Credit Card Fee

Discussion in 'Business Operations' started by stickleylawncare, Dec 14, 2011.

  1. stickleylawncare

    stickleylawncare LawnSite Member
    Messages: 169

    Recently switched over to Quickbooks and fully planning to switch over for next year. Several customers are open to both online CC payments and the email invoicing. For those that do either, do you bite the cost as "the cost of doing business' or do you add some sort of small fee?

    Im tempted to add a small fee, that would negate some of the cost, but I know I hate when I try to pay bills online and there is a "convenience fee".
  2. JDT Property Care

    JDT Property Care LawnSite Member
    Messages: 131

    Why not just build that into your pricing and not show a fee? Just increase your prices 3% to make up for the % you'll be paying to accept a credit card...

    I don't charge any additional fees to accept a credit card, after all, I am getting my money that much quicker.
  3. GMLC

    GMLC LawnSite Platinum Member
    Messages: 4,345

    I just started adding it into my estimates. I don't charge the whole amount of the transaction because I am saving on stamps, envelopes and my time. But I do charge them and they don't see it as a fee.
  4. Roger

    Roger LawnSite Fanatic
    Messages: 5,940

    I believe there are legal issues on "charging a fee." Before implementing a line item, you should check with your accountant, or attorney on this matter.
  5. GreenI.A.

    GreenI.A. LawnSite Silver Member
    Messages: 2,131

    here in MA we can not add a fee for credit card use, but ironically we can do the oposite and give a cash discount. Just about every gas station has one price and right beside it the cash price. If you are paying 3% on processing then simply raise all pricing 3%, if only half your sales are paying by credit card then raise your pricing 1.5% across the board to cover your fees.
  6. willretire@40

    willretire@40 LawnSite Bronze Member
    from VA
    Messages: 1,389

    Do you have a loan or credit card with more than 3% Apr? If yes then why are you worried about losing 3% on cc fees?
    Posted via Mobile Device
  7. ringahding

    ringahding LawnSite Senior Member
    Messages: 611

    We just recently had to raise rates this past year. A lawn mowing that was $30 per cut, is now $32 per cut..we don't do credit cards, but if I were to add that feature, the per cut would look something like this $34.50
  8. Ticolawnllc

    Ticolawnllc LawnSite Senior Member
    from Wall NJ
    Messages: 421

    You know who is likly to use and put some fat on them. Or jus up prices on every one. In 5 year almost every on is going to pay with bank check or bank card. Thats good, card payment can be taken over phone.

    The less you tell them about your pricing the better off you will be.
  9. newz7151

    newz7151 LawnSite Silver Member
    from Tejas
    Messages: 2,419

    Heh.. who says you can't? Google Durbin Amendment from the merchant standpoint.
  10. Ticolawnllc

    Ticolawnllc LawnSite Senior Member
    from Wall NJ
    Messages: 421

    I think adding a price hike for the "service" is the way to go. Taking credit cards will make us look more like pros. You could keep it on file and run it at a phone call.

    Hi Mr. X; I wanted to know if it was ok to run your card xyz for this months service?:rolleyes: Ok, sure thank you. :)

    or we can still do

    Hi Mr. X I was call to talk about your balance. We havn't seen pay ment for last months bill. :mad:

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