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Chase Paymentech Looks Downmarket to Small and Midsize Businesses

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Chase Paymentech, which processed a cool $655.2 billion in transactions in 2012 — about 5x as much as PayPal — is reaching out to small and midsize businesses with its Chase Mobile Checkout product. Chase Mobile Checkout was piloted earlier this year, but rebooted for SMBs yesterday. The name “Chase Checkout” now covers the full suite of products. SMBs are an increasing area of focus for FIs, and advances in technology, exemplified by Square, have made it easier to service this segment. The focus on mobile and small business is new for Chase, which has previously been geared toward serving merchants with point of sale solutions and processing payments online. Chase has served small businesses in the past, but that was through a third-party provider. Chase Checkout it s proprietary solution. Chase Checkout offers checkout functionality for mobile devices, retail points of sale, and e-commerce sites. The suite of payment products promises an end-to-end solution for SMBs, from a free card reader to a new mobile app, to online tools and point of sale devices. The service includes the requisite dongle for on-the-go charges. Rates for the mobile service begin at 1.99% and $0.25 per transaction, plus a $9.95 monthly fee. [...]

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