Chase Payment Solutions vs. Square: Which Card Processor Is Better For Your Business?

Chase Payment Solutions and Square consistently rank in the top five when it comes to popular card processors. Let’s take a closer look at how the two compare, so you can decide which is better-suited for your business.

Formerly Chase Merchant Services, Chase Payment Solutions offers simple and reliable card processing services for your business. Whether you need to accept payments in your store, online, or on-the-go, Chase Payment Solutions has a solution.

Square is another simple card processor that provides payment, software and hardware tools so you can accept payments everywhere you sell. From swiping cards on your phone to building a custom solution on its payment platform, or even selling online, Square has you covered.

Read our comparison review of Chase Payment Solutions vs. Fattmerchant here.

	Chase Payment Solutions	Square
Type of Provider	Direct processor	Aggregator
Type of Processing Fees	Tiered or interchange-plus	Interchange-plus
Contract & ETF	Month-to-month, no ETF	Month-to-month, no ETF

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Direct Processor vs. Aggregator

Chase Payment Solutions is a full-service direct processor while Square is an aggregator. What does that mean “in English?” Good question.

Full-service direct processors will manage your merchant account and process your transactions. If any problem pops up – like account freezes or chargebacks – you’ll only have to call one company, instead of two.

Aggregators, on the other hand, will process payments without requiring you to have your own merchant account. Instead, they pool a group of merchants together, and you and your fellow merchants will process payments using a joint merchant account.

Below are the pros and cons of direct processors and aggregators:

	Direct Processor	Aggregator
Getting Started	(-) Lengthy process	(+) Quick and simple process
Service Disruptions	(+) Few interruptions. Merchants will be notified of unusual behavior, but your account won’t be frozen or terminated.	(-) There’s a higher risk for fraud, so there are higher levels of caution when it comes to suspicious activity or irregular transaction behavior. Expect more account freezes, holds and/or sudden terminations.
Processing Fees	(+) Able to tailor rates to each individual business, offering more competitive pricing.	(-) Typically have fixed rates, which may become pricey for large-volume merchants.
Processing Limits	(+) Higher	(-) Lower

For established or growing merchants with high transaction volumes, a direct processor is more ideal. For businesses that process lower volumes, are seasonal merchants or start-up companies, an aggregator is the better payment partner.

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Other Factors To Consider

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Bottom Line

Chase Payment Solutions is an excellent choice for medium to large businesses that need a card processor which can handle large transaction volumes. You’ll be able to negotiate better pricing for your needs, and you won’t have to worry too much about service disruptions.

This payment solutions product from Chase also integrates well with their Business Checking accounts. Chase Business Banking customers qualify for next-day funding. In addition, there’s typically a nice sign-up cash bonus for new Chase Business Checking accounts.

Square, on the hand, makes credit card payments accessible to the average Joe. It’s an affordable solution if you process payments every once in a while, or if you have a low volume of transactions every month.

See our list of the best merchant services providers here.

READ MORE: SEE THE BEST BANK BONUSES HERE AND THE BEST INVESTING BONUSES HERE.