ## Confirm you’re working with a fair software provider. [![GET A STATEMENT ANALYSIS](https://no-cache.hubspot.com/cta/default/635739/7a687ed8-7a26-4d02-b522-da7749593d86.png)](https://cta-redirect.hubspot.com/cta/redirect/635739/7a687ed8-7a26-4d02-b522-da7749593d86) Does your business require multiple service providers? Do you pay an additional fee to your software provider for using an external Merchant Account Provider to process payments? Tell us about your current setup in the comments section below. [Unethical Billing](https://blog.payjunction.com/topic/unethical-billing) [Rates](https://blog.payjunction.com/topic/rates) --- ##### [![ONTRAPORT Integrations: Affordable Payment Processing via PayJunction](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/ontraport-integrations-payjunction.svg) ONTRAPORT Integrations: Affordable Payment Processing via PayJunction](https://blog.payjunction.com/ontraport-integrations-payjunction) ##### [![Why You Shouldn’t Charge an Authorization Hold After 7 Days](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/authorization-hold-credit-card.svg) Why You Shouldn’t Charge an Authorization Hold After 7 Days](https://blog.payjunction.com/authorization-hold-credit-card) ###### About Author ![Picture of Ursula Librizzi](https://blog.payjunction.com/hs-fs/hubfs/Ursula_Librizzi.jpg?width=200&height=200&name=Ursula_Librizzi.jpg) ### Ursula Librizzi Ursula is the sales and marketing operations manager for PayJunction. She oversees daily marketing tasks and liaises between the sales and marketing departments. ###### Related Posts ## [![Unethical Providers Charge Non-Qualified Interchange](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/non-qualified-interchange.svg) Unethical Providers Charge Non-Qualified Interchange Editor's Note: In 2021, Visa introduced a legitimate classifications of 'Non-Qualified Consumer Credit' and 'Non-Qualified Commercial Credit.' However, if you see Non-Qualified for other card types (Mastercard, Discover, Amex) it is still considered a hidden mark up fee.](https://blog.payjunction.com/non-qualified-interchange) ## [![Payment Gateway Providers: What to Look for When Comparing](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/payment-gateway-providers.svg) Payment Gateway Providers: What to Look for When Comparing If you operate an online store, you must have a Payment Gateway. A Payment Gateway enables the processing of card-not-present transactions online. It is one of the many payment providers you’ll use to accept credit cards.](https://blog.payjunction.com/payment-gateway-providers) ## [![Credit Card Processors vs. Merchant Service Providers](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/credit-card-processors.svg) Credit Card Processors vs. Merchant Service Providers It’s very likely you looked at the title of this post and thought, “Those are different?” The general public uses these terms interchangeably, and without extensive knowledge of the payments industry, it makes sense to do so.](https://blog.payjunction.com/credit-card-processors) ## Meet a Payment System You’ll Love - ###### FEATURES [No-code Payments Integration®](https://www.payjunction.com/payments/no-code-payments-integration.html) [ZeroTouch Terminal](https://www.payjunction.com/payments/smart-terminal.html) [Portable Terminal](https://www.payjunction.com/payments/portable-credit-card-reader-terminal.html) [Invoices](https://www.payjunction.com/payments/electronic-invoices.html) [ACH](https://www.payjunction.com/payments/ach-payments.html) [SmartSurcharge®](https://www.payjunction.com/payments/smart-surcharge.html) [Cards on File](https://www.payjunction.com/payments/store-credit-card-info.html) [Recurring Billing](https://www.payjunction.com/payments/recurring-payments.html) - [Ecommerce](https://www.payjunction.com/payments/ecommerce-merchant-services.html) [Customization](https://www.payjunction.com/payments/custom-payment-software.html) [Remote Signatures](https://www.payjunction.com/payments/signature-capture.html) [Rapid Refunds](https://www.payjunction.com/payments/credit-card-refund.html) [Multi-Location](https://www.payjunction.com/payments/enterprise-payments.html) [Sales Reports](https://www.payjunction.com/payments/sales-reports.html) [Search and Export](https://www.payjunction.com/payments/transaction-history-search.html) [Mobile App](https://itunes.apple.com/us/app/payjunction/id1324839420?ls=1&mt=8) - ###### BUSINESS SOLUTIONS [Auto Dealers](https://www2.payjunction.com/automotive-merchant-services) [Veterinary](https://www2.payjunction.com/payment-processing-veterinarians) [Dentistry](https://www2.payjunction.com/payment-processing-dentists) - ###### RESOURCES [Product Overview](https://www.payjunction.com/payments/payment-processing-solutions.html) [Integrations](https://integrations.payjunction.com/) [Blog](https://blog.payjunction.com/) [Guides](https://guides.payjunction.com/) [Support](https://support.payjunction.com/) [Service Status](https://status.payjunction.com/) [Tutorials](https://blog.payjunction.com/tag/pj-university/) [API](https://www.payjunction.com/payments/payment-api.html) - [Trust Center](https://trust.payjunction.com/) [Request a Demo](https://www2.payjunction.com/payjunction-demo) [Pricing](https://www.payjunction.com/payments/pricing.html) [About Us](https://www.payjunction.com/payments/about.html) [Careers *HIRING*](https://www2.payjunction.com/careers) [Press](https://media.payjunction.com/) - ###### RESOURCES [Integrations](https://integrations.payjunction.com/) [Guides](https://guides.payjunction.com/) [Tutorials](https://blog.payjunction.com/tag/pj-university/) [API](https://www.payjunction.com/payments/payment-api.html) [Request a Demo](https://www2.payjunction.com/payjunction-demo) [About Us](https://www.payjunction.com/payments/about.html) [Careers *HIRING*](https://www2.payjunction.com/careers) [Press](https://media.payjunction.com/) [Trust Center](https://trust.payjunction.com/) [Service Status](https://status.payjunction.com/) - ###### BUSINESS SOLUTIONS [Auto Dealers](https://www2.payjunction.com/automotive-merchant-services) [Veterinary](https://www2.payjunction.com/payment-processing-veterinarians) [Dentistry](https://www2.payjunction.com/payment-processing-dentists) ##### 800-601-0230 SIGN UP FOR OUR NEWSLETTER  Become a better advocate for your business. 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