I operate a small bar/restaurant in Newark, NJ. Sometime late 2007 two sales agents from INNOVATIVE MERCHANT SOLUTIONS came in to pitch to me the virtues of accepting credit cards for payments. We had a long discussion during which I explained that my sales were very little, with average purchase amount around $10. To which these guys answered that credit cards actually boost sales because people might spend what they do not have if they could use the card. Eventually they assured me that there was no harm in trying since I could cancel if after a few months time I realized it was not good for me. Well, as I expected, the six months or so that I had the service was very costly to me. I just paid fees and did not see any marked change in my sales. I cancelled the service and informed the company that I wanted to send back the terminal. At this point I was told the terminal had nothing to do with them, but rather it came from a third-party company. Innovative Merchant Solutions was only responsible for the processing but I would have to contact that 3rd party company to discuss the terminal. What was the name of that company? It took about two weeks and several phone calls before I was given a phone number but still not the name of the comapny. It turned out tha Innovative Merchants subcontracted the leasing part to Lease Finance Group and signed a supposedly non-cancellable lease for 5 years at $42/month on my behalf. It has been more than a year since I used the service but they will not accept the terminal back, and have been tacking money from my account. This past month, I closed the account so they could not make a deduction. Now for the first time I have received a letter from them that has provided me with the real identity of the company I have been paying money to: a full company name and address. I personally did not enter into any contract with them but they claim to have on on file for me. They just promised to mail me a copy. I am waiting for it. They are thieves and must be shunned. By their reasoning, I could be out of business and still be leasing a credit card machine! RIDICULOUS.
Newark, New Jersey