Short answer
To switch card machine provider, gather your statements and contract, check the exit cost and notice period, get quotes written against your own figures, apply for the new account, test the new terminal, then give notice on the old contract. Keep both running briefly so you never stop taking card payments.
Part of Contracts and switching. Start with the main guide: How to cancel a card machine contract without getting caught out
Key takeaways
- Start with three months of statements and your contract, because quotes and exit costs both depend on them.
- Compare quotes on the all-in effective rate for your own turnover and card mix.
- Apply and test the new terminal before you give notice on the old contract.
- Allow a few weeks for approval, delivery and setup, and longer if the old notice period is long.
- Check the first statements on the new account against what you were quoted.
Switching card machine provider has a reputation for being a hassle. Done in the right order, it is not. The real risks are not technical. They are a gap in card acceptance, a surprise exit fee, a quote that does not match the bill that follows and a notice deadline that has already gone by.
This guide gives you a plan that avoids all four. It follows the order in which you should do things, with a checklist, a timeline and the checks to run afterwards. Use it whether you are switching your own business or helping a merchant do it.
Before you start: is it worth it?
A switch has a cost, even if the new provider is cheaper. There may be an exit fee, a set-up fee, a terminal to pay for and some of your own time. So the first question is whether the saving justifies it. Work out the monthly saving, the one-off costs and how long it takes to break even. Our guide to whether switching is worth it shows how.
If the answer is yes, or probably yes, carry on.
Step 1: Gather what you need
You will need:
- Three recent merchant statements (more if your sales are seasonal)
- Your current contract, price schedule and any terminal agreement
- Your merchant ID and the contract dates
- The monthly turnover and number of transactions, and the card mix if your statements show it
- Your bank details and business registration details for the application
Three statements give providers enough to quote accurately. They also let you check your effective rate and run a bill check before you start.
Step 2: Find out what leaving costs
Look up the term, notice period and exit fee on your current contract. Ask your provider for the exact exit cost in writing. Do the same for the terminal. See early termination fees for how those are calculated, and contract length, auto-renewal and notice periods for the dates.
This tells you the best time to switch. If you are three months from the end of the term, waiting may cost less than leaving now.
Step 3: Get quotes on your own figures
Ask each provider to quote against your statement, not against a generic business. A good quote lists:
- The pricing model and every rate
- Per-transaction fees
- Every monthly fee, including terminal, gateway and PCI
- One-off fees and the contract term
- The exit cost and notice period
- The total for your last month, and the effective rate
Make sure each quote includes the hardware and any separate fees. If one provider leaves out the terminal and another includes it, the comparison is not fair. Use the effective rate to line them up.
The same business and month. Illustrative. The cheapest headline rate is not the cheapest quote.
Choose on the all-in rate and the contract terms together. Quote C is cheapest but has a longer contract. Whether that is worth it depends on how confident you are in your plans.
| Item | Why it matters |
|---|---|
| Pricing model and all rates | You cannot compare rates without knowing the model |
| Monthly fees including terminal | Fixed fees decide the result for small turnovers |
| Contract term and exit cost | The cost of getting it wrong |
| Total for your last month | The only like-for-like figure |
Step 4: Check the small print
Before you apply, check each quote's contract for:
- Minimum term, renewal and notice period
- Minimum monthly charges
- Terms for rate changes, including any increase after an introductory period
- PCI charges and non-compliance fees
- Settlement time, meaning how soon the money reaches your bank
- Support hours and what happens if the terminal fails
- Whether the terminal is locked to the provider
Step 5: Apply and get approved
The new provider will usually ask for:
- Business name, address, registration details and type
- Directors' or owners' details and identification
- Bank account details for settlement
- Estimated turnover, average sale and card mix
- A description of what you sell, and your website if you take online payments
Approval can take from a day to a couple of weeks depending on the provider and the type of business. Answer questions quickly and give honest estimates. Wrong numbers on an application can cause problems later.
Step 6: Receive and test the new terminal
Do not give notice on the old contract until the new setup works. When the new terminal arrives:
- Set it up and connect it.
- Take a small test payment, then refund it.
- Check the payment appears in the new account's portal.
- Check how long settlement takes to reach your bank, with a first real payment.
- Train anyone who uses it.
A few days with both running is sensible. Using both for a short time costs very little compared with the risk of a failed changeover.
Step 7: Give notice on the old contract
When the new terminal works, give notice on the old agreement in writing, timed to end after the changeover. Follow the process in how to cancel a card machine contract, including the terminal return.
- Week 1: gather and compareStatements, contract, exit cost and written quotes.
- Week 2: choose and applyPick the best quote, submit the application and documents.
- Weeks 2 to 3: approvalUnderwriting checks and sign-off.
- Weeks 3 to 4: terminal arrives and is testedTest payments, refunds and settlement.
- Week 4: give notice on the old contractIn writing, with proof of delivery.
- Weeks 5 to 8: notice period runsUse both for a short overlap, then return the old terminal.
- After the changeoverReview the first two statements against the quote.
The weeks are illustrative. Allow longer if the old contract has a long notice period.
Step 8: Update everything that touches payments
When the new terminal goes live, remember the things that depend on it.
- Any integration with your till, booking system or accounting software
- Your website payment settings, if you take online payments
- Staff instructions and till procedures
- Your bank reconciliation, since settlements may arrive on different days or in a different format
- Signage that mentions payment providers
Step 9: Check the first two statements
After the first full month on the new account, compare the statement with your quote.
- Does the turnover and transaction count match your records?
- Are the rates the ones you were quoted?
- Are there any fees not in the quote?
- Is the effective rate where you expected?
- Does the total match what left your bank account?
If anything differs, ask the provider to explain it straight away. Early on, providers are generally more willing to fix a mistake. Also check the final statement from the old provider for any charges after the end date.
What mistakes do people make when switching?
- Comparing headline rates. The effective rate is the number that matters.
- Cancelling before the new terminal works. It risks a gap in card acceptance.
- Ignoring the terminal contract. A lease can continue after the processing ends.
- Missing the notice window. It can mean another term on the old fees.
- Giving inaccurate turnover estimates. It can lead to a quote that does not fit.
- Not checking the first statement. Errors are easiest to fix straight away.
Can you switch without changing the terminal?
Sometimes you can switch the processing and keep the existing terminal, if you own it and it is not locked to the old provider. This can reduce cost and hassle. Ask the new provider whether it supports your terminal model, and ask the old provider whether it is unlocked. If the terminal is on a lease, check that the lease can run on its own. See double contracts for the risks.
For consultants
A smooth switch is part of the service. Offer to build the timeline with the merchant, chase the paperwork and be available on the day the new terminal goes live. The merchant remembers how the changeover went more than they remember the rate. The checkmyrates calculator produces the quote with the savings and the exit cost, which is the document that starts a switch.
Frequently asked questions
How long does it take to switch card machine provider?
Often three to four weeks for application, approval, delivery and testing, plus any notice period on the old contract. The notice period is frequently the longest part.
Will I stop taking card payments when I switch?
You should not, if you test the new terminal and keep the old one running until it works. The risk comes from giving notice too early.
Can I keep my existing card machine?
Sometimes, if you own it and it is not locked to the old provider. Ask both providers. A rented or leased terminal usually has to be returned.
What documents do I need to switch?
Recent merchant statements, your current contract, business and identification details and bank details. The new provider will tell you what else it needs.
Do I have to pay an exit fee?
If you leave before the minimum term ends, probably. Ask your provider for the figure in writing, and compare it with the saving.
What should I check after switching?
The first two statements: turnover, rates, fees and totals against your quote, and the amount taken from your bank.
Sources and further reading
Figures in this guide are examples to show the method. Fees, rules and rates change, so check your own statement, contract and current rules before you decide. This is general information, not financial or legal advice.