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Will credit card acceptance help my business?

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I am contemplating getting my business set up to accept credit cards. I do home remodeling and construction. It is a bit pricey to get set up for this and therefore I want/need some input from others.

 

Would you be more inclined to do business with a contractor due to their ability to accept a credit card payment?

 

I know a lot of people hire "box stores" to do their installations due to the credit terms they offer. A lot of times I can beat their prices by A LOT. Do you think it would sway you (as a homeowner) to do business with me when the only difference is the use of credit? Forget the fact that I provide more personalized service and hand-picked, quality materials.

 

I'm having a website built as I write this... and am highly thinking of fronting the money to get started on a credit acceptance program. I am trying to provide what seems to be an important option nowadays. Do you agree this would help my business?

 

My one fear is that someone could use the credit system to withdraw payment after a completed job. Could someone get away with that, if the work was appropriately completed? I have never had a problem to date, but fear someone may use the credit companies as a middle man to skip payment. Thoughts?

 

Thanks for any replies.

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View PostI am contemplating getting my business set up to accept credit cards. I do home remodeling and construction. It is a bit pricey to get set up for this and therefore I want/need some input from others.

Would you be more inclined to do business with a contractor due to their ability to accept a credit card payment?

I know a lot of people hire "box stores" to do their installations due to the credit terms they offer. A lot of times I can beat their prices by A LOT. Do you think it would sway you (as a homeowner) to do business with me when the only difference is the use of credit? Forget the fact that I provide more personalized service and hand-picked, quality materials.

I'm having a website built as I write this... and am highly thinking of fronting the money to get started on a credit acceptance program. I am trying to provide what seems to be an important option nowadays. Do you agree this would help my business?

My one fear is that someone could use the credit system to withdraw payment after a completed job. Could someone get away with that, if the work was appropriately completed? I have never had a problem to date, but fear someone may use the credit companies as a middle man to skip payment. Thoughts?

Thanks for any replies.

 

 

dont use it often,

go with the dial up call in service

dont need a terminal and those costs,

generally like $15/month fee, .15/transaction a 2.89%

you can also charge your customers a 3.5% CC convenience fee

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Beside the initial setup costs, you do realize that you'll be charged 2-5% of the transaction as a "discount fee"? Don't know how you can eat that on a large $$ project.

 

I love using a card for retail transactions, but I would never put a major renovation on a card. The only way I would consider it would be to get whatever rewards the card might offer (airline miles, etc.), then immediately pay it off when the bill comes. Wouldn't be a determining factor in me choosing you as a contractor. I'd rather you take off the 3% or so accepting a card would cost you.

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The company I am looking to go with only charges a fee of 0.4% per transaction. That's what... $4 per every $1000? Not bad. Its the other things that are costly... they didn't offer me a dial-up option. I'm looking at cost of buying a terminal, set-up fees, yearly fee and then the monthly statement fees. One of the thoughts others have said is that they could reap benefits from their credit companies for using their cards... travel rewards, discounts, etc. I would not do this if it meant having to increase my prices much. Maybe adds $100 per customer (on a big job) and thats IF I pass that cost on to the customer. I would probably just take it out of my end as a means to promote business.

 

I simply hate hearing from people that they're having windows, cabinets, etc installed for two to three times the cost of what I can do it (with the same materials) just because the big stores offer the credit plans. At least I'm assuming its because of the credit plans, as thats what I've heard from a few people.

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View PostThe company I am looking to go with only charges a fee of .4% per transaction. That's what... $4 per every $1000? Not bad. Its the other things that are costly... they didn't offer me a dial-up option. I'm looking at cost of buying a terminal, set-up fees, yearly fee and then the monthly statement fees. One of the thoughts others have said is that they could reap benefits from their credit companies for using their cards... travel rewards, discounts, etc.

 

 

I think youhave the numbers mixed up. I would really look into that.

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I just double checked the paper work they provided me and the emails sent to me. In both sets of info it says that I would be charged a 0.4% fee plus a ten cent fee per transaction. However, I will make a call tomorrow and VERBALLY get the confirmation on this. That would make a HUGE difference. I would not be willing to soak up that kind of hit. Nor would I want to pass those expenses on to a client. Thanks.

 

In fact... here's a cut&paste of the exact wording. Am I misreading this?

 

Processing Fee: 0.40% + $.10 cents per transaction

 

One-Time Application/Set-up Fee: $75.00

 

Monthly Merchant Statement Fee: $8.00

 

Annual PCI Compliance Fee (mandated by the Card Associations): $175.00/software OR $55.00 terminal, not billed until your 1st Anniversary

 

No Annual Membership Fee

 

No Monthly Minimum Fee

 

No Batch Transmissions Fee

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I work for an event planning, catering business. We dont accept Credit cards for deposits or payment for any event. Why? becasue peopel contest charges all the time, and let me tell you when they do the CC compnay debits your account right away or withholds payments to you until they are holind ghte amount in question. Its not a big deal for us usually, the issue for us is say you book us for your wedding, the NON REFUNDABLE deposit is made by CC. The wddding falls apart. Customer wantss a refund, we say no, they call the CC to dispute. We have NEVER won an appeal.

 

Just keep in mind you are opening up potential avenues for unhappy customers (we all have them soemtimes) to hold you you hostage.

 

bottom line you wantus to do your event? cash, check, gold bars....all work, CC not accepted.

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I hear you... that truly is my biggest fear. So much card fraud going on now, it just seems like an easy way to get taken. Now, reading that you've seen it happen, I'm even less interested in this idea. Thanks for the input.

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View PostI hear you... that truly is my biggest fear. So much card fraud going on now, it just seems like an easy way to get taken. Now, reading that you've seen it happen, I'm even less interested in this idea. Thanks for the input.

 

its nto fraud. ITs people who make a deposit or pay for services and dfor some reason cancel the event or unhappy. They pitch a fit to the CC company who then immediately debits your accoutn while they "investigate" like I said we never won an appeal yet on a deposit. Singed contracts mean nothing to CC companies.

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I simply hate hearing from people that they're having windows, cabinets, etc installed for two to three times the cost of what I can do it (with the same materials) just because the big stores offer the credit plans. At least I'm assuming its because of the credit plans, as thats what I've heard from a few people.

 

 

i think the credit plans are done through the big store or a credit company they deal with. it's not people using their own credit cards. kinda like getting a lowes cc and making payments on a washer/dryer.

 

why not look into being able to offer payment plans or credit? like the big guys have. a credit card machine can not be all that bad. to off set the costs have the customers pay for it. just make sure the customers know that they have to pay extra for cc payments. try not to take cc non refundable payments.

 

i can't see how people can fight and win acontest of a charge on their cc. especially if they sign the receipt. you have the proof they approved of the payment with their signature on it.

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View Posti think the credit plans are done through the big store or a credit company they deal with. it's not people using their own credit cards. kinda like getting a lowes cc and making payments on a washer/dryer.

 

why not look into being able to offer payment plans or credit? like the big guys have. a credit card machine can not be all that bad. to off set the costs have the customers pay for it. just make sure the customers know that they have to pay extra for cc payments. try not to take cc non refundable payments.

 

i can't see how people can fight and win acontest of a charge on their cc. especially if they sign the receipt. you have the proof they approved of the payment with their signature on it.

 

uyou would think a signed contract would suffice wouldnt you? But I ma here to tell you , it doesnt. Weve fought the fight, and lost. So now we dont accpet a CC for those services. If you ever book and event and wonder why a hall or caterer wont take a CC, thats why.

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View Posti think the credit plans are done through the big store or a credit company they deal with. it's not people using their own credit cards. kinda like getting a lowes cc and making payments on a washer/dryer.

 

why not look into being able to offer payment plans or credit? like the big guys have. a credit card machine can not be all that bad. to off set the costs have the customers pay for it. just make sure the customers know that they have to pay extra for cc payments. try not to take cc non refundable payments.

 

i can't see how people can fight and win acontest of a charge on their cc. especially if they sign the receipt. you have the proof they approved of the payment with their signature on it.

 

 

It does not work that way. You have no experience. Why would you even contradict a business person who states that they have experience?

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View PostI just double checked the paper work they provided me and the emails sent to me. In both sets of info it says that I would be charged a 0.4% fee plus a ten cent fee per transaction. However, I will make a call tomorrow and VERBALLY get the confirmation on this. That would make a HUGE difference. I would not be willing to soak up that kind of hit. Nor would I want to pass those expenses on to a client. Thanks.

 

In fact... here's a cut&paste of the exact wording. Am I misreading this?

 

 

Processing Fee: 0.40% + $.10 cents per transaction

One-Time Application/Set-up Fee: $75.00

Monthly Merchant Statement Fee: $8.00

Annual PCI Compliance Fee (mandated by the Card Associations): $175.00/software OR $55.00 terminal, not billed until your 1st Anniversary

No Annual Membership Fee

No Monthly Minimum Fee

No Batch Transmissions Fee

 

 

i recently went through it because i customer wanted to pay via credit card,

and didnt mind paying the service fee,

large transactions, bonus points or something

i went directly with Amex merchant services

no thrid parties involved,

if you want a terminal, then they refer you to a 3rd party who has additional terminal fee's

i would call amex ask for merchant services,

it was quick and easy, and not costly at all

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View PostIt does not work that way. You have no experience. Why would you even contradict a business person who states that they have experience?

 

 

 

cause this is the internetz, and we can know things we don't

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