Has anyone done a comparison of what is the recomended, best and lowest price Merchant Processing Companies exist, out in the marketplace. I currently use Square but the fees are too high for debit cards - the majority of my rental income.
Hey @Randall Turner I wonder if you would see benefits with a surcharging strategy? I know of a company that does this. If fees are your problem surcharging allows one to pass some of this expense down to the customer for the abilty to use their card.
If you are accepting cards, those fees should be passed on to the customer. Instead of calculating the fee on every charge, you could just set a default percentage that covers all fees. For example, if square charges 2.75 - 3.5% depending on how the customer pays, just charge a default 3.5% for all card transactions and you'll know it's covered.
Do multifamily owners typically charge for CC and debit card charges to their tenants?
You local bank has a lot better rates and they have apps too.
Utilizing a property management software that has that feature built in is a bonus. It allows you to charge the tenants directly, which we do not pay, and they will pay. We do get questions about it sometimes for charges associated with a debit card, but we do take ACH as well, so they can enter their bank information to avoid any charges if they choose.