Using Monzo everywhere: improving merchant acceptance

(Peter Shillito) #246

3-4% taken off each sale, sometimes including a static fee? I don’t blame some retailers for not wanting to absorb that to be honest.

(Jonathon) #247

She might not have known, to be fair. I think small independent traders aren’t business savvy all the time, and just see an extra charge and try to add it so they don’t lose out.

To be honest, I have less of an issue with small traders like this trying not to lose out at all with card payments. I’ll usually happily pay the extra (of course, in this case she was also charging higher, which I don’t like!).

(Kolok) #248

Credit cards cost us merchants more than debit cards usually by a significant amount

Credit card transactions would usually be around double or triple a debit card transactions

(Jonathon) #249

This is shocking. Why is this? I always thought that Visa have a fee and that’s regardless of whether it’s credit or debit.

Almost feel like there should be a maximum fee chargeable, and then Visa/MasterCard/American Express can fight among themselves to offer the best service for customers and companies.

(Valeri) #250

I believe the acquirer/card machine provider has a lot to do with bumping up those fees to ridiculous levels… and then again it is down to the merchants to shop around and ensure they are using the best provider. I think izettle for instance changes the same fee (1.75%) regardless of debit, credit or network (and thus Amex, JCB and UnionPay acceptance is gaining traction) (even tough I really hate them self-advertising in the transaction name).

(Kolok) #251

For sure it’s the merchant acquirers, but izettle price is so high so that’s why they can do one fee for all cards.
Whilst people negotiate for regular debit and credit transactions they jack up the price of more niche cards for example we pay 0.3%+5p per debit card but for a prepay card like Revolut it’s 1.1%
I believe we’re highjacking this thread

(Peter Shillito) #252

Going back to the main topic, since I’ve been using Apple Pay almost consistently since it launched, I’ve not had anyone reject the card in meatspace as they don’t even see the card (especially when I use my watch half covered by a sleeve).

ATMs still show “card issuer may charge” messages, latest one is Natwest in Nantwich.

(If there's the wrong end of a stick, you'll find me holding it.) #253

Monzo could prevent this by printing the sort code and bank account number on the card tbf.

(Jonathon) #254

Surely the “Debit” logo is sufficient?

(Peter Shillito) #255

You’ve reminded me that I’ve seen a few places online make reference to the account and sort code being “on the front of your card” like it’s a common thing. AFAIK only Halifax do this? NatWest certainly didn’t.

(Nathan Steer) #256

The majority of the high street banks have the account number and sort code on the front of the card as I recall.

(Jonathon) #257

NatWest have the sort code that’s all.

(Peter Shillito) #258

Huh. My NatWest card had neither :thinking:

(Jonathon) #259

Mine has the sort code, I have it right now!

(If there's the wrong end of a stick, you'll find me holding it.) #260

It might be, but the pre-paid card has the Debit logo :man_shrugging:

(Allie) #261

It isn’t that. PayPal doesn’t cost her nearly the amount she wanted to charge.

And it’s the interesting flip side of acceptance. Acceptance is a few things:

  • It has to technically work
  • It has to be allowed by the merchant (see easyJet and BA bans)
  • It has to be accepted without fees, protest, forced DCC or other scams

(If there's the wrong end of a stick, you'll find me holding it.) #262

Now you’ve made me look through my debit card collection :rage: not really angry

Santander, TSB, and Nationwide are all sort code and account number positive.

(Jonathon) #263

Well I mentioned that the fees being higher isn’t OK - what I meant was if a market trader has a fee of £X for anyone paying by card, for the most part I’m happy to cover that amount to keep them in business rather than lose that in fees.

(Allie) #264

How would you feel if they charged you an electricity fee? A labour fee? A rent fee? These are all costs of doing business. In many cases cards are cheaper to take than cash!

These rip off fees are not only criminal, they constitute non-acceptance from a practical perspective. I won’t use my card somewhere with these fees (I’ll just walk off, I don’t pay cash either to criminals, and remember… They are criminals).

(Jonathon) #265

I suppose to me, personally, those costs happen whether they accept card or not. For me, a smaller independent trader has to absorb costs that are easier for a larger company to do, and card transactions are one of those. I would rather they accept card and I pay extra than they don’t and I have to get cash out.

It’s a purely personal thing. There are enough barriers to small businesses without adding any on.

And I’m aware they are not legal in some sense now, I’m not advocating that traders break the law, I’m merely saying I personally had no issue with covering the exact cost myself, which many places I have done in the past.