1.     You should not process your own credit cards.

For testing purposes, running your own credit card for $1.00 or less is fine, but do not use it for actual sales. One of the most common issues with running one's own credit card is that the owner attempts to borrow money for their business. You are not only violating your processing agreement, but also the rules of the card issuer, and in certain cases, you may be breaking the law. There is no way for the payment processor or issuer to confirm or assess the risk associated with a purchase you are making from your own business, even if you need to buy something legitimately for your business. If you intend to buy something from your own business, do so using cash, check, or ACH directly between your bank accounts.

2.     You should not accept payments on behalf of another individual or business. 

In some situations, you will be asked to accept the payment of goods or services provided by another party to whom payment will be made in another way. Perhaps you know someone who only wants to accept one payment and doesn't want to open a merchant account. It is common to be asked or tempted to accept a credit card payment for someone else, but never do so. Once you accept a credit card payment, you are fully liable for the transaction. This tactic is also used by fraudsters to steal a card and get the business that accepted it to pay them in cash. While the business retains responsibility for chargebacks, the fraudster is long gone with the actual funds.

3.     Do not operate more than one business through your account.

Using the same merchant account for more than one business can be disastrous, even if the businesses are similar and your own. Each merchant account has its own risk profile based on the business it is associated with. In cases where you have two or more businesses operating from the same merchant account, the risk department may not evaluate your account based on what it was underwritten for. The volume of your business may be higher than expected, or one business may have far higher average tickets than the other. This kind of inconsistency will raise flags that your processor will have to address. Furthermore, if something bad happens to one company, the funds of the other could be at risk. Having separate merchant accounts for each business means that issues with one account do not affect the operation of the other.

4.     Using the same merchant account for eCommerce and retail is not recommended.

Payments industry is divided into three very broad business types: Retail, Restaurant, and Ecommerce. Each has unique risks, though they are all the same business. A brick-and-mortar store with an eCommerce site is just one example of a business, however, the retail side is subject to different risks than the eCommerce side. Similarly, a restaurant with a retail section or an eCommerce store would want to keep all business types separate so one account is not taking on the risks of all business types. This is a very prudent approach for companies, as it avoids tripping up and potentially affecting all areas of their processing capabilities if something goes wrong on one account.

5.      Don't rely on Auto Batch.

Auto Batch is a very useful utility that is commonly found in retail environments. The problem with auto batches is that people fail to verify that the batch has closed. A payment device should display or print the status of your batch, just as it does in a manual batch process. This status report is often glanced at and if something prints out, the user does not think about it again. It is always a good idea to check the report to be sure that the batch was closed successfully. In the event the batch isn't closed successfully, the funds won't move, so you won't get paid. Unsettled batches are one of the most common causes of delayed funding, and they are very easy to prevent. So, whether you're doing an auto-batch or manual batch, make sure you're checking the status of each batch you're processing. Get in touch with your payment processor right away if you are having trouble closing the batch.

By taking a few small steps, you can greatly reduce your risk of making a mistake. A key part of the process is communicating the information to employees and co-workers. You will be more effective if you have more people who understand the little things.