Merchant Maverick

Every time a customer taps their card at your business, their money passes through at least 5 different companies before it even reaches your bank account. And here is the part that matters: every single one of those players takes a cut. Here is what actually happens in those 2 seconds: 1. The Terminal: Sends the transaction to your payment processor. 2. The Processor: Routes it to the card network (Visa, Mastercard, etc.). 3. The Card Network: Sends it to the customer’s issuing bank. 4. The Issuing Bank: Checks the account, approves it, and takes the biggest cut (Interchange). 5. The Return Trip: The approval bounces back through the network (who takes a cut called Assessments) to the processor (who takes their Markup), and finally back to your terminal. At Merchant Maverick, we've spent the last 16 years breaking down this exact chain. Why? Because when you understand how this transaction works behind the scenes, you understand exactly why your rates are what they are—and more importantly, where you actually have the leverage to negotiate them down. Do you know how much your processor is marking up your transactions? Let's talk about it in the comments. 👇 @merchantmav #SmallBusiness #PaymentProcessing #MerchantServices #Fintech #Founders #MerchantMaverick

The #1 complaint I see from business owners: their merchant account gets suddenly shut down, and their funds are frozen by companies like Square, PayPal, or Stripe. Why does this happen? It comes down to how these companies operate. Unlike traditional credit card processors that underwrite before you start processing, Square and Stripe are payment aggregators. They approve you instantly and underwrite afterward. Because they don't vet you up front, they have to rely on strict algorithms and fraud-detection software to manage risk. If your business is in a high-risk industry or you have irregular processing patterns, you trip the algorithm. The result? An instant, automated shutdown. Here is how you protect yourself: - Do your homework: Read their acceptable use policies upfront. - Test your concept: Ask ChatGPT if your specific business model typically triggers fraud filters. - Always have a backup: Never rely on a single payment processor if you operate in a gray area. An ounce of prevention is worth more than a pound of cure. Don't let an algorithm freeze your cash flow. Have you ever had an account frozen? Let me know below. 👇 @merchantmav #SmallBusiness #PaymentProcessing #Founders #Fintech #MerchantAccounts