Eliminating Credit Card Processing Fees with Service Providers Like Pay. cc
The concept of paying through credit and debit cards has grown quite popular for the last couple of years. Many people now prefer to pay through these modes because of the convenience it offers. They don’t have to carry cash around all the time and save themselves from losing money due to theft.
This also means that consumers would give preference to those businesses that accept credit and debit card payments. As a small business owner, accepting card payments means that you have to bear the burden of the processing fee. This means that you would get less money for your efforts.
Therefore, you would want to get rid of the credit card processing fees. Well, there is a possible way to do so through a reliable service provider like Pay. cc. Continue reading this article to learn more about it.
Why Does Getting Rid of the Credit Card Processing Fees Matter?
The credit card processing fees can range from anywhere between 1.5% to 2.9% mark. These are usually the processing fee rates for the top four credit card networks Mastercard, American Express, Discover, or Visa.
While it might sound like a nominal percentage, the processing can quickly add up and become a huge amount. Plus the process for calculating the credit card processing fees is also quite complex. This is because there are multiple factors that come into play since the processing fees will comprise:
- Transaction fee that is determined each time you run a transaction
- Scheduled fees with flat-rate pricing
So, if you don’t go through a reputable and trusted merchant services provider, such as Pay.cc, then you would have to pay the credit card processing fees of around 2.9% for every transaction. This is why you need to eliminate the credit card processing fees.
Can You Reduce the Credit Card Processing Fees?
Now that you know how credit card processing fees can cost your business, you might want to know how to get rid of it. Well, there are a few ways that you can try out to bring down the credit card processing fees for your business. One of the best ways is the surcharge program.
It is an optimal way to avoid credit card fees while providing the customer’s convenience to pay through their cards. The surcharge program would allow the customers to pay for the credit card processing if they choose to pay through modes of payment other than cash or debit card.
Let’s take an example to give you a better: The customer at your store made a purchase for $10. For that particular transaction, your business would have to pay a transaction fee of $0.29 with a 2.9%. So, what your business would get from the transaction would be around $9.71.
However, the surcharge program gives customers the option to pay for their purchases with the credit card processing fee. This means that they would have to pay $10.29 for the transaction. As a result, the business would be able to get the complete $10 for the transaction.
How Can Saving Up Cash From Credit Card Processing Fees Benefit Your Business?
With the surcharge program, you can save up a good amount of money for your business that would have otherwise gone towards credit card processing fees. But it is highly important that you use this money wisely to generate future leads for your business.
You can save up the money going towards processing fees and then reinvest in your business. It would allow you to explore other avenues for your business that you were once unable to do because of lack of funds. Below are some ideas that you can try to use the hard-earned money for your business:
- Update the current technology or bring new equipment for your business
- Reward your employees for their hard work to reduce labor turnover
- Get a new employee on board to increase productivity and efficiency
- Consider expanding your business by opening a second location
You might think all these things would require a huge investment. But you can try out all these things by just saving your credit card processing fees each year. If you are not sure just how much you are spending on credit card processing fees, then get in touch with your high risk payment processing provider.
Giving a significant portion of your earnings towards credit card processing isn’t a wise move. Many small businesses are already operating on very tiny margins. So, these fees could take a huge chunk of their revenues, leading to long-term issues, such as complete closure. Nonetheless, you should take advantage of the surcharge program to save money for your business. You can check out various reliable credit card processors, such as Pay.cc, that can help you out with it.