credit card or cash only????

Discussion in 'Business Operations' started by georgialawn88, Aug 2, 2012.

  1. georgialawn88

    georgialawn88 LawnSite Bronze Member
    Posts: 1,075

    How many of you companys try an stay away from checks? And just tell the customer credit card or cash at the time of service. Yes the credit card company takes a fee but you save on going to bank worrying about bad checks ect... Ive never looked into credit card machines. How much profit do they take and whats your take on this idea? you could get paid same day for all jobs. Bad/good idea? thanks for all input
  2. GreenI.A.

    GreenI.A. LawnSite Silver Member
    Posts: 2,132

    We try not to take checks from new customers. We currently use for our credit card processing. Their rates are good and they deposit into your account next day. the rates are about 2.5%. Depending on the amount of money you are processing through credit cards they will negotiate the processing rates lower.
  3. RSK Property Maintenance

    RSK Property Maintenance LawnSite Bronze Member
    Posts: 1,486

    no issue with checks around me, but i take credit cards, and cash as well, but for next year i'm gonna start taking less cash, do check, credit card or auto pay for my better customers that know me and i've had for 5+years that way they don't need to send a check out, or have their bank send a check, just put it on auto pay and, that way they save time, and i don't have to collect, just show up and do the work.
  4. tbone1471

    tbone1471 LawnSite Member
    Posts: 41

    It doesn't matter to me. Of course I prefer cash for obvious reasons. But you have to take checks and credit cards. With a check yes it can bounce but usually you know within the week. With a credit card you can have a charge-back, which can happen up to 60 or 90 days after the completed transaction. Either way the customer can hold up your money...
  5. macgyver_GA

    macgyver_GA LawnSite Senior Member
    Posts: 826

    I just ordered the Intuit credit card swipe device and I'm gonna try that out. Currently I take checks. I have a couple customers who pay cash. Everyone is billed at the first of the month paying for that months service. I switched everyone to this last year and it's great. I got tired of chasing people for checks for work I had already completed. Fortunately, in 4 years of business I have yet to have one bounced check. (Knock on wood)

    Now I want to try the swipe thing to cut down on trips to the bank. Seems like I'm stopping by the bank all the time to deposit checks which costs me time. I will say that I love the ATM deposit feature that most banks offer now. It's great!

    I have one piece of advice for you guys taking credit card payments that may not already know this. If at all possible, DO NOT hand key customer's credit cards. Always swipe them if you can. If that transaction were to be fraud or the customer disputes it, if you manually key that card you as the merchant will get charged back for the amount. If you swipe the card, the bank eats the loss on the chargeback. I used to work for a major credit card company in their fraud department for a few years.
  6. tonygreek

    tonygreek LawnSite Gold Member
    Posts: 3,446

    Plus, there is the usual point+ hit you take for manual vs swipe.
  7. macgyver_GA

    macgyver_GA LawnSite Senior Member
    Posts: 826

    Correct :)
  8. knox gsl

    knox gsl LawnSite Fanatic
    Posts: 5,073

    In 4 years of doing this I have yet to get a bad check. I do cash, checks or square reader.
  9. GreenI.A.

    GreenI.A. LawnSite Silver Member
    Posts: 2,132

    Yes, but this can usually be nagotiated with the processing company. We explained the nature of our business with many customers keeping their payment information on file and that it would be nearly imposible for us to swipe the customers cards each month. So for example a fert customer may have a program that will cost $1,200 per year and they make 12 monthly payments of $100 each. They sign a release we keep on file authorizing us to fun the card each month. The processors would rather give you a discount on the keyed entries than have you accept checks instead of cards
  10. muddywater

    muddywater LawnSite Bronze Member
    Posts: 1,813

    Well prepare to get screwed, bc your 4 year streak prob wont last too much longer!!
    Posted via Mobile Device

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