Durango Merchant Services (DMS) is a well-established company in the high-risk payment processing industry. However, with any company operating in this domain, questions about its legitimacy may arise. This investigative report examines whether there are any grounds to label Durango Merchant Services a scam.
Allegations and Concerns
- Hidden Fees:
- Customer Complaints: Some clients have reported encountering hidden fees that were not clearly outlined during the onboarding process.
- Company’s Stance: DMS claims to provide transparent pricing and urges potential clients to carefully review their contracts.
- Account Holds and Terminations:
- Issues Reported: There are accounts of merchants experiencing unexpected holds or terminations of their accounts, causing significant business disruptions.
- Industry Norm: High-risk processors often implement stringent risk management protocols, which can lead to account holds to mitigate fraud risks.
- Customer Support Problems:
- Negative Feedback: A few users have reported unresponsive or unhelpful customer service experiences, which can exacerbate issues when they arise.
- Positive Feedback: Conversely, many clients praise DMS for their dedicated account managers and proactive support.
- Deceptive Practices:
- Accusations: Allegations of deceptive marketing practices have been made, where services or rates did not match what was initially promised.
- DMS Response: The company maintains that their marketing is accurate and urges clients to clarify any doubts during the contract review process.
Investigative Findings
Transparency and Communication:
- Contracts and Fees: Durango Merchant Services advises clients to thoroughly review and understand their contracts to avoid any misunderstandings regarding fees and terms.
- Support: While some customers report slow responses, many others highlight the helpfulness and knowledge of DMS’s support team.
Security and Compliance:
- PCI DSS Certification: DMS is compliant with PCI DSS standards, which is crucial for the secure handling of cardholder data.
- Licensing and Registration: The company is a registered ISO for Fifth Third Bank, N.A., indicating a level of credibility and adherence to regulatory standards.
Conclusion
Labeling Durango Merchant Services as a scam is an overstatement based on the available evidence. The company has a long-standing presence in the industry, offers a range of high-risk merchant services, and maintains compliance with PCI DSS standards. While there are some reports of hidden fees and account holds, these issues appear to be within the realm of standard industry practices for high-risk payment processors.
Prospective clients should conduct thorough due diligence, carefully review contract terms, and maintain open communication with Durango Merchant Services to ensure their needs are met and to mitigate any potential issues.
For more information, visit the Durango Merchant Services website