# Anybody use credit card readers?



## EthanB (Sep 28, 2011)

TNTSERVICES said:


> There dispute resolution heavily favors the payer. I have heard to many horror stories about money being deducted after being deposited due to a dispute.


I'm aware of that. I think every processing company behaves in pretty much the same way, no matter what they say.

I grew up in a retail business and operated my own retail store for four years. During that time the businesses ran thousands of cc transactions, totaling millions of dollars, each year through half a dozen different processing companies. They will all deduct funds in the event of a dispute. If your paperwork is in order, they will all return those funds when you prove that you are in the right.


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## 66 Shelby (Jan 11, 2009)

Thanks again for all the info.



EthanB said:


> she was relieved and said that had just had an unexpected expense and would have had to postpone if I did not.


Again, that's my primary reason for getting one - S**t happens :laughing:. Sometimes a couple hundred dollar 'extra' can make or break a couple thousand dollar job. I mainly do repair/small remodel/service jobs now. Good money and less hassle than large projects (for me anyway).

I bought the Square yesterday, but haven't set it up yet. I'm thinking about getting a separate bank account for deposits in case the Square account gets hacked. I don't need my business account getting drained :no:. I'll talk to my tax guy this week about that.


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## JBM (Mar 31, 2011)

Ive ran my plowing business with paypal all winter. My customers love it, the only thing I miss is having an account per customer. Invoices dont forward a previous balance, I would have to edit an older invoice. Nothing a degree in accounting couldnt fix I suppose


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## TxElectrician (May 21, 2008)

No problems with square and I run 3-5k a month thru them. Great for service work and can download the app to your employees phone as well so they can get the $ before they leave.


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## KAP (Feb 19, 2011)

EthanB said:


> Yes I am KAP, the customers explicitly stated that they hired me to do the projects, or added options, at that time because I accept credit cards. You and I have covered this territory before.
> 
> I have two small projects for a customer in March(about $2500) who just emailed me last month to confirm that I did accept cc's. When I replied that I did she was relieved and said that had just had an unexpected expense and would have had to postpone if I did not.
> 
> That's solid enough for me.


You don't have to accept credit cards for your customer to be able to use them... they can get a cash advance on their card or write a check against them (very few CC's don't offer this), and with your cash policy, give them a discount to boot... so you wouldn't have lost the sale if that's *THE *reason they used you...

Educating your customer on how they can still use their credit card AND save money to boot by you not being forced to charge them more to cover bank fees that are not necessary for either of you is a good thing... and doesn't stop a sale...

No reason to just GIVE money to any bank and be an unpaid salesperson for them...


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## TxElectrician (May 21, 2008)

Kap- if you don't want to accept cards fine,don't. Your same theory could be applied to all the big dept stores and restaurants. It works for them and it works for me.


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## KAP (Feb 19, 2011)

TxElectrician said:


> Kap- if you don't want to accept cards fine,don't. Your same theory could be applied to all the big dept stores and restaurants. It works for them and it works for me.


Retail is different than big ticket... I've said before, if you're dealing in small items, that's one thing (hundreds versus thousands), but when you're talking a HUNDRED to THOUSANDS of dollars to give to a bank just be able to say you accept credit cards, especially when you don't need to, you are looking at a GREAT WAY to increase YOUR NET profit as opposed to the banks...

If you can raise your prices enough to accommodate a 2-3% charge just to give to a bank, then I would say you should be able to do the same for YOUR company, especially if you don't have things like capital reserves, emergency fund, retirement accounts, etc... 

If the customer is going to pay either way, every time you pay that fee, you are funding the BANKS capital reserves, emergency fund, retirement accounts, etc... instead of your own...

If I sound "preachy" on this, it's because I constantly hear from and counsel guys in our industry about money issues. They laugh when you talk things like "retirement accounts", health insurance, etc... but then look at you like you are crazy when you want them to charge more to accommodate these expenses... they can't see raising price "especially ion this environment", but for some reason, can easily justify raising their prices to just GIVE IT TO A BANK... especially when they don't have to...

If you are sold on the idea that you HAVE to accept credit cards, you're sold, and most people don't like being "un-sold"...

All I am doing is pointing out that you don't NEED to accept credit cards... there are alternative ways to achieve the same goal using the same credit card while saving your customer money without losing the sale... IMHO, if you lost a sale because you don't accept credit cards, it wasn't sold in the first place...

It's your money, you can do whatever you want with and give to whomever you want (including you and your family)... 

Just realize, you don't HAVE to give it to the banks... they have enough... how about you?


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## TxElectrician (May 21, 2008)

Retail different than big ticket? Wish you would have told my wife that prior to her purchasing the living room furniture.

Paying by cc (and paying the balance when due) allows us the miles to fly out to see our granddaughter without having to pay for a ticket. People have different reasons for wanting to use them. 

No use arguing with you though. Do what works for you and I'll do what works for me.


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## 66 Shelby (Jan 11, 2009)

OK, I'll play along...:laughing:

KAP - You ever get a cash advance on a CC? You get the Vaseline-with-sand treatment. And usually it's just sand. THAT'S educating the customer, IMO. Plus how many people have CC checks just laying around? I do, but it's for an extreme emergency.

TxE - I use my AmEx card to pay for anything I can to rack up SkyMiles (Delta) and know several people who do the same. I just treat it like I'm paying cash and pay the bill in full every month. I've got a _lot_ of miles :clap:

That being said, I'll either give a discount for cash payment or charge extra for CC payment. I think not using all the options available to you is just bad business. The banks aren't there to be your friend. They're there to provide a service and make a profit. Just like...Say...A contractor?


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## 91782 (Sep 6, 2012)

KAP said:


> Educating your customer on how *they can still use their credit card AND save money to boot* by you not being forced to charge them more to cover bank fees that are not necessary for either of you is a good thing... and doesn't stop a sale...


I would like to hear more about this, please.:thumbsup:


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## aptpupil (Jun 12, 2010)

I use square. Last I checked it was 2.9%. Haven't had problems. Pretty easy overall, but I prefer checks because I like to keep my 3%.


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## Bearded Wonder (Jan 21, 2011)

aptpupil said:


> I use square. Last I checked it was 2.9%. Haven't had problems. Pretty easy overall, but I prefer checks because I like to keep my 3%.


Add 3% to all your quotes and give a 2% discount for cash or check.


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## TNTRenovate (Aug 19, 2010)

Bearded Wonder said:


> Add 3% to all your quotes and give a 2% discount for cash or check.


Just add 3% to credit card transaction.


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## Gold Tie (Feb 26, 2008)

TNTSERVICES said:


> Just add 3% to credit card transaction.


Correct me if I am wrong but I believe credit card surcharges are illegal in some states.


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## Gold Tie (Feb 26, 2008)

In the states that it is illegal, I believe it is ok to offer a "cash discount" but illegal to add a credit card fee on top.


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## CQC (Aug 5, 2013)

Gold Tie said:


> In the states that it is illegal, I believe it is ok to offer a "cash discount" but illegal to add a credit card fee on top.


I have heard of this but thought it wasn't an actual law, but the credit card companies wanting to ensure more things are charged. Does anyone have a reliable resource on this to help clarify whether this is fact or fiction.


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## inkuyo (Apr 4, 2010)

Square is what I use but only on a rare occasion. mostly deal with checks, cash or invoicing. I use quickbooks and the ipn.intuit.com netwrok. It adds a link to my invoice and the customer can pay directly from their bank account. If a customer wants to pay by credit card I can turn that on on an individual basis. 

*The IPN bank charge is 50 cents! * 

So that is my preferred collection process. The CC rate is closer to 3.25% I think.


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## Tiger (Nov 21, 2007)

TNTSERVICES said:


> There dispute resolution heavily favors the payer. I have heard to many horror stories about money being deducted after being deposited due to a dispute.


I only accept MC & Visa because I heard that AmEx will side with the homeowner even on a completed contract. I had one dispute (MC or Visa) and the money was not deducted. They only wanted me to fax the invoice. Also Square will increase the monthly maximum if you speak with them when setting it up. I have no maximum and have never had funds held. I've been using Square for over 2 years.

When my customers see me swiping their CC on my phone, many ask about the fees and service. Before Square my merchant service with monthly fees plus percentage totaled 4-5%.


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## Mrmac204 (Dec 27, 2006)

I tried to use my square last night, but it wouldn't go through. I got a message on the screen that said "card not charged" 

They then emailed me the funds so I got paid no problem. 

Can't figure out why the square didn't work. First time using it too.


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## Tiger (Nov 21, 2007)

Mrmac204 said:


> I tried to use my square last night, but it wouldn't go through. I got a message on the screen that said "card not charged"
> 
> They then emailed me the funds so I got paid no problem.
> 
> Can't figure out why the square didn't work. First time using it too.


Card Not Charged is a generic message that means swipe it again. If I had any complaint on Square it would be that I have to swipe it a few times before it reads the card. Seems like you have to do it at the right speed, so try it a little faster or slower when you get that message. I often swipe it facing the wrong way, which doesn't work.

Another quirk is that when you update Square it is good to open it. It doesn't seem to load the update until you open it, so if you wait to open it until you are processing a charge you may wait a couple minutes.


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## Mrmac204 (Dec 27, 2006)

I deleted the app, waited a few hours then downloaded it again.

I then ran my own cc through- it worked! Cost me three cents lol

Thanks for the advise.


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## emeraldstate (Apr 10, 2014)

Square is a bad idea. They are an expensive authorization path. The reader is superfluous for roofing jobs. It is just as easy to type the card number in and process it that way. I use Elavon through Costco and I probably save around 1% compared with Square.


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## Lyle Clark (Nov 6, 2008)

Check out this site for a comparison.
http://credit-card-processing-review.toptenreviews.com/mobile-credit-card-processing/?cmpid=ttr-bnd

Lyle


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## mastersroofing (Apr 16, 2014)

you don't need a card reader, just care processing software. you can type in the credit card number. reason to go that way is these companies that sell small business on cc readers on ipads charge a lot of money for processing. Square charges 2.75% I use Elavon and pay a little less than 2%. 

Chuck
Masters Construction
www.masterswa.com


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## Rent A Painter (May 29, 2010)

I use Square and Pay pal here. I like that square works offline for those customers outside the city. I prefer to use Pay pal here when I have good reception on my cell.


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## madmax718 (Dec 7, 2012)

I use paypal- Im usually never without coverage. The fees suck, but people trust the paypal name, and also feel better that your not copying down their CC number. In reality, there is no difference, but its just a perception thing.


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## heavy_d (Dec 4, 2012)

I have a Square reader. I used it for the first time the other day. I had to swipe the card a few times for it to read it, but it went fine. The customer signs with their finger on my phone, and the payment was put into my bank account the next business day. Didn't read the whole thread, but was probably mentioned already that Square takes 2.75%.


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## FramingPro (Jan 31, 2010)

heavy_d said:


> I have a Square reader. I used it for the first time the other day. I had to swipe the card a few times for it to read it, but it went fine. The customer signs with their finger on my phone, and the payment was put into my bank account the next business day. Didn't read the whole thread, but was probably mentioned already that Square takes 2.75%.


You on your own fully now?


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## heavy_d (Dec 4, 2012)

FramingPro said:


> You on your own fully now?


Yes


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## jb4211 (Jul 13, 2010)

I use FD Mobile Pay from PNC Bank
I can accept right over my cell phone money goes right into my account instantly. It doesn't matter how much: $1.00-$10,000.


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## 66 Shelby (Jan 11, 2009)

Since this thread has been revived, I'll give an update. I've been very pleased with the Square reader. I haven't used it much, maybe 14-15 times, but it has been very useful. I only use it for small transactions (under $300) with the understanding that anything over that amount will incur a 3% 'Convenience Fee'. Plus it makes me feel like I'm projecting a professional image when a client asks if I take CC's and I can say 'Of course we do!'. Nowadays it's so easy to do this type of thing with all the technology available. I couldn't imagine doing this 10-15 years ago.


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## mastersroofing (Apr 16, 2014)

Amazon just announced a competing product to Square and Intuit. They are having a new product special with really low fees.

Chuck
www.masterswa.com


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## rondocap (Jan 30, 2014)

I've been using Intuit, seems to be working fine, no complaints.


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## mastersroofing (Apr 16, 2014)

all these methods will work well but there are hundreds of processing companies that have been around for many years and don't charge nearly what Square and Intuit charge. I use Elavon. Signed up through Costco. 

Chuck
www.masterswa.com


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