LAFAYETTE, La. (KLFY)– Hidden costs or rising fees for credit card processors can feel like a scam.

Anna Bourgeois, Vice President of Vaulted Security, said if processing fees go unchecked, businesses usually end up paying more than they have to.

“Don’t get scammed by paying more than you should or more than you have to,” Bourgeois said.

Even though business owners can be unaware of price increases, they did agree to them. Bourgeois said the processing companies usually include price increase agreements in their terms and conditions.

“They have to give notice,” Bourgeois said. “Now, they don’t make sure that you’ve read the notice.”

Vaulted Security, a Better Business Bureau accredited business, consults businesses, making sure they don’t get overcharged by processing companies.

“This happened to a client that we were able to help,” Bourgeois said. “I think it was ten year, eight or ten years, they were with their processor. We helped them review what they were paying and found that they were being overcharged by five figures a year.”

Kathryn Mobley, CEO of the Better Business Bureau of Acadiana, said scammers are known to impersonate credit card processors as a way to get a business’ bank account information.

“You go, ‘Oh, that sounds exciting. I can use some reduced rates,'” Mobley said. “Then, you click on it, but then who knows where that goes. That could go to a scammer and send malware to your phone.”

Mobley continued, “The most important thing is that if you’re getting these calls, if you’re getting those texts, don’t click on it. Report it and delete it.”

Bourgeois said a scammer impersonated a business they consult, emailed their credit card processor and requested any future transactions be rerouted to a new bank account.

“They were like, ‘Oh, I know this customer,” Bourgeois said.

The account information was changed to the scammer’s bank account.

“They didn’t go through any verifications. They didn’t request any forms, any updated information. They changed it,” Bourgeois said. “And it turns out that his email was hacked. Because he wasn’t monitoring it daily, he lost quite a bit of money from this happening.”

Here’s how to avoid credit card processor scams:

• Read the contract. Carefully read the entire merchant agreement before signing. Pay close attention to all terms and conditions.
• Understand your bill. Review your statements carefully each month to identify any unexpected or unauthorized charges.
• Initiate contact. If you receive a call or email requesting confidential information, be wary. Instead of replying, contact the card processing agency yourself through the contact information provided on their official site.

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