Review of QuickBooks Merchant Services

As a business owner, you’ve likely heard of QuickBooks accounting software, but you may not be as familiar with QuickBooks Payments. QuickBooks Payments supports the everyday operations and growth of businesses through multiple payment products and services, plus it’s packed with features for e-commerce support, ACH payments and invoicing.

QuickBooks Payments offers multiple solutions for small- to midsize-business owners who are looking for easier digital management of multiple payment options, like tap-to-pay cards or digital wallets.

What is QuickBooks Payments?

QuickBooks Payments is the payment processing option for current QuickBooks accounting software users, integrating seamlessly with the software. Formerly known as Intuit Merchant Services, QuickBooks Payments offers the ability to process payments through the QuickBooks POS system or the GoPayment app.

When you become a QuickBooks Payments customer, you’re assigned a merchant account, which includes credit card and ACH processing, currency conversion, invoicing and recurring billing and subscription options.

QuickBooks Payments also offers the GoPayment app, which allows businesses to accept credit card payments virtually, from anywhere or anyone. It acts as a mobile point-of-sale system with a Bluetooth card reader (available for an extra charge), though you can also use the app and card reader to accept ApplePay and GooglePay. If you don’t have the card reader with you, you can simply input a manual transaction.

Processing rates and fee structure for QuickBooks Payments

QuickBooks Payments offers different rates and fees that depend on whether you’re using QuickBooks Online or QuickBooks Desktop.

• QuickBooks Online users

  • 0.5 percent for in-person payments
  • 2.99 percent for online and invoiced payments
  • 3.5 percent for manually keyed payments
  • 1 percent for ACH transactions

• QuickBooks Desktop users

  You have two options as a QuickBooks Desktop user: a monthly fee or non-monthly fee plan.

  No-monthly-fee transaction rates: 

  • 2.4 percent plus 30 cents per swiped transaction
  • 3.5 percent plus 30 cents per keyed-in or invoiced transaction
  • $3 per ACH transfer

  Monthly-fee transaction rates: 

  • 1.6 percent plus 30 cents per swiped transaction
  • 3.3 percent plus 30 cents per keyed-in or invoiced transaction
  • $3 per ACH transfer

What services does QuickBooks offer for small businesses?

QuickBooks offers a full suite of services for small businesses, including money management and bookkeeping services, invoicing, and payment management (including credit card, digital wallet and subscription payments).

QuickBooks Online

QuickBooks Online is connected to the cloud, which means you don’t have to download anything — you connect to it through any internet connection. You can also download the QuickBooks Online mobile app to keep up with your bookkeeping from your smartphone.

• What it includes

  QuickBooks Online offers a solution for businesses that need real-time access to their money and accounting. It includes a wide range of accounting features, such as tracking income, expenses and mileage and capturing receipts.

• What you can expect to pay

  QuickBooks Online offers four plan options so you can closely match a plan to your business needs:

  Simple Start: Cost is $35 per month and includes basic accounting services for one user.

  Essentials: Cost is $65 per month and includes basic accounting services and time tracking options for up to three users.

  Plus: Cost is $99 per month and includes basic accounting services, time tracking options and project and inventory management options for up to five users.

  Advanced: Cost starts at $235 per month and includes everything with the Plus plan. It also includes advanced accounting and reporting capabilities and you can have up to 25 users.

  If you’re unsure which plan you need, QuickBooks Online offers a free 30-day trial or a 50 percent discount for three months. You can also upgrade to a different plan at any time without losing your data.

Pros

• Strong accounting features to track income, expenses, mileage and receipts
• No software to download
• Numerous integrations to manage your accounting with ease
• User-friendly mobile app includes a wide range of features
• Calculates sales tax automatically, no matter where your sales are located

Cons

• May be pricier compared to other accounting services

Payment services

QuickBooks offers payment services either through its QuickBooks Money option or through QuickBooks Online.

• What it includes

  QuickBooks Money allows you to send professional invoices, accept payments and manage your money with a business bank account, but doesn’t include the various accounting functions.

  If you have a business bank account, then QuickBooks Money allows you to receive same-day direct deposits and accept credit card, Venmo, PayPal, ACH and digital wallet payments.

  If you upgrade to a QuickBooks Online account through one of its four plans, you’ll gain access to all of the QuickBooks Money features included in your monthly subscription fee (currently priced from $35 to $99 per month, depending on the plan).

• What you can expect to pay

  QuickBooks Money is a free service, but you do pay per transaction. Current transaction rates include 1 percent for ACH payments and 2.99 percent for credit card and digital wallet transactions.

  To get started with QuickBooks Money you first need to create an account online. From there you’ll walk through the setup process, which is cloud-based and doesn’t require any software download.

Pros

• Included with QuickBooks Online subscriptions (though you don’t need a QuickBooks Online subscription to use it)
• Accepts a variety of payment methods that include ACH, credit cards, PayPal, Venmo and digital wallets
• Same-day deposits may be available with a QuickBooks Cash checking account

Cons

• Does not connect to the QuickBooks GoPayments app
• You can’t accept recurring payments with QuickBooks Money

What people say about QuickBooks Payments

QuickBooks Payments is relatively new in the world of QuickBooks services. Overall, business owners on Reddit or Trustpilot find the app straightforward, easy to use and with comparable fees compared to Stripe, Square and PayPal.

However, you can find multiple complaints regarding customer service and QuickBooks holding onto payments for longer than necessary. There are a number of instances where reviewers state QuickBooks held onto their funds for five days or longer, which can wreak havoc on a business’ cash flow.

Should you sign up for QuickBooks Payments?

QuickBooks Payments may offer an optimal solution for B2B and B2C businesses that depend heavily on credit card payments, either online or in-person. The payment processing service offers flexibility, reliability and an affordable price. It’s also great for those business owners who want to keep close tabs on their cash flow and easily monitor transactions.

That said, QuickBooks Payments only works if you’re a current QuickBooks Online customer. If you’re not sure you want to commit to using QuickBooks Online as your accounting software, then you may prefer alternative payment processing companies such as Stripe or PayPal. It also isn’t an option if you need an international merchant account to sell across borders and accept international payments.

The bottom line

As a business owner, you have several options for payment processing. QuickBooks Payments is one of those options that’s ideal for those who are already using the QuickBooks Online accounting service. QuickBooks Payments ensures you can accept multiple methods of payment from customers you invoice, do business with online or interact with via mobile or in-person payments.

Learn more about merchant services and compare multiple providers to find the right payment processing service for your business. And if you’re looking for a business card yourself, compare the top business credit cards currently on the market.