charge for online payment?

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xoxoxo

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just wondering if it is the norm to charge the customer for online payments by debit and credit card. I have come across some agents charging a fee for credit cards but not debit cards.

my childrens school has an electronic payment system and we have to pay everything electronically - even bills of €10 for example. they charge a fee of €1.25 per debt card transaction and €1.44 for a credit card transaction.
seems very steep to me? any opinions please?
 
my kids school is the same

most businesses factor this into the selling cost (so they just charge you 11.25 instead of 10) as this is what paypal, stripe, braintree etc charge to the business for processing the transaction

I can see why schools have gone online, as cash handling is time-consuming and risky, but it is costly to the parents alright. Not sure what the alternative is?
 
absolutely it makes sense and much easier for the school (and parents!) just amazed at the cost per transaction esp for debit cards. primary school did not charge for either but used paypal, but as you suggested, prob factored this into account into the cost. Banks must be making a fortune. they made €184 from that year alone paying €10 per child if each parent paid by credit card!
 
That sounds outrageous. As an alternative, can you and other parents club together and buy pencils, notebooks, pens, geometry sets, rulers, art materials, diaries, tape and other consumables from ALDI/LIDL/Easons/Viking in bulk to avoid delivery charges and transaction charges?
 
A4 paper, inkjet cartridges, USB sticks, cables, calculators etc also come to mind.
 
Thanks Mathepac -the cost is not for stationary but for things like school retreat, tour, 'extras' etc. So unfortunately, sourcing elsewhere is not an issue. Wouldn't mind but this school has a 'voluntary' contribution of €600 a year per child and they are charging so much for online payment. Son's school has online payment but no charge.
 
Hi - is a direct Electronic Funds Transfer from your bank a/c to the schools bank a/c an option at all? Should be no or minimal charges. U would just put your name as a ref on the transfer so the school knows it comes from you? It's how i pay some of my bills (ESB, gas) and other ad-hoc payments.
 
I do the same Dave re: electronic transfer and it's great. I think for the school electronic payment have the dual issues of receiving payments but also keeping w two on who has/has not paid so that is why they have an system whereby you have your own account with the school and then pay electronically.

I know my sons school uses PayPal and there is nocost passed on directly to the parent. Is there security issues with PayPal? Can't imagine the costs being any higher than they are.
 
stephnyc said:
most businesses factor this into the selling cost (so they just charge you 11.25 instead of 10) as this is what paypal, stripe, braintree etc charge to the business for processing the transaction
Click to expand...

Really? Paypal etc charge retailers €1.25 on a €10 euro transaction? Source? I would think that the OP's experience is nothing more than one of being be ripped off by the school !
 
@demoivre - Paypal (or one of the others) do charge, and that is passed on to the buyer - different rates are negotiated by different businesses. I did try to find the cost online, but no surprise that it is not at all transparent.

If your point is that it probably isnt a rate of 12.5%, that's fair enough (I am personally involved in a charity who have a 2.4% rate + 35c) - but the 'easy payments plus' crowd who handle the transactions for our school likely add their cost - and provide the reports of who has paid/who hasnt and all those lovely management features. Maybe there is a kickback to the school, if that's what youre implying?

I cant think of any easier way to handle multiple payments for hundreds of pupils - though I do think there maybe room to negotiate on the cost.
 
Stephnyc - it is easy payments plus that my kids school have too! so there must be an option for the school to include the charge or have it as extra for transparency purposes. I wonder is the charge negotiable?
if it was included I would not be aware of the cost and it would not make me so angry!
 
Hi Xoxoxo - the only other thing I can suggest and u have probably already considered this is to make less frequent but larger payments - so instead of 5 payments x €10 .. make one of €50. Depending on when u make the payments this may result in paying some bills in arrears .... or you could prepay maybe?
 
all the bills come in drips and drabs 9and always afraid I will be the bold mum who will forget!) but prepayment is an option - good idea - they are there for 6 years so no issue spending it! thanks for the suggestion - will look into.
 
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