Debit Card Charge 0.30%

[SC Derby 259]

Always been really happy with Transax/FIS payments but they won't budge on this with me, won't cap it, despite numerous phone calls.  Can't afford to be giving away £15 on an average 5k card payment.

So I have til the end of the month to terminate with them and then until end of next month to get new supplier up and running. They have confirmed they have capped it for some business/car dealers but won't do it for me, guess I'm not putting enough payments or enough larger amounts through them?

Anyhow, any recommendations on the best place to start with new companies that are prepared to cap/avoid this charge?

thanks all.

[Max Branning 149]

What about just passing this fee on?

With the increase in debit card charges i am now thinking of passing this fee on to the customer. My statements seem to be increasing month on month. I have always added 3% for a credit card transaction which i think is reasonable, but have never charged for debits. I will maybe now add 1% for debit payments or they can do a bank transfer for free.

Anyone else doing this?

 

[SC Derby 259]

I've thought about that Max, but isn't it just another barrier in between the customer and the sale of the car?

Also they will just ask you to chuck it in/swallow it as part of the deal which invariably we may do?

[Max Branning 149]

Yes some buyers could be put off by this and if it really meant them walking over a £10 charge then i would probably just say "ok dont worry we will let it go this time " but many will just accept it i think. No one has ever really moaned about the 3% credit card fee, they always pay it. 

I have had several customers now do a bank transfer with their phones when my card machine went down so this could become the norm if a fee is being charged to use plastic.

[JKG 16]

Mine have always been capped at a fixed £1.00 per transaction for debit cards but they have just let me know they can no longer do it & are switching me over to percentage

[Tom 164]

A lot of supermarkets have a admin fee for things like this. I charge to credit cards but not debit. 

[Rory RSC 596]

Needs to be passed on IMO. 

Work it out on every 100k turned over  then every million turned over. Cost soon becomes another huge burden. 

Soon stacks right up.  A couple of people quoted on autotraders forum that a company were saying they would still fix the costs but I am sceptical. Need to speak to a few other companies myself and get things in order. 

[david gott 58]

For the last 2 weeks I've just stuck to 3% credit card, 1% debit, free for a bank transfer, nearly all have done bank transfer. My last worldpay bill was ridiculous so I'm going to try and stick to my guns.

[M.J 35]

I had Worldpay come in and set me up initially, the charge was a percentage of each transaction which seemed pretty low but like Rory said when i did the calculations over a year's worth of turnover it equated to a lot of charges.

So before i signed up properly with Worldpay i contacted Barclays, they got me setup in around a week and they charge a set amount per transaction, i think around 85p, i'll have to double check when i'm in the office later. But it was a significant saving over worldpay.

And it just makes the whole transaction smoother when i don't have to mention adding on a fee after somebody has just bought a car.

I've got a mobile device from them with built in wifi so i can use it anywhere which helps if delivering a vehicle, great service so far.

Check out Barclays guys, THIS is the one i've got. 

Edited August 10, 2016 by M.J

[Steve92 80]

What are the clearance times on your card machines, Barclays looks like it's 3-4 days, I think ours- whoever we use are 3 days.

[SC Derby 259]

3 days for me

ie Friday swipe comes in the bank Tuesday

Saturday/Sunday swipe comes in Wednesday etc 

[justina3 518]

2 hours ago, M.J said:

I had Worldpay come in and set me up initially, the charge was a percentage of each transaction which seemed pretty low but like Rory said when i did the calculations over a year's worth of turnover it equated to a lot of charges.

So before i signed up properly with Worldpay i contacted Barclays, they got me setup in around a week and they charge a set amount per transaction, i think around 30p, i'll have to double check when i'm in the office later. But it was a significant saving over worldpay.

And it just makes the whole transaction smoother when i don't have to mention adding on a fee after somebody has just bought a car.

I've got a mobile device from them with built in wifi so i can use it anywhere which helps if delivering a vehicle, great service so far.

Check out Barclays guys, THIS is the one i've got. 

I found world pay the cheapest around when i reviewed it last month and i bank with Barclays, i cant see how Barclays would make money charging you 0.30pence to put say a 5k transaction through

From the link provided

Barclaycard terminals can make it very cost-effective to start taking card payments. Our charges are based on your turnover, as well as the average value of your transactions and the ratio of credit to debit card payments. We like our customers to know exactly what they’re paying fo

[Rory RSC 596]

My payments are next working day. Can't afford to wait 3/4 days for anything.

[justina3 518]

3/4 for me also sadly 

 

 

[M.J 35]

Just checked, mine is 85p per debit card transaction, this is significantly less than wordpays % of each debit card transaction.

[justina3 518]

31 minutes ago, M.J said:

Just checked, mine is 85p per debit card transaction, this is significantly less than wordpays % of each debit card transaction.

what about credit card ? 

[M.J 35]

0.8% for credit cards but I barely do any credit cards, if the customer wants to pay on a credit card then that's my opportunity to discuss finance options.

[Steve92 80]

3 hours ago, Rory RSC said:

My payments are next working day. Can't afford to wait 3/4 days for anything.

Who's that with ?

[Rory RSC 596]

5 hours ago, Steve92 said:

Who's that with ?

Global payments 

[Mat C 77]

I have a similar issue, 

Worldpay wont give me a terminal as I haven't been trading 2 years.

I use Izettle, however they charge 2.5% credit or debit per transaction. On a sliding scale back down to 1% if i take over £40k per month. 

I either use it for everything to get to the lowest % or try to avoid. Bank transfers are the way forward, however I have had 1/2 occasions where on a sunday at 6pm the bank wont allow the transaction until the following day etc..... can cause a headache.

I would be interested to know if there's a cheaper alternative to using Izettle for me as its costing me a few hundred£ each month at the minute

[Max Branning 149]

2 hours ago, Mat C said:

I have a similar issue, 

Worldpay wont give me a terminal as I haven't been trading 2 years.

I use Izettle, however they charge 2.5% credit or debit per transaction. On a sliding scale back down to 1% if i take over £40k per month. 

I either use it for everything to get to the lowest % or try to avoid. Bank transfers are the way forward, however I have had 1/2 occasions where on a sunday at 6pm the bank wont allow the transaction until the following day etc..... can cause a headache.

I would be interested to know if there's a cheaper alternative to using Izettle for me as its costing me a few hundred£ each month at the minute

2.5% on debits ???

Shop around even if you have only just started trading there is no way you should be paying that. I am with paymentsense and although i have heard some bad reviews on them i have never had a problem. I have considered switching to a possible cheaper option but really just have not got round to it yet. I think i pay 0.2% on debits + 40p or something like that. Around 3% credit which gets passed on.

[audispecialistlondon 1]

We too are moving to .3% for debit cards.

We have always been 80p isn even for 50k transactions.

I've kicked off with Global Payments and also had a quote put together by Barclays where I bank but apparently the rules are changing bank to bank. Where as banks didn't used to charge the card processing companies to receive deb card payments, they're charging around .25% so you won't get them below that.

Those still on pence per transaction this will change imminently as the processors will be losing money on your accounts come October.

I think 1% charge for debit cards & free for bank transfer but i think people are going to get pretty annoyed with it to start with.

The big winners in this are the companies selling low value items e.g. McDonalds who were previously on a set pence amount now on .3% so much cheaper for them. The big ticket sellers are getting hit hard. They repriced my last 3 months card terminal statements and they were £2500 higher on new rates (£400>£2900)

[Steve92 80]

Some banks won't allow bank transfers over £10,000 though.

[SC Derby 259]

Back to cash then 

[audispecialistlondon 1]

I get charged 2% to pay cash in! They've got us cornered haha