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Education

a price to offer that enables you to tant reviews the statement. When you are completing the application, check
either profit or break even per your the EBT box, enter a cost per EBT transaction and enter the seven-digit FNS
cost. number assigned to the merchant. If the number the owner gives you only has
six digits, ask if the first number should be a zero. It does matter. If the number
When dealing with a merchant with is incorrect, your application will pend until the number is correct.
one or more state-owned machines,
determine the total number of EBT Bill Pirtle is the author of the training book Credit Card Processing for Sales Agents. He is the dis-
sales in a month from every source.
Multiply the total number of EBT trict manager for Clearent in the Detroit/Ann Arbor/Toledo Market. His email is bpirtle@clearent.
transactions by the EBT fee you are com. He can also be reached at 248-444-8009 or on LinkedIn.
offering. If this total exceeds the cost
of state devices, you have the choice
of reducing your EBT transaction
cost or walking away from EBT.

If the total number of EBT transac-
tions multiplied by your Schedule
A cost exceeds the total cost of ter-
minals, advise the merchant to stay
with state devices. This should only
occur in supermarkets and conve-
nience stores in more densely popu-
lated areas, and rarely then.

In a given month, if you process three
thousand EBT transactions for a mer-
chant at $0.10 each, the cost would be
$300. If the merchant has four state
terminals at a $75 cost each, it would
break even – the merchant would
pay the same. However, if a mer-
chant uses only two terminals for
EBT, your solution would cost more
than the merchant pays. Most times
calculation will show you can offer
the merchant a savings versus the
state-owned equipment.
Double-check certifications

Make sure your preferred proces-
sor is not only certified for accepting
EBT, but that the terminal/PIN pad
selected has also been certified by
the processor for EBT. Failing to dou-
ble-check this will leave you unable
to use the terminal for PIN debit or
EBT with your processor. Since both
require a PIN to use, typically if it al-
lows PIN debit, it will allow EBT.

One word of caution regarding pric-
ing: in a store with four terminals,
each using credit, debit and EBT, the
result is your terminals will batch 12
times per night or 360 times a month.
If you opt to add a batch fee, take the
number of total batches into consid-
eration to avoid the appearance of
gouging when a merchant or accoun-

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