Modern Payments. Trusted Processing. Dealer-Proven Performance.
Merchant Services provides dealerships with an integrated payment processing solution tailored to the unique needs of automotive retail—spanning everything from vehicle down payments to service and parts transactions. It combines cutting-edge payment technology (for in-store, online, and mobile) with rates and features optimized for dealerships, ensuring you can accept customer payments smoothly, securely, and at low cost.
At its core, Merchant Services allows your dealership to accept all forms of payment your customers want to use: credit cards, debit cards, ACH (electronic checks), and mobile wallets like Apple Pay or Google Pay. Whether it’s taking a large down payment in F&I, swiping a card at the parts counter, or processing a service invoice payment via a text link, this solution handles it with ease and speed.
Integration is a key advantage. Unlike generic payment processors, our Merchant Services ties directly into your DMS and business office systems. So when a customer pays their service bill online via the link you sent, the RO in the DMS can automatically be marked paid. When a sales department runs a card for a deposit, it links to that deal record. This eliminates the manual reconciliation typically needed between a standalone credit card machine and the accounting office—saving time and preventing errors.
Security and compliance are fully managed. The solution is PCI compliant, meaning it meets the strict standards for protecting card data. Transactions are encrypted end-to-end. Features like tokenization allow storing a customer’s card on file safely (for things like recurring service billing or charging remaining balance on vehicle pickup) without the dealership ever seeing the raw card number. This reduces your risk drastically.
Merchant Services also provides robust reporting: you can easily see transaction volumes by department, settlement reports that tie each day’s batch to your bank deposit down to the penny, and even drill into individual transactions if needed (with invoice or RO references attached). Chargebacks (if they occur) can be managed through the system as well, often with detail that helps dispute them successfully (like proof of work done from the DMS, etc.).
Crucially, because this is built for dealers, the pricing structure is often more favorable than generic processors that may not account for the high average ticket sizes and combination of card-present/cardnot-present mix that dealerships have. Lower processing fees directly improve your bottom line (especially on big-ticket car sales or expensive repairs).
Some value-add features: perhaps offering customer financing or installment plans integrated at payment (some merchant solutions now allow splitting a big service bill into installments, with the processor handling it). Or offering text-to-pay: advisor texts “Your car is ready, click here to pay” and the system securely takes their card, reducing friction at pick-up.
In summary, Merchant Services modernizes the way money flows into your dealership: it becomes faster (no waiting for checks to clear or chasing down payments), more convenient for customers (multiple ways to pay, including contactless), and more transparent and efficient for your staff (auto-reconciled and integrated). All while you save on fees and ensure the transactions are secure and compliant. It’s a win-win for dealership profitability and customer experience.
Many dealerships historically used separate credit card terminals or banks for processing, which were not linked to their internal systems. This causes a lot of double work and potential errors: the cashier runs the card on the terminal, then manually marks the RO paid in the DMS, etc. End of day, someone in accounting has to match batches of credit card receipts to ROs or deal numbers to ensure everything was posted, which is tedious. Mistakes can slip through, leading to discrepancies that have to be chased down (e.g., a card was charged but not posted, or vice versa).
Fees are another pain. Without a negotiated, automotive-centric processor, dealerships might be paying higher rates, especially on high-dollar transactions where even a 0.5% difference means a lot. Or they might not be taking advantage of lower debit card rates, etc. Also, new payment forms like mobile wallets—some older systems might not support them, potentially causing inconvenience.
Security is a big risk. If a dealership is not fully PCI compliant and something happens (like a breach of card info), it’s extremely costly and damaging. But maintaining compliance on your own (scanning networks, selfassessments, etc.) is complicated.
Also, consumers expect more convenience now—like paying online or via phone securely—especially younger customers. If your service department says “we only take card in person or cash/check,” that can be a turn-off. Especially relevant in pandemic or post-pandemic times when contactless processes are valued.
Chargebacks can blindside dealerships if not handled properly—like a customer disputing a down payment or a service charge because they don’t recognize it or are unhappy. Without the right info and process to respond, dealerships can lose those even if the charge was valid.
Merchant Services addresses these by integrating payments into daily operations, focusing on cost efficiency and modern capabilities, and ensuring all the behind-the-scenes compliance and reconciliation are handled so the dealership can focus on business.
Integrated Payment Terminals
Modern EMV chip and NFC (contactless) card readers at every point-of-sale (sales office, service cashier, parts counter) that connect with your DMS. When an invoice is pulled up, the amount can automatically sync to the terminal, and once paid, it feeds back to mark it paid—no double entry.
Online & Mobile Payments
Ability to send secure payment links via email or text to customers, allowing them to pay a specific invoice or amount remotely. Customers open a link to a branded payment page showing their balance, which they can pay by entering card info or other methods.
Card on File & Recurring Billing
Securely save customers’ preferred payment method (with their consent) for future charges—useful for things like subscription maintenance plans or simply speeding up repeat service payments (customer doesn’t have to present card each time if token is saved). Also set up recurring charges if needed (e.g., a customer on a payment plan for a repair).
ACH/E-Check Processing
Offer customers the option to pay via bank account (ACH), which can save on fees for large transactions (since ACH is often flat-rate or cheaper than card percentage on high amounts). The system verifies and processes these electronic checks.
Unified Reporting Dashboard
Real-time dashboard of all transactions across departments with filters (by date, department, user, payment type, etc.). See totals, fees, net deposits, etc., in one place. Accounting can easily reconcile because reports tie to the DMS receipts and bank deposits exactly.
Chargeback Management
If a chargeback occurs, the system alerts you and provides a workflow to respond—pulling relevant transaction details and documents (like signed repair orders or delivery receipts from the DMS) to help craft a response to the bank. Often can submit it electronically through the system.
Customer Financing Options
Potentially integrate with third-party financing or Buy Now Pay Later for service repairs (if offered) so customers can apply and use that at payment seamlessly if they can’t pay the full amount now.
Fee Optimization
Automatically detect card types and apply processing at the best interchange levels (e.g., Level 2/Level 3 data for corporate or fleet cards to reduce rates by sending detailed info to the network). The system can include needed data (like VIN, invoice #, tax amount) to qualify for lower corporate card rates.
Surcharge/Cash Discount Capable
If legally allowed and dealership chooses, system can be configured to add a surcharge for credit card transactions or offer a discount for cash to offset fees. It handles the calculation and compliance with disclosure rules for that.
PCI Compliance Support
Offloads much of PCI burden by using tokenization and encryption. Also provides regular compliance scans or certification assistance. Possibly an online portal for annual PCI questionnaire with pre-filled answers for things covered by the system.
Multi-Location Settlement
For dealer groups, can handle separate deposits per store or a combined deposit with detailed breakdown—flexible to accounting needs. If one central office handles all, they still see by rooftop breakdown.
24/7 Support & Training
Dedicated support line with knowledge of dealership operations for any payment issues. Also training materials to onboard staff on using new payment interfaces and procedures.
Service Drive Technology: Combine with tablets or kiosks in the service drive – advisors can use a tablet to accept payment at the car when returning it or in the lounge, improving throughput (customer doesn’t all queue at one cashier). Merchant Services integration ensures those tablet payments post right.
Online Service Scheduling/Customer Portal: If you have an online portal where customers can review their service history and pay bills, Merchant Services can power the payment part of that portal for seamless user experience.
DMS and Accounting: Naturally integrated, but thinking more – if you have a group accounting system, it can feed the summarized entries from Merchant Services to the GL automatically, eliminating even that manual posting step by your office at day’s end.
