More and more organizations are realizing the benefits of accepting payments with credit cards. Compared to cheques or wire transfers, it’s an option that can have a real impact on your bottom line because it:
- Demands less administrative resources
- Reduces payment errors
- Provides faster processing speeds
- Significantly improves cash flow
- Increases sales opportunities with those who prefer card payment options
But highly regulated organizations or institutions with mandates to control costs are often unable to offer card payment acceptance due to the fees.
BluePay Canada offers various ways to keep costs low, and in the case of our user-pay model, eliminate them all together. We’ve worked closely with the major credit card companies to develop a payment model that shifts the cost of credit card usage to the cardholder.
User-pay acceptance benefits both parties
An example of this is when a customer making a web payment is asked at the time of checkout to agree to a very minimal ‘Web Payment Fee’ on top of their bill total. This fee is then used to cover the costs of accepting their credit card.
Cardholders are usually willing to pay for the:
- Convenience of card use
- 30-day payment period
- Ability to earn points on their spending
The organizations receive immediate cash flow while meeting the payment option expectations of their customers. And there are no high overhead costs. As these are single process payments, they can be easily completed through a basic hosted webpage.
While this model isn’t suitable for all organizations, we have done user-pay solutions for:
- Educational institutions (private and post-secondary schools)
- Public and private utilities
- Government (municipal, provincial, and federal taxes and fees)
- Property management (rental or condo fees)
Could your heavily regulated, membership or dues-based organization benefit from a user-pay model? Contact us to learn how we can tailor a payment solution for you.