Table of Contents
In today’s digital era, businesses continually seek efficient ways to manage their finances, especially when it comes to credit card acceptance fees. These fees are one barrier to entry that merchants look at when deciding on how to accept payments. This is especially true for merchants who work with low margin products. Enter the innovative solution by Biller Genie: Compliant Surcharging.
Understanding Compliant Surcharging with Biller Genie
Biller Genie’s Technology Fees feature introduces a Compliant Surcharging option, designed to help businesses offset the costs associated with credit card acceptance. When customers opt to pay via credit card, they are presented with a clear popup that details any additional surcharge linked to the transaction. This ensures full transparency and empowers customers to make informed payment choices. It’s a win-win; customers are kept in the know, and businesses can reduce their processing expenses.
Simply adding a fee to a card transaction is not a good idea as it falls outside of compliance with the rules set by the credit card industry. For example, there are state that do not allow for surcharging fees to be added to a card transaction. Another pitfall is the requirements that the fee is below certain thresholds also set by these governing bodies.
Key Features of Biller Genie:
- Biller Genie ensures that surcharges are not added to debit or prepaid cards by validating the BIN.
- All customer notifications are in line with regulatory requirements.
- Compliant Surcharging is unavailable in CT, MA, ME, and OK, with a fee cap set at 3%.
Implementing Compliant Surcharging: What to Consider
- Limitations: The surcharge is exclusively for credit card transactions and is capped at 3%. Debit and prepaid card transactions are exempt.
- Notification: Businesses must notify their acquirer in line with card brand rules before initiating surcharging.
- Taxation: By default, Biller Genie sets the technology fee item as non-taxable. If businesses adjust this to taxable in their accounting software, Biller Genie will auto-calculate the necessary taxes.
- Customization: The default “Technology Fee” label can be modified in your accounting software to better match your account naming preferences.
Biller Genie Surcharging Checkout Process
- Sync the invoice from your accounting software.
- The displayed invoice mirrors its appearance in the accounting software.
- A “New Invoice” email is dispatched to the customer, with the total reflecting the accounting software’s stated amount.
- The payment summary screen showcases the total card payment amount, possibly inclusive of an extra fee for credit card transactions. Meanwhile, the ACH payment option denotes no additional charges.
- The card checkout screen indicates a potential extra fee for credit card transactions. The ACH checkout, in contrast, displays the invoice’s total without any extra fees.
- A notification popup emerges when customers use a credit card, informing them of the added technology fee. They have the choice to revert to debit card or ACH payments to dodge this fee or continue and accept the technology fee.
- The customer’s emailed payment receipt for card payments will list the technology fee line item, while the ACH payment receipt will only present the invoice total.
FAQs About Biller Genie’s Compliant Surchanging
Will prepaid gift cards incur a technology fee if used for invoice payments?
No, prepaid cards are exempt from the technology fee.
When is the technology fee added to the invoice?
Post a credit card payment, the technology fee is appended to the invoice after the subsequent sync.
Ready to Learn More About Biller Genie?
In conclusion, Biller Genie’s Compliant Surcharging feature is a game-changer for businesses aiming to offset credit card acceptance costs. It not only promotes alternative payment methods but also streamlines financial operations. If you have further queries or seek additional assistance, our support team at Evolve Payment is always here to assist.