Contactless payments to increase to £100 from 15/10
- Thread starter cheesefest
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So your saying monopoly just made up "bank error in your favour"
Banks and people using banks regularly dump money in the wrong accounts and later get it reversed but if you see the bank has accidentally moved £28m into your account you'll get done if you yoink it.
Probably worth it to yoink it and run all the same
Ok, my post was thin on detail, i'm not against cards, I work in the card payments industry. 1.75% is expensive in 90% of usage cases when 0.3% (sometimes less) is available on consumer debit cards.
I come accross so many merchants just getting stuffed with fees & they seem totally oblivious.
iZettle is great for micro businesses on the side, start processing enough to actually consider it an income and in a lot of cases it's expensive!
1.750% isn't low, 0.288% is low.
I agree fees are very important to some businesses, however the cost of not accepting cards - over 1.75%
There is many options to reduce fees, open banking is a prime example - let's hope Visa, MC and Amex don't gobble them all up
I agree fees are very important to some businesses, however the cost of not accepting cards - over 1.75%
There is many options to reduce fees, open banking is a prime example - let's hope Visa, MC and Amex don't gobble them all up
Accept cards by all means, just don't pay the most expensive rates in the industry aside from Paypal. You can take Visa Debit at less than 0.3%, why pay nearly 600% more?
Soldato
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Businesses who do large numbers of transactions and I would imagine they provide their own devices. Not comparing apples with apples me thinks
That's what I suspect, but still curious.
I'm sure Tesco as something ridiculous basis points
You generally can't provide your own devices unless you order tons of them (or get one from the likes of Verifone but they are a nightmare to deal with) as they will likely be running the wrong software. And no, you don't need to be doing tons of transactions to get reasonable rates.
The average transaction value is all that matters, if it's over a tenner getting into the 0.3% range on Visa Debit is pretty easy. Places like resteraunts where the ATV starts pushing £75 it's possible to start getting into the high 0.2's.
Big ticket items like used car sales where you might be pushing £5k a sale 0.25-0.27% is possible on Visa Debit. At that level even Credit Cards can be dropped under 0.4%. At that level Visa Commercial Debit cards can be obtained at less than 0.2% as there is a cap in operation on the fees from Visa to the Acquirer, but most acquirers don't pass it on, instead they pocket the saving.
The only challenge is low average transaction value merchants, it gets tricky but even at £5 ATV you can scrape them into the 0.4's on Visa Debit.
Banks and people using banks regularly dump money in the wrong accounts and later get it reversed but if you see the bank has accidentally moved £28m into your account you'll get done if you yoink it.
Probably worth it to yoink it and run all the same
My bank a few years ago put just over £200k in my account. Because I get SMS alerts I knew immediately and called them. They investigated, recalled the money & then gave me £250 'for my honesty'.
I've no idea where the money came from or where it should have gone. It was just noted on my statement as "Internal Transfer"
That's quite low. I assume that is just % + monthly fee etc?
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Could be numbers mixed up or if the account details were verbally given, might have misheard 15 as 50 etc.
At a previous employer, there’s another employee with same first two initials as me and surname almost the same bar one letter. I got their salary paid. They had a more senior role and got paid about a third more than me. I rang HR and weren’t concerned. Kept the difference between my pay and theirs in bank account just in case they decided to take the money. Never I got reduced pay either. 8 months later, I left the employer as split up with ex. I was moving back to my parents, 100 miles away.
Received a full pay on the final pay packet. So that extra money from the overpayment helped me paying for fuel, get clothes for interviews etc .
Your only monthly fee should be a terminal rental of £10-£25 a month depending on model needed and possibly a PCI compliance admin fee, normally £3-£5 depending on acquirer, a few do it for free though.
Of course if you have a tiny turnover the rates savings are wiped out by the above but for most businesses it's easily cheaper having a merchant account.
Earlier in the year I got right moaned at by a woman at a burger van for using contactless, saying something about high fees, taking £2 of the £15 order or something like that. Trying to guilt trip me to magically find paper money in my wallet. The only reason I was buying something there was because they advertised as taking cards, I've not carried cash for over a year. I shrugged and told her to get a better service provider.
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This is why some independent shops have signs "We only accept card payments for amounts over £X". Some places like this I don't feel comfy. I pay my hairdresser by cash as she's a sole trader only working 3.5 days a week (5 during the summer and December). Like to give her exact. So buy something at work with cash.
Another thing I hate, pay and display machines that only take cash! Have a hospital appt next week at a hospital with cash PnD machine. Must make sure I have the coins. The main hospital you pay on leaving and can be done with card. Then there's a town near me that charges 30p for parking and you can pay with card for that!
Soldato
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Generally is a broad brush
Going off topic slightly but merchants can absolutely get their own devices, I worked for a company for 15 years who did just that and was involved the roll out of the first contactless payments in the convenience sector.Transaction rates are always going to vary but in my time volume of transactions did play a large part, along with transaction value on what rates you could negotiate. Pretty sure we've had this conversation before.
Soldato
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Market research has shown these type of restrictions on card payments have overall negative affect on your business.
You don't tip your barber?
Generally is a broad brush
Transaction rates are always going to vary but in my time volume of transactions did play a large part, along with transaction value on what rates you could negotiate. Pretty sure we've had this conversation before.
Transaction volume plays no part, i set up merchant accounts and i don't use volume of transactions when making an offering. If the company you are using uses volume as a metric, find a different one.
If you only put £20 a month through and I want to put you on 0.3% i'll put you on 0.3%. Although if you buy your own, you aren't getting the decent rates, gotta make money somewhere.
As for terminals, you can buy the likes of Verifone & PAX units but quite frankly they suck & their support is a disaster. If you want the likes of an Ingenico Move 5000 at a reasonable price you want an account with them and access to TMS & GEMS, which we have as we've got a few thousand of them.
Some places may agree to resell them (i could but don't) as it's just not worth the hassle as the merchant can't take them to another acquirer anyway in most cases.
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