Lately, I’ve been debating whether to transition to accepting “only” credit card payments. Here’s why:
Everyone likes easy, simple, and seamless. As a small business owner, that’s generally my goal for my customers in terms of their interactions with us. Paper checks, while traditional, have become increasingly time-consuming. Customers occasionally forget to write them or mail them; they’re prone to being misplaced or destroyed (such as the example which I just received in the mail, along with an apology from the USPS), and mail delays are adding to the frustration with increasing frequency. When payments are delayed, it creates unnecessary back-and-forth communication, disrupting both our own workflow and YOUR schedule.
Credit cards, on the other hand, usually offer a faster, easier, and (I’m told) more secure option. They streamline the process for everyone: payments can be made instantly, customers receive immediate confirmation, and we can focus on delivering great results rather than chasing payments. Many customers specifically get excited about paying with a card so that they can “earn points.” The downside of cards is the transaction fee (3%+). That’s a “cost of doing business” which - if I only accept credit card payments - I’ll need to roll into the cost of each job.
On the other hand, I know from experience that many customers (especially of older generations) don’t feel comfortable using credit cards, and more than a few of our customers only pay with checks.
So, what are the alternatives? Younger folks ask about Venmo. I get some questions about Zelle. PayPal? Etc etc. Each has pros and cons, ranging from transaction limits to mandatory payment “holds.” Most, like credit cards, charge a processing fee.
I don’t know. My ultimate goal is to make the payment process easy and stress-free for everyone involved... including me. Having payments come in from all directions on a half dozen apps isn’t something I’m interested in. Forcing customers to use a payment method that they’re not comfortable with isn’t something I’m interested in.
So, there we are. Nothing is perfect. For now I’ll stick with checks or credit cards.