Elavon Review

Elavon is a payment processor and merchant services provider headquartered in Atlanta. It’s a subsidiary of US Bank, and has over 30+ years of experience in the processing space. 

Currently, Elavon processes about $558 billion per year from merchants across the globe. 

Whether you’re a current or prospective Elavon customer, I’ll explain everything you need to know about this provider so you can determine whether you’re getting a good deal on your processing rates. 

MCC Quick Take on Elavon

Our experience working with Elavon is a bit mixed. While they offer an extensive range of services for merchants, they’re not the best or the cheapest processor we’ve ever dealt with. 

Our clients typically see a rate increase at least once per year. Again, this isn’t awful compared to other processors out there. But it’s still more frequent than we’d like to see.

They’re somewhat receptive to our negotiations, but the customer service they provide to merchants definitely needs some improvement. 

What We Like About Elavon

• Interchange plus pricing is available
• Fewer hidden fees compared to other processors
• No early termination or liquidated damage clause (refer to your specific contract to confirm)

Where Elavon Falls Short

• Annual rate hikes and fee increases (usually at the end of Q1)
• Inconsistent billing practices
• Underwhelming customer support

I try to make all of my processor reviews as fair as possible and base them on our experience with the company. However, there are a couple things I need to mention about Elavon that we actually haven’t experienced first hand here at MCC. 

There are a ton of complaints online from businesses saying that Elavon held their funds, and others mentioned that Elavon canceled their merchant account without recourse. 

Obviously, there’s two sides to every story and I’m sure some Elavon didn’t do anything wrong in lots of these instances. But there were far too many of these complaints for me to ignore. Again, we haven’t seen this with our clients, but it’s definitely something you should be aware of.

Elavon Pricing and Credit Card Processing Rates

Elavon does not publish its rates online, and they offer custom pricing to each business based on factors like industry and volume. 

That said, Elavon is charging merchants around 0.07% + $0.25 per transaction on the lower end of their markup, and upwards of 0.35% + $0.48 on the high end. We have some other clients in the middle, paying 0.10% + $0.20 per transaction. 

Elavon also charges about $0.20 to $0.25 per authorization, and you can expect to pay another 0.20% to 0.60% for processing an international card. 

We keep a full log of Elavon’s rate increases over the years. And if you refer to that guide, you can see how quickly those prices have grown over the years.

Back in April of 2022, Elavon was charging 0.02% + $0.23 per transaction to 0.16% + $0.25 per transaction. But our clients received notices of rate increases the following year in March 2023, and then again, this year, in March 2024. 

Remember, all of these rates are just referring to Elavon’s processor markup. You’ll still be paying the interchange fees imposed at the card network level on top of these rates. 

Elavon Fees to Look Out For

In addition to the per-transaction fees that Elavon charges, there are some other fees you’ll likely see on your statement. Here are the ones that we commonly find when auditing statements on behalf of our clients:

• Auth/WAT Fees — Typically associated with the telephone service Elavon uses to manage your POS machine, and it’s something you can get lowered if you negotiate.
• Safe-T SMB Fee — Bogus “security” charge that you should request be removed (and refunded) from all of your statements. 
• Monthly Billing Fee — Elavon charges 0.06% of your total monthly transaction volume if you’re on a monthly billing cycle. We definitely recommend switching to daily billing to avoid this 0.06% fee.
• Settled Batch Fee — We typically see a $0.40 charge per settled batch. But 18 months ago we had clients that weren’t being charged at all for settled batches, so this may be something you can negotiate. 

This list isn’t awful, at least compared to other processors on the market. But there’s still a good chance you’re overpaying for Elavon, and you can negotiate some of these fees—along with your costs per transaction—to lower your overall processing rate. 

A Note About Elavon’s Commercial Card Optimization Program

While this isn’t a fee, it’s something that I think you should be aware of.

The Commercial Card Optimization Program is actually a way for merchants to save money on processing, yet it’s still frustrating the way Elavon goes about doing this. 

Elavon first started enrolling merchants into its Commercial Card Optimization program back in July of 2022. And as of March 2024, I believe they’ve finally auto-enrolled all businesses into this program. 

There’s no upfront cost for being part of the program. But once you’ve been enrolled, you’ll automatically qualify for reduced interchange rates on where additional card data is collected for Level 2 and Level 3 transactions. 

Elavon says that merchants retain 25% of the total interchange savings. Great news, right?

Look, I’m happy to get savings wherever I can get them. But if you’re only saving 25% then that means Elavon is pocketing the difference—aka the other 75% of the savings. 

Basically, the card networks find these types of transactions less risky. Commercial cards with extra data being captured reduce the chance of fraud and chargebacks, so the card networks are willing to offer a better rate at the interchange level.

But rather than passing those savings on to you or even splitting those savings with you, Elavon operates on a 75/25 split, in their favor. 

Should You Switch to Elavon?

If you’re a new merchant seeking your first credit card processor, Elavon is fine to consider. However, if you’re an existing business that already has a credit card processor in place, we do not recommend switching to Elavon.

While Elavon’s rates might be lower than the rates you’re currently getting, those savings will be short-lived. As discussed, Elavon tends to raise rates at least once per year. So if your current processor has been keeping your prices steady, then you may be better off sticking with them.

You also need to factor in the other potential costs associated with breaking your current contract. Lots of processors charge significant penalties for canceling, including fund holds and liquidated damages. 

Not to mention the indirect costs of changing processors. You’ll likely need all new equipment and you’ll need to change all of your internal systems and processes. It’s a pain, and costs more money than you realize.

Instead, you’re better off negotiating directly with your existing processor to save money. You can use Elavon’s rates as a bargaining chip in those discussions. But trust me, your processor doesn’t want to lose your business, and you have more leverage than you realize.  

Should You Cancel Your Elavon Contract?

Elavon actually has a pretty lenient merchant agreement compared to other processors. 

While you would need to check your specific contract terms to verify this, we don’t typically see them lock merchants into long-term agreements. We also don’t tend to see any cancellation penalties or liquidated damages clauses. However, you may still owe money if you’re renting equipment.

Even though you can likely cancel your Elavon contract penalty-free, we still don’t recommend it.

Why? Elavon’s rates aren’t terrible. They offer interchange-plus pricing, and they’re open to negotiations. 

Yes, they’re probably going to increase your rates every year. It’s a pain. But you can push back against those increases and negotiate your own terms. 

This is something we can do on your behalf here at Merchant Cost Consulting. So you can focus on running your business, and let our team handle your statement audits and negotiations with Elavon. 

Our Final Thoughts on Elavon

Overall, Elavon is a solid processor. They have fewer bogus fees and hidden fees than their competitors, but they still charge a few “extras” that you should try to get removed or at least reduced from your statement.

Our biggest gripe with Elavon is the frequent rate increases. They’ve increased their rates annually for the past three years in a row, and I’m anticipating that this trend will continue for the foreseeable future. 

While Elavon definitely isn’t perfect, you could honestly do a lot worse. So rather than canceling your contract or switching to a new provider, you should look for ways to save without having to switch.

That’s where MCC can help. As a merchant consultant, we can analyze your statements and look for cost-saving opportunities. Whether it’s with Elavon or another processor, our team has the expertise and negotiation skills that you need to get lower rates.  Request a free audit to get started and find out how much you can save.