Mobile Credit Card Readers
Four years ago I did an article about giving methods in the church. That article looked at tools for taking credit cards, debit cards, automatic withdrawals, and online giving. You can find it on at http://www.wallaceresources.us/givingmethods.html . In this session I want to look at what to do if you don’t take a lot of credit cards but want to look into the opportunity to take some, especially with an easily moving format. In order to make it worthwhile to take the ‘normal’ pathway of receiving credit card you have to be receiving a sufficient amount per month to cover the monthly merchant fees (around $7.95/month) or a required monthly minimum (e.g. $19.95 for intuit if transactions are not sufficient). It may be a better option to pay the higher percentage in order to avoid the monthly fee; at least at the beginning. Then as the monthly receipts from credit cards increases to switch to a more traditional account which has a monthly fee but lower per swipe rates (e.g. 1.58%+transaction fee vs. 2.70% with no transaction fee) or keyed in fees (e.g. 1.36%-2.56%+transaction fee vs. 3.50%+.15¢).
One of the popular options is The Square (https://squareup.com/pricing). While the percentage fees is higher (2.75% for swiped & 3.5%+.15¢). It has no monthly fees or other fees of any kind. I have over the past month set up an account and have seen first hand how it works. The deposits are made into your bank account directly (personal or business) vs. having a set up merchant account, and this usually takes just a day or two. Reviews have said that the card reader can sometime be difficult and I have at times had to swipe it a couple of times to get it to read. However overall it is very easy and convenient to use. You can email or text receipts as well as track transaction details and totals through the online site. You can receive a free card reader and app by signing up online or you can purchase one at many stores (e.g. Target, Walmart) and then be credited $10 when you go online with the code enclosed in the box.
Another option is Intuit’s GoPayment (http://gopayment.com/pricing ). Intuit’s GoPayment has two options for charges: first is a no monthly fee plan with swiped qualifying cards (‘qualified’ cards meaning not corporate, rewards or special) processed at 2.75% and keyed at 3.75%. There are no transaction fees except for American Express and ‘non-qualifying’ cards (‘non-qualified’ cards may have a .15¢ transaction fee added). You receive a free reader with sign up. The other option is to pay $12.75/month and have a swipe rate of 1.75% and keyed rate of 2.75%.
Bank of America in 2012 came out with a mobile card reader that links to your bank account and has a lower swiped rate of 2.5% and a keyed rate of 3.7%+.15¢). There are no transaction fees and you receive a free card reader and app. Also you can receive a free one year subscription to iDeals marketing platform with sign up.