Cheap card processing?

[NOACROSS 414]

 

10 minutes ago, whitestone679231 said:

You’ve never sold a Honda Jazz then ;—) But seriously we do get a lot of customers (usually over 60 yrs of age) who don’t trust/use internet banking, they are the type that would still want to give a cheque, I still gawp when I see a “youngster” in pub waving a phone near machine to pay for a glass of pop!!!! 

Same here. ‘For now’ and the foreseeable future, a card machine is still a must for us, mainly because of exactly what Whitestone says: old people. Being on the south coast, we have a lot of them and they usually ‘don’t do’ internet banking.

There are getting less and less and we usually just take the deposit mostly on (debit, not credit) card and ask for a balance transfer where possible  

As is mostly the case with subjects on this forum- the advise/way to go is often different if you have a site or not.

We don’t pay 1.75% for debit cards  it’s much, much less I’m sure  

 

[Mark101 536]

4 hours ago, Arfur Dealy said:

Look at it this way. 

If you sell 150 cars each year averaging 4K by card payment...., 150 x £4000 x 1.75% fee = £10,500 of your profit to your card machines operators pocket. 

Now, I prefer to pay zero fees. 

If I sell 150 cars, I should make around £150k pre tax pre VAT (average margin).  If paying £10k to faciltate that is required, then I'm happy. Caveat - I should finish on only about 100 cars in my full year (pro rata) but plan on growing to 150 Yr2 and Yr3.

I rarely allow people to chip me and at £17.50 per £1,000 - I am quite alright with that.  Of course, I still prefer a transfer but lots of people struggle to do that.

Least favoured mathod is still cash - 1% charge, a walk in to the bank or PO via a pedestrianised area = too much hassle.

[Max Branning 149]

17 hours ago, Arfur Dealy said:

Why to all of you who take cards? Why ? If you sell 100 cars a year how much does it cost you annually for a card payment facility .

Transfers are free...

I agree but what happens if a customer drives 200 miles to you then does the transfer, but it does not hit your account straight away? I know it is usually instant but there must be delays sometimes ?

[Arfur Dealy 823]

1 hour ago, Max Branning said:

I agree but what happens if a customer drives 200 miles to you then does the transfer, but it does not hit your account straight away? I know it is usually instant but there must be delays sometimes ?

Hi Max, as long as its left their account I let them go, as they have paid the deposit by transfer I'm already set up as a payee, so it's generally instant  

[EPV 631]

I’ve let a number of people on their way without confirmed funds in my account. Usually if it isn’t cleared instantly, I ask to see proof (on their phone) they have transferred it, or, I hear them doing it over the phone. Also, I ask them to ring their bank to confirm it’s not being stopped subject to fraud checks. 

It would take Oscar-esque acting to be able to stage all of that, and not be genuine. 

[Max Branning 149]

35 minutes ago, Arfur Dealy said:

Hi Max, as long as its left their account I let them go, as they have paid the deposit by transfer I'm already set up as a payee, so it's generally instant  

Ok fair enough, i suppose as long as you can see proof its left their account you are ok...I usually check my account and make sure its sitting there before letting them go, luckily i have never had a delay but guess its only a matter of time.

Bank transfer is definitely the way forward, most people seem savvy with it these days.

[NOACROSS 414]

My wife (who has worked for a high street bank for donkeys years) says that transfers can be recalled before the end of the business day - 5 pm I think- by the customer:but it's pretty much unheard of.  However she is full of tales of various banking doom.

Once I see it as coming in, ( or, to be precise, ask her if it is) I'll let them go- and not before.

[EPV 631]

6 hours ago, NOACROSS said:

My wife (who has worked for a high street bank for donkeys years) says that transfers can be recalled before the end of the business day - 5 pm I think- by the customer:but it's pretty much unheard of.  However she is full of tales of various banking doom.

Once I see it as coming in, ( or, to be precise, ask her if it is) I'll let them go- and not before.

It’s a judgement call mate isn’t it.