CITI MERCHANT SERVICES PCI COMPLIENCE FEE-OVER CHARGE AND UN-NECCESSARY HAGERSTOWN, Maryland

I own a small business in California and have used Citi Merchant Services for several years. In October 2008 I noticed Citi had charged my merchant account PCI compliance fee of $139.75. Of course I called as to the justification of this and they refunded $101.00. Gee...just think if I didn't call.

Again, in October 2009, I was charged a $139.75 PCI fee. The week of 2/26/10, I called and left 2 voice mails with the 'account specialist' asking for clairification, without a return call. During that week of waiting for a call back, I inquired with 3 other merchant companies on what they charged their customers. One charged approximately $70.00 and the other two didn't charge. I was told by all that this fee is at the discression of the merchant card company.

3/5/10 I called Citi and threatened to cancel my account and only then I was forwarded to an actual 'Account Specialist'. I relayed the above and asked for a explaination and reduction of the mystry fee. I was told it was company policy to charge $139.75 and that charge was instilled by Visa and Mastercard. She also related that Citi chooses to hire an outside source to perform the PCI compliance test and some of the fees go to that plue Citi already refunded $101.00 in 2008 and cannot authorize any further refunds. I am dumping Citi merchant asap.

Many believe that the new PCI compliance standards are little more than new revenue stream for merchant processors. Most small business owners and merchants have little information about the process and as a result wind up paying inflated PCI compliance fees. Merchant processors have been charging up to 300.00 for PCI compliance. Completing a form is frequently all that is required for many merchants to meet the compliance standards, charging small business owners 300.00 for nothing more than completing a form is excessive, to say the least. This results in approximatly 85% to 90% profit going to the merchant company. No wonder they tell you that it can't be reversed.

The last paragraph's information was directly quoted from PCIfree.com and TakeCreditCardsToday.com. If you haven't been charges or question your fees call your merchant account provider and insist to know your charges, reverse them or if applies, take the compliance test for free.

FYI. Citi Merchant is affiliated with First Data and reccomended that I lease my new credit card machine with them.DO NOT DO THIS UNDER ANY CIRCUMSTANCES. Stupid me didn't read the fine print and got swindled into a 48 month un-breakable lease and ended up paying over $1700.00 for a $ 125.00 machine.

Hope this helps.... Kathleen