Retailers have accused Payzone reps of misleading them over terminal charges.

Several shop owners told Retail Express that they were promised use of Payzone’s card machine and terminal for 99p per week with no additional costs apart from debit and credit card charges. 

However, they later discovered that the offer was flakier than it sounded, with an extra £2.50 weekly charge if they did not process 40 payment service transactions. Adam Salt, from Simply Local Dalgety Bay, declined the offer. He said the charge made the deal “pointless”, as the company “doesn’t offer many services used in these parts”.

Describing a rep visit, another retailer told Retail Express: “I asked outright whether there would be a low usage fee and the rep said no, – they said I didn’t even need to use the terminal. But when I looked over the contract, it did have the penalty in it.”

Kalpesh Pau, from Best Local in Sheffield, was also approached by a rep who told him there would be no minimum transaction requirement. Another said they were unaware of the charges but that the deal was still “a very good offer”.

When new Payzone contracts were introduced last year, Payzone promised to “consider an embargo on their account to avoid the charge” for those who couldn’t hit the usage target. However, new contracts seen by Retail Express do not include this embargo.

A source said the string of Payzone reps visits are part of a recruitment drive to add 400 stores to its network.

Asked whether the fees are being waived for new customers, a Payzone spokesperson replied: “Full terms and conditions are available on the website to look at, and our customers are asked to agree the terms and conditions prior to signing.”

Read more: Retailers call on Post Office to cut Payzone usage charges