Inside this Article
What We Look For in the Best Free Merchant Account Services1. Square: Best Overall Free Merchant Account2. Payment Depot: Best for Businesses Anticipating Growth3. Leaders Merchant Services: Lowest Merchant Account Fees4. Chase Payment Solutions: Fastest Payouts5. Sekure Payment Experts: Best Free Credit Card Processing6. Helcim: Best Free Merchant Account for E-CommerceOther Notable Free Merchant ServicesChoose the Best Free Merchant Account for Your BusinessFAQ
Finding a free merchant account can appear to be the best way to save money for your small business. However, some “free” accounts often come with limitations that may end up costing you more in the long run. Though not free, affordable merchant accounts can offer better value through low transaction fees, cash discounts, and surcharging.
Considering your monthly card volume, average transaction size, and other factors, a low-cost merchant account can save you more than simply avoiding a monthly fee. It’s crucial to weigh the benefits and drawbacks of free versus the best value.
I evaluated numerous services and identified the best free merchant account providers, as well as options offering significant value for minimal fees. In addition to free services, I focused on affordability, payout speed, and cost-saving features like zero-cost processing programs.
Overall, Square emerged as the top choice for a free merchant account. It provides a free plan, fast payouts, and predictable transaction fees, among other benefits. Check out Square or continue reading to explore other free (or nearly free) options that could better suit your needs.
Short on Time? These Are the Best Free Merchant Account Providers in 2024
- Square – No monthly fees, free e-commerce features, and predictable transaction fees.
- Payment Depot – Affordable interchange-plus rates with no monthly fees and a low-cost surcharging program.
- Leaders Merchant Services – Almost free and possibly more affordable long-term, plus a cash discount program.
What We Look For in the Best Free Merchant Account Services
Choosing the best free merchant account or the most affordable alternative for your business can be challenging. Here are the key features I considered when vetting the processors:- No monthly/affordable fees. To keep costs low, I looked for processors that provide affordable or no monthly fees. All my top recommendations also offer reasonable transaction fees.
- Free credit card processing programs. I included processors that offer programs like surcharging or cash discounts, allowing you to pass credit card processing fees to your customers.
- Free or low-cost POS and e-commerce features. My recommendations include free or low-cost point-of-sale (POS) systems and e-commerce solutions, giving you all the tools you need to do business without breaking the bank.
- Flexibility. I found processors offering month-to-month agreements with no cancellation fees. Some also provide customizable plans, so you only pay for the features you need.
- Fast payouts. Quick access to funds is vital for maintaining healthy cash flow. I selected processors that offer rapid payouts, either free or for a small fee.
Our Score
Our Score
Advanced E-Commerce and Security Solutions for Start-Ups
Monthly Fee:
From $0
Transaction Fee:
From 2.5% + 10¢
Pricing Model:
Flat rate
Flat rate
Flat rate pricing simplifies your payment processing bill by charging the same percentage markup on every credit or debit card transaction you receive. The payment processor still pays the variable interchange fee set by the card network (e.g. Visa, Mastercard) on each transaction, but you always pay the same fixed rate regardless.
Features and Benefits
- Free payment gateway and virtual terminal. Receive payments through your online store, phone, and other card-not-present channels at no extra cost. You only pay when you make a sale, eliminating unnecessary expenses for your business.
- Sell online without a website. If you have only a few products and want to avoid dealing with website maintenance, Square Payment Links lets you sell through social media, email, or third-party websites.
- Generous small business loans and financing. As a Square client, you can receive between $100 and $350,000 in financing, with flexible repayment options. Square also allows you to make smaller and larger payments on slow days when sales are strong.
- Hundreds of integrations. Square offers many third-party integrations, many of which come with free plans. You can connect Square with apps for online selling, financial management, marketing, and more, making managing and growing your business easier.
Free hardware | ✔ (mobile reader) |
Payout time | Next business day as standard, optional same-day and instant payouts |
Contract length | Monthly (no cancellation fees) |
Transaction fees on cheapest plan | 2.6% + 10¢ |
Monthly fee on cheapest plan | $0 |
![Payment Depot Alt logo](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Payment-Depot-Brandmark-Vertical-e1674820976962.png)
![Payment Depot Alt logo](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Payment-Depot-Brandmark-Vertical-e1674820976962.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Payment-Depot.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Payment-Depot.png)
Our Score
Our Score
Excellent Customer Service Backed by a Dedicated Risk Monitoring Team
Monthly Fee:
From $79
Transaction Fee:
From 0% + 10¢
Pricing Model:
Subscription
Subscription
With subscription-style pricing, you’ll pay a fixed monthly fee instead of a percentage-based markup on each credit and debit card transaction. While this will considerably reduce your per-transaction fees, you’ll typically still pay a small flat fee on each transaction. This amount is unaffected by the variable interchange fees charged by the different card networks (e.g. Visa, Mastercard), helping to keep your payment processing fees more predictable.
Features and Benefits
- Discounted payment gateway and virtual terminal. Payment Depot offers access to Authorize.net at a reduced rate. This ensures secure and efficient card-not-present transaction processing for a fraction of the cost.
- Shopping cart solutions. With Payment Depot, you can choose between pre-built or custom shopping cart solutions. This flexibility allows you to integrate the right shopping cart for your e-commerce needs.
- Next-day payouts. Payment Depot provides next-day payouts, which can significantly improve your cash flow.
- No long-term contracts. Payment Depot’s services don’t require long-term contracts, offering you the flexibility and peace of mind to use its services without being locked into a lengthy commitment.
Free hardware | ✔ (smart terminal) |
Payout time | 24 hours |
Contract length | Monthly (no cancellation fees) |
Transaction fees on cheapest plan | 0.2%-1.95% |
Monthly fee on cheapest plan | $0 |
![img](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/12/quiz-astronaut.png)
Unsure which processor is best for your business?
Take this short quiz and get a tailor-made recommendation in seconds
![LMS-alt](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/LMS-alt-1.png)
![LMS-alt](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/LMS-alt-1.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/LMS-1.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/LMS-1.png)
Our Score
Our Score
Negotiable Low Credit Card Processing Rates
Monthly Fee:
$9
Transaction Fee:
From 0.15% + $0
Pricing Model:
Multiple options
Multiple options
This payment processor allows you to choose from two or more different pricing models for paying credit card processing fees. Each model will come with its own advantages and disadvantages, so make sure to consider your options carefully before deciding which is right for your business.
Features and Benefits
- Free POS system. When you sign a long-term contract, you get a point-of-sale system at no cost, helping you cut hardware costs for your business.
- Cash discount program. You can also cut your processing bill by encouraging customers to pay with cash. As part of the program, you can offer cash-paying customers a discount of up to 4% per transaction. LMS configures your equipment to automatically apply these discounts.
- Payment links. Using Authorize.net as its virtual terminal, LMS lets you generate secure payment links and embed them on various platforms, including social media and email. This makes it easy for your customers to complete transactions online in just a few clicks.
- Dedicated account manager. This direct point of contact will provide personalized support, ensuring fast and smooth onboarding and resolution of any issues that might arise.
Free hardware | ✔ (with a long-term contract) |
Payout time | 2 business days |
Contract length | Variable (average length of 3 years) |
Transaction fees on cheapest plan | ~0.15% + $0 |
Monthly fee on cheapest plan | $9.00 |
![imageedit_11_3563265630](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/11/imageedit_11_3563265630.png)
![imageedit_11_3563265630](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/11/imageedit_11_3563265630.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/11/chase.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/11/chase.png)
Our Score
Our Score
Favorable Flat Rate Pricing & E-Commerce Features for SMEs
Monthly Fee:
$0
Transaction Fee:
From 2.6% + 10¢
Pricing Model:
Flat rate
Flat rate
Flat rate pricing simplifies your payment processing bill by charging the same percentage markup on every credit or debit card transaction you receive. The payment processor still pays the variable interchange fee set by the card network (e.g. Visa, Mastercard) on each transaction, but you always pay the same fixed rate regardless.
Features and Benefits
- Access Authorize.net for less. You can integrate Authorize.net at a significantly lower cost than the regular price to process all types of card-not-present transactions affordably.
- Free business intelligence platform. Chase Customer Insights provides in-depth analytics to understand your customers and improve marketing strategies. You can access robust customer insights, smart peer benchmarking, and various reports for free.
- Industry-specific integrations. You can easily integrate tools like Agree, Fiskl, Fusebill, PayRent, and other industry-specific solutions to streamline your operations.
- Business banking offers. Chase offers cash back, bonus points, and special deals to boost your business’s financial health and save money.
Free hardware | ✘ |
Payout time | Same day if you deposit into a Chase business account, next day if you deposit into a third-party account |
Contract length | Monthly (no cancellation fees) or variable (cancellation fees may apply) |
Transaction fees on cheapest plan | 2.6% + 10¢ |
Monthly fee on cheapest plan | $0 |
![sekure-large-logo](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2024/01/sekure-large-logo.png)
![sekure-large-logo](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2024/01/sekure-large-logo.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2024/02/sekure-payment--1.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2024/02/sekure-payment--1.png)
Our Score
Our Score
Save up to 100% on Your Processing Costs With the Edge Program
Monthly Fee:
From $0
Transaction Fee:
From 0%
Pricing Model:
Multiple options
Multiple options
This payment processor allows you to choose from two or more different pricing models for paying credit card processing fees. Each model will come with its own advantages and disadvantages, so make sure to consider your options carefully before deciding which is right for your business.
Features and Benefits
- Free virtual terminal and discounted payment gateway. Sekure offers a no-cost virtual terminal and significant discounts on the Authorize.net payment gateway, helping you save on card-not-present processing.
- Personalized e-commerce solutions. A Sekure payment expert will develop a personalized e-commerce plan and connect you with the right e-commerce solutions from its vast partner network.
- Abundance of third-party integrations. You can also easily integrate popular e-commerce platforms like Shopify, BigCommerce, and WooCommerce, shopping carts like ZenCart and X-Cart, accounting and marketing apps, and other business and e-commerce software.
- No PCI compliance fees. You can avoid PCI fees by using the free Payanywhere equipment and qualifying for Sekure’s PCI Plus program.
Free hardware | ✔ (of choice) |
Payout time | Same or next-day |
Contract length | Monthly (no cancellation fees) or 3 years (cancellation fees apply) |
Transaction fees on cheapest plan | 2.99% + 19¢ (in-person & online) |
Monthly fee on cheapest plan | $0 |
6. Helcim: Best Free Merchant Account for E-Commerce
![helcim-alternative-logo](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/helcim-alternative-logo.png)
![helcim-alternative-logo](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/helcim-alternative-logo.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Helcim-1.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Helcim-1.png)
Our Score
Our Score
Budget-Friendly Credit Card Processing Ideal for New or Low-Volume Businesses
Monthly Fee:
None
Transaction Fee:
From 0.30% + 8¢
Pricing Model:
Interchange plus
Interchange plus
Interchange-plus pricing involves two fees for each credit or debit card transaction. The first is the interchange fee, a variable amount set by the card network (e.g. Visa, Mastercard). The second is a markup fee charged by the payment processor, typically a percentage of the transaction amount plus a small flat transaction fee. This allows you to see exactly how much of what you pay goes to the card networks and how much to the payment processor.
Features and Benefits
- Business tools. Helcim offers a suite of business tools, including a customer manager, inventory management, and a secure card vault. These tools help you manage your operations efficiently without additional costs.
- Free virtual terminal. Helcim’s virtual terminal lets you process payments online without monthly costs. You only cover transaction fees when you make a sale.
- Invoice generator. You can generate and send professional invoices quickly and at no extra charge, streamlining your billing process and ensuring you get paid on time.
- Subscription manager. Helcim’s free subscription manager lets you effortlessly set up and manage recurring payments for your subscription service.
Free hardware | ✘ |
Payout time | 2–3 business days |
Contract length | None (no cancellation fees) |
Transaction fees on cheapest plan | 0.30% + 8¢ (in-person) |
Monthly fee on cheapest plan | $0 |
Other Notable Free Merchant Services
7. Flagship Merchant Services
![Flagship-logo-alt](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Flagship-logo-alt.png)
![Flagship-logo-alt](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/Flagship-logo-alt.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/flagship-UIcard.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2022/04/flagship-UIcard.png)
Our Score
Our Score
Fast Onboarding & Quick Payouts With Same-Day Funding
Monthly Fee:
From $15
Transaction Fee:
From 1.58% + 19¢
Pricing Model:
Multiple options
Multiple options
This payment processor allows you to choose from two or more different pricing models for paying credit card processing fees. Each model will come with its own advantages and disadvantages, so make sure to consider your options carefully before deciding which is right for your business.
8. Paysafe
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2023/06/paysafe.png)
![image](https://dt2sdf0db8zob.cloudfront.net/wp-content/uploads/2023/06/paysafe.png)
Our Score
Our Score
Top Global Payment Processor With Industry-Specific Merchant Accounts
Monthly Fee:
$7.95
Transaction Fee:
From 0.50% + $0.10
Pricing Model:
Multiple options
Multiple options
This payment processor allows you to choose from two or more different pricing models for paying credit card processing fees. Each model will come with its own advantages and disadvantages, so make sure to consider your options carefully before deciding which is right for your business.
Choose the Best Free Merchant Account for Your Business
Depending on your business, a free merchant account might benefit you. However, paying a low monthly fee for more features and favorable transaction fees can be a more cost-effective solution. Evaluating your business needs will help you make the best choice. For small businesses seeking an all-in-one solution, Square offers a free merchant account with no monthly fees, no long-term contracts, and a simple flat-rate pricing structure. Additionally, you’ll receive a free card reader and next-day deposits as standard. I recommend Payment Depot if you anticipate higher card volumes in the future. You can start with a free merchant account and competitive interchange-plus transaction fees. As your business grows, you can access the lowest wholesale transaction rates for a flat monthly membership fee. Leaders Merchant Services provides customized plans with negotiable rates, allowing you to save by paying only for the features you use. Its cash discount program and free POS with a contract further help you reduce your processing costs.Here’s a quick comparison of my top free merchant account providers.
Best Feature | Best For | Monthly fee on cheapest plan | Transaction fees on cheapest plan | ||
Square | Free merchant account, free card reader, and next-day deposits | All types of small businesses on a budget | $0 | 2.6% + 10¢ | |
Payment Depot | Versatile pricing including a free merchant account with an affordable interchange-plus plan | Businesses anticipating growth | $0 | 0.2%-1.95% | |
Leaders Merchant Services | Custom plans and negotiable rates | Businesses looking for an affordable custom merchant account | $9.00 | ~0.15% + $0 | |
Chase Payment Solutions | No monthly fees, fast payouts, and multiple business funding options | Businesses that need fast access to cash and funding | $0 | 2.6% + 10¢ | |
Sekure Payment Experts | Free account and equipment and low-cost zero credit card processing program | Businesses that want to minimize upfront and ongoing processing costs | $0 | 2.99% + 19¢ (in-person & online) | |
Helcim | Free merchant account and e-commerce tools | Online-first or online-exclusive businesses | $0 | 0.30% + 8¢ (in-person) |