Key takeaways

  • Bank of America Merchant Services offers an all-in-one payment processing and point-of-sale service for small businesses.
  • To take advantage of its software solutions and flat-rate pricing, your business must purchase the BofA point-of-sale equipment.
  • Through this bank’s merchant services, your business can accept almost all forms of debit and credit card payments in-person or online.

Bank of America Merchant Services offers critical merchant services that include credit card processing, hardware and equipment options and general e-commerce support for small- or midsize businesses. This bank’s merchant services has undergone quite the transformation over the last few years and now offers a complete lineup of business equipment, payment processing and support — all without a long-term contract commitment.

If you’re a restaurant or retail business, offer personal services, operate an e-commerce site or run another type of small business, then Bank of America Merchant Services may be a payment solution for your company.

What is Bank of America Merchant Services?

Bank of America Merchant Services is an all-in-one payment processing service for businesses. Its services enable small businesses to accept credit card payments, install point-of-sale equipment and create loyalty or discount programs. It also includes mobile sales and payroll services.

Bank of America previously partnered with First Data (now known as Fiserv) for its merchant services, but in 2019 the two companies announced an end to the partnership. Starting in 2020, BoA revamped its offerings, including its equipment lineup, while adding 24/7 customer service and merchant support. In 2023, BoA Merchant Services was ranked No. 1 in J.D. Power’s U.S. Merchant Services Satisfaction Survey for its full suite of payment processing services.

What services does Bank of America offer for businesses?

The full lineup of BoA Merchant Services includes everything a small business needs for making sales and accepting payments.

Point-of-sale equipment

BofA Merchant Services offers a variety of point-of-sale (POS) hardware and software options. Its full lineup of POS equipment includes scanners, printers, weight scales, terminals and other supplies. All equipment and software comes with 24/7 customer support — so if you ever run into an issue, you’ll have technical support at your fingertips. After a customer transaction takes place, it’s possible for your business to receive same-day funding (on credit approval).

The POS equipment offered by BofA can support a wide range of businesses, from e-commerce and coaching services to restaurants and retail. Stationary options are available, such as registers and terminals, along with portable options that include a mobile card reader.

What you can expect to pay

Each piece of POS equipment has a cost that’s separate from the credit card processing fees you’ll pay for each transaction.

  • Smart register: $1,439
  • Smart terminal: $1,129
  • Countertop terminal: $359
  • PIN pad: $229
  • Portable wireless all-in-one terminal: $529 (requires cellular data plan)
  • Mobile card reader: $99
  • Accessories: $79 to $999


  • No long-term contracts required
  • Transparent pricing — with no early termination or hidden fees
  • Full lineup of equipment and software for use with a variety of businesses
  • Access to 24/7 technical support


  • You must use the BofA equipment — and can’t source your own
  • Software subscription costs aren’t disclosed for POS equipment online

Credit card processing

Working with BofA means you can accept a wide variety of payment types, including all debit and credit cards along with Apple Pay, Google Pay and Samsung Pay. And you can choose to use the POS products offered by the bank’s Merchant Services. It also comes with advanced security features for payment processing and all transactions, ensuring a high level of security for both your business and customers.

What you can expect to pay

Bank of America Merchant Services offers two different pricing options for credit card processing.

The first is flat-rate pricing, which includes the credit card processing fees that depend on the transaction.

  • Swipe, dip or tap: 2.65 percent plus 10 cents for each transaction
  • E-commerce: 2.99 percent plus 30 cents for each transaction
  • Manual keying: 3.50 percent plus 15 cents for each transaction

The second pricing option is a customized one, which you must work with BofA directly to receive — likely tiered- or subscription-based pricing.


  • Same- or next-day funding possible with a BoA business checking account
  • Includes fraud management tools and encryption for transaction protection
  • Flat-rate pricing model for credit card processing
  • Processing fee discounts for BofA Preferred Rewards members


  • Custom pricing models not disclosed online — instead, you must work with a representative
  • Bank of America business checking account required for any merchant account that accepts credit card payments

Online payments

If you’re an online merchant, then you’ll need a virtual terminal. The Bank of America Gateway is the payment processing division for e-commerce businesses. The Gateway gives you the option of accepting payments either through one of the BofA platform partners or through an integration. This ensures your online business can accept almost all forms of debit and credit card transactions.

What you can expect to pay

Cost per transaction for online payments through the Bank of America Gateway costs 2.99 percent plus 30 cents per transaction.


  • Advanced security and fraud protection features for online transactions
  • Accept wide range of debit and credit card payments
  • Use Bank of America’s e-commerce platform or integrate with others
  • Same- or next-day funding possible


  • Same-day funding available to eligible business customers only

What people say about Bank of America Merchant Services

Reviews for BofA Merchant Services are mixed at best. Overall sentiment centers on issues with customer service and a perceived lack of care by BofA for the individual business owner. You’ll find multiple complaints online about specific transactions that resulted in a business owner either losing money or having issues receiving funds. However, for every negative complaint, you can find a positive review too. Many reviews say that merchant fees are higher compared to other options, but people seem to like the POS equipment offered and access to customer service.

Before making a decision based on online reviews, keep in mind that BofA went through a major upheaval on its merchant services side in 2020, when it stopped its longtime partnership with payment processing company Finserv. Older reviews may be from customers with older accounts or who were customers during the big transition.

Should you sign up for Bank of America Business Services?

Bank of America Merchant Services may offer an ideal hardware and software payment solution for a business if you’re a business owner who wants access to a full suite of products, including all equipment, software solutions and payment processing for both in-person and online orders.

BofA requires the use of its equipment, however — a business can’t source its own. It means that a brand-new business or a business ramping up with a brick-and-mortar and an online presence are two examples of those who may benefit the most. BofA also requires a Bank of America business checking account for some of its merchant services and possible same-day funding, so current account holders (or those willing to get one) would have an advantage. And if you’re a Bank of America Preferred Rewards member, you can enjoy discounts on the transaction pricing.

If you’re a business owner who already has their own POS equipment and simply wants a new software or payment processing option, consider another option like PayPal, where you can use your own equipment but still access PayPal POS software.

The bottom line

If you have a brand-new business or are considering an upgrade to an all-in-one solution for both physical point-of-sale equipment and credit card processing, then Bank of America Merchant Services may offer a strong solution. Learn more about merchant services like BofA and others by comparing multiple options to find the one best suited for your business and budget.