Paying rent using a credit card

[Moneyman_85]

Hi,

Just wondering if any people pay their rent using a credit card?

or would do the realestates charge for this?

John.

 

[BayView]

One of our customers is an r/e, and he says they charge 2% extra for CC payments...I assume he means rental.

Would love to put that into place in my business - our customer payments are about 90% CC/eftpos these days.

 

[Scott No Mates]

Agents in NSW must provide at least one free method of paying rent, generally direct credit to the trust account. If you elect to use your credit card, then you also agree to pay whatever fee they charge for the credit card service.

 

[Bigtone]

One of our customers is an r/e, and he says they charge 2% extra for CC payments...I assume he means rental.

Would love to put that into place in my business - our customer payments are about 90% CC/eftpos these days.

how much does it cost you for a customer to pay on eftpos?

 

[BayView]

how much does it cost you for a customer to pay on eftpos?

Eftpos is .15%.

Visa/Mastercard is .73% of each transaction total, plus the usual fees and charges and equipment rent.

 

[buzzlightyear]

Eftpos is .15%.

Visa/Mastercard is .73% of each transaction total, plus the usual fees and charges and equipment rent.

How quickly does it take for the money to hit your account?

 

[geoffw]

Would love to put that into place in my business - our customer payments are about 90% CC/eftpos these days.

There's nothing to stop you- except the risk of losing customers.

I used to charge 20c for transactions under $10. Some cc payments were a fixed charge and some were a percentage. It saved me having to impose a minimum transaction. Customers were happy about this- they could sometimes buy things they wouldn't otherwise. I'd probably acccept Amex if I charged extra.

My daughter once spent $9.95 at another outlet in the same chain. They refused to take her cc because it was under $10. She walked away and left the food. That's not a good way of doing business.

 

[Sim]

Our agent uses the DEFT payment system for managing direct rent payments - they have the option of paying via credit card (VISA/MC), but do add a surcharge for it.

 

[BayView]

How quickly does it take for the money to hit your account?

overnight.

There's nothing to stop you- except the risk of losing customers.

That's the trick, isn't it? I reckon it will slowly filter into more and more businesses, because costs keep going up, but the ability to pass it on is not that free and easy.

I used to charge 20c for transactions under $10. Some cc payments were a fixed charge and some were a percentage. It saved me having to impose a minimum transaction. Customers were happy about this- they could sometimes buy things they wouldn't otherwise. I'd probably acccept Amex if I charged extra.

Sign of the times; noone carries much cash.

We don't sell much under $10 at all, but I've seen a few recent transactions (brake light bulb change for example - $5) where folks have pulled out a card. WTF?

My daughter once spent $9.95 at another outlet in the same chain. They refused to take her cc because it was under $10. She walked away and left the food. That's not a good way of doing business.

Yes; $9.95 is pretty much ten bucks, so they should have taken that purchase - maybe the staff haven't got the autonomy to make the call, but geez....

 

[dilberto]

We don't sell much under $10 at all, but I've seen a few recent transactions (brake light bulb change for example - $5) where folks have pulled out a card. WTF?

Were they under 30? I can't remember the last time I actually paid for something in cash - just checked my wallet, $0 cash in it. Cards are just easier and don't have to muck around with useless coins.

 

[cimbom]

Were they under 30? I can't remember the last time I actually paid for something in cash - just checked my wallet, $0 cash in it. Cards are just easier and don't have to muck around with useless coins.

I'm the same. The most I have at any one time is $10-20 and that's rare

 

[jrc77]

I like cards so that it is then itemized on a statement I can download at the end of the month. Makes it easier to keep track of spending.

Also use the reward points

Jason

 

[fokas]

We don't sell much under $10 at all, but I've seen a few recent transactions (brake light bulb change for example - $5) where folks have pulled out a card. WTF?

I can top that: About 5 years ago I was working for a kids holiday camp with kids aged from 7-15 and at morning tea time a little Asian kid who looked like he was about 8 offered up a bank card to pay for his snacks. Don't remember now if it was a credit card or debit card, but seriously. Why?!

 

[fokas]

My daughter once spent $9.95 at another outlet in the same chain. They refused to take her cc because it was under $10. She walked away and left the food. That's not a good way of doing business.

What about businesses who don't have card payment facilities? Tried to see an osteopath located in Surry Hills, NSW.. they processed Hicaps but only accepted cash or cheque... crazy business model!

 

[Sim]

We don't sell much under $10 at all, but I've seen a few recent transactions (brake light bulb change for example - $5) where folks have pulled out a card. WTF?

Especially with debit cards and pay-wave, using a card for small transactions is becoming very common.

I was surprised when travelling in the US that there was never any minimum limit for credit card usage ... but more and more I'm finding companies here accepting cards for any amount.

Coles, Woolworths, most chemists, 7-Eleven, McDonalds, KFC, Subway, my local fish & chip shop, local mini-mart ... they all accept card transactions with no minimum. Another take-away shop nearby recently dropped their minimum transaction amount to $10 and several others in the area have a $5 minimum.

Actually solves a problem of needing to keep large amounts of small change available for the till if more and more people start using cards - and paywave makes it much faster than waiting for the person behind the till to punch in how much cash you gave them so the system can tell them how much change to give

I even discovered that my Amex charge card has a pay-wave type symbol on the back and Coles will accept it (no other vendor I've tried yet accepts the Amex card using that system though).

 

[Sim]

Hicaps but only accepted cash or cheque... crazy business model!

Hicaps without a credit card? Sounds a bit pointless to me!

 

[geoffw]

What about businesses who don't have card payment facilities?

I've seen fellow business owners who have resisted credit cards because of the cut they take. I think it's very short sighted. I always saw it as a way of ensuring people came into my business, and when they did, spent perhaps a little more. For instance, you might decide that next time you go to another osteopath because it's too inconveeient to pay cash. Eventually the franchisor insisted on credit card facilities being made available.

The times when credit card facilities became unavailable, due to problems with banks, phones or the machine, caused chaos.

 

[Snoopy]

There's nothing to stop you- except the risk of losing customers.

I used to charge 20c for transactions under $10. Some cc payments were a fixed charge and some were a percentage. It saved me having to impose a minimum transaction. Customers were happy about this- they could sometimes buy things they wouldn't otherwise. I'd probably acccept Amex if I charged extra.

My daughter once spent $9.95 at another outlet in the same chain. They refused to take her cc because it was under $10. She walked away and left the food. That's not a good way of doing business.

i got this a couple of times; i buy lunch and once in a while i have no cash on me and the lunch is $9.90. Usually as i am a regular there is no hassle but once an employee told me of the $10 minimum and i just asked to be charged $10. I go there less now.......

 

[Future Assist]

Thats interesting. Yeah there is a few private, smaller rental managers that we know if that offer cc facility for paying rent. Mostly in Victoria.
Makes sense if you could. $20k per annum on a card with rewards would be... well... rewarding

 

[gottabespotless]

I work for a major retailer. Usually, the people who pay with cash are old people and tradie types . I foresee a time in the not too distant future when cash will no longer exist - I look forward to it, actually. Gets rid of a lot of problems.

Paywave makes paying smaller amounts with a card almost instant - the disgruntled moans and sighs from people waiting in line behind those paying with a card are no longer justified (customers who take forever to scratch around for $48.85 in gold and silver coins are far more common and waste the time of others waiting ). Those who are amazed by people paying for their $2.50 soft drink or their $2 newspaper with a card are living in the past.

I never have cash on me, ever. All our income gets deposited directly into our bank accounts so we never actually 'touch' it - and we don't line up at the post office or local council chambers, etc with the pensioners to pay our bills as we use internet banking so we very rarely need cash on us.

I don't shop at places where there is a minimum purchase price (I leave the items and walk out, just like Geoff's daughter) or who don't provide eftpos facilities - these businesses have their heads in the sand and need to accept the times.

Paying rent with a credit card is a great idea - excellent for accumulating points. Just have to follow the usual old rules with a credit card and be disciplined enough to pay it off in full at the end of the interest-free period.