If Square thinks $49 is the problem then I'm afraid they're looking in the wrong place.
If I might direct management's attention to the 2.75% transaction fee… The device is priced for the small business, the transaction fees are not.
Unless you do a huge volume then expect an average of between 2.5 and 3% no matter who processes your payments. Square is right in line by the time you add up all the recurring monthly/yearly fees charged by traditional payment processors. Been there and done that.
We're the only country without contactless cards. EU, Canada, hell, Mexico is going full tap-and-pay with cards. It's secure but noooo, we have to be 'different' - even though the card readers with ENV chip reader supports tap-and-pay, they refuse to enable it. For some reason dragging the financial processing market into the present day is like pulling teeth in the US of A.
I work in the credit card industry. Tap-to-pay cards are secure compared to shouting your card number at the top of your lungs, but that's about it. Then again, as many as seven companies see your card every time you swipe at a gas pump. The whole industry is held together with baling wire and a prayer.
Swiping is not tap to Pay. I assumed tap to Pay was as secure as say Apple Pay, which uses a 1 time use token which is worthless even if someone else got a hold of it.
If Square thinks $49 is the problem then I'm afraid they're looking in the wrong place.
If I might direct management's attention to the 2.75% transaction fee… The device is priced for the small business, the transaction fees are not.
Unless you do a huge volume then expect an average of between 2.5 and 3% no matter who processes your payments. Square is right in line by the time you add up all the recurring monthly/yearly fees charged by traditional payment processors. Been there and done that.
GG is 100% on the mark.
I do software development and square is awesome. It's worth 3% to get the money into my account immediately. They clear most payments in 24 hours and you can push into your account immediately for an extra 1%. I send more electronic invoices than swipe cards and its perfect. When clients say they are short of money I tell them put it on a credit card. It separates the BS artists from the real clients.
When I looked at opening a business account at Bank of America, they wanted volume commitments, monthly fees on top of percentages, lots of yadda-yadda-yadda conditions and a brick and anchor POS terminal.
I've been using Square since it came out and could not be happier. I haven't opted for the $50 reader yet but probably will soon...
We're the only country without contactless cards. EU, Canada, hell, Mexico is going full tap-and-pay with cards. It's secure but noooo, we have to be 'different' - even though the card readers with ENV chip reader supports tap-and-pay, they refuse to enable it. For some reason dragging the financial processing market into the present day is like pulling teeth in the US of A.
That's likely because people in the US realize companies like Visa, Mastercard, and AMEX exchange a percentage of each transaction to pay for everything related to the transaction itself, including fraud.
It will be a cold day in hell when companies say "Hey, our fraud rates are lower; so let's lower our transaction rates, we shouldn't price gouge customers or business partners." Those days will never exist. Just look at MasterCard. MasterCard *was* a private company for over 35 years. Then, one day Corporate Management thought it'd be a good idea to become a public company and issue stock. But they didn't need to issue stock back in the day when computer hard drives cost as much as a home in today's dollars, and were also the size of washing machines..!
I'm not advocating less-secure technology, what I am trying to explain is that your're paying a credit card "fee", usually 20-30¢ per transaction, plus an amount between 3-5% of the transaction amount. EMV and ApplePay doesn't add value to the transaction for customers or make the price of tea any cheaper.
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I do software development and square is awesome. It's worth 3% to get the money into my account immediately. They clear most payments in 24 hours and you can push into your account immediately for an extra 1%. I send more electronic invoices than swipe cards and its perfect. When clients say they are short of money I tell them put it on a credit card. It separates the BS artists from the real clients.
When I looked at opening a business account at Bank of America, they wanted volume commitments, monthly fees on top of percentages, lots of yadda-yadda-yadda conditions and a brick and anchor POS terminal.
I've been using Square since it came out and could not be happier. I haven't opted for the $50 reader yet but probably will soon...
It will be a cold day in hell when companies say "Hey, our fraud rates are lower; so let's lower our transaction rates, we shouldn't price gouge customers or business partners." Those days will never exist. Just look at MasterCard. MasterCard *was* a private company for over 35 years. Then, one day Corporate Management thought it'd be a good idea to become a public company and issue stock. But they didn't need to issue stock back in the day when computer hard drives cost as much as a home in today's dollars, and were also the size of washing machines..!
I'm not advocating less-secure technology, what I am trying to explain is that your're paying a credit card "fee", usually 20-30¢ per transaction, plus an amount between 3-5% of the transaction amount. EMV and ApplePay doesn't add value to the transaction for customers or make the price of tea any cheaper.