5 Red Flags to Watch for When Choosing a Payment Processor

Expert Dustin Magaziner emphasizes that “Opting for a processor that prioritizes transparency, genuinely cares about your business’ growth and offers competitive rates can greatly alleviate challenges. Seeking a dependable provider that genuinely invests in your business can yield substantial benefits, and choosing the right payment processor is crucial for your business’ success.”

Whether you’re a founder, marketer, or managing partner, the payment partner you choose will directly impact your growth. So here are 5 red flags to watch for before you sign the dotted line.

🚩 Vague or Hidden Fees

If the pricing page feels like it’s written in code — or you have to schedule a demo just to get real numbers — pause.

What to look out for:

• Tiered pricing with fine print that changes after a few months
• Unclear transaction fees, monthly minimums, or “risk assessments”
• No straightforward way to compare fees to competitors

Pro Tip: Ask for a sample statement breakdown before signing. If they won’t give it to you, that’s a red flag all on its own.

🚩 Zero human support

Sure, automation is great. But when a big payment is held, or you’re trying to resolve a dispute, a chatbot won’t cut it.

Ask yourself:

• Can I reach a real person by phone or email?
• Will I have a dedicated account manager or support rep?
• How fast is their response time when it actually matters?

Reality check: If getting answers takes longer than getting paid, walk away.

🚩 Onboarding takes forever

If it takes 3 weeks, 5 forms, and a blood sample to get started, the relationship is off to a bad start.

Warning signs:

• No clear onboarding timeline
• Confusing or repetitive document requests
• Long delays without updates

Remember: A good processor will get you set up fast, not frustrate you from day one.

🚩 “High-risk” without explanation

Some processors label industries or businesses as “high-risk” without real transparency — and then use that label to justify higher fees or withheld funds.

Look closer if:

• You were labeled high-risk with no explanation
• Your hold rate seems unusually high
• Payouts are delayed for no clear reason

Heads up: High-risk doesn’t have to mean high pain. A reputable partner will explain everything up front.

🚩 No tools for growth

If your processor only helps you accept payments, but not optimize them — they’re not built for modern business.

You deserve:

• Easy integrations with your CRM, store, or invoicing tool
• Clear dashboards with data you can actually use
• Fraud protection that scales with you

Bottom line: If it’s not helping you run smoother, it’s holding you back.

You’re not just processing payments. You’re leading a business, a brand, and a vision.

You deserve a partner that makes things easier, not more complicated.

At RevItPay, we don’t believe in red flags — just real answers, smart tools, and people who actually get it.