Square Credit Card

[wahmof3]

Does anybody use Square to accept credit card payments for daycare?

Pros?

Cons?

Do you make the DCP pay the % fee?

Thanks!!

[GretasLittleFriends]

We use it for our Cubscout stuff. I never thought about using it for daycare. I live out in a rural area, so Wifi isn't always easy to come by, so that could be a con. One pro, is that even if people don't have cash, and we don't like to take checks for certain things, it's handy to have the card option. I don't remember what the % is, but we (the cubscout pack) covers it.

I'm not sure it would be something I'd want to use for daycare though. Mostly because of living in such a rural area; though I have a wireless router, I also have satellite internet, which isn't always reliable.

[DaisyMamma]

I wouldnt want to pay the fees. I'm not sure my DCP would want to pay the fees either.
You could ask your DCP what they think, or just add it in to your yearly rate increase

[wahmof3]

The whole fee issue is what is holding me back.

I was just thinking of another means of payment for the parents.

Thanks for the input!!!!!!!

[JenNJ]

I have it available if someone forgets cash or the check. Them paying the percentage is still cheaper than paying the late payment fee. I add $6 for each transaction.

[MissK]

It's 2.75% per swipe I believe. I use it for the jewelry I sell, but havent used it for daycare. The fees would be a tax write off so may help you come the end of the year...

[Crazy8]

I make parents pay the fee if they choose to use it. I accept cash and checks so they have other options. I only have one who uses the credit card regularly though - she doesn't mind the fee.

Square charges 2.75% but you actually have to charge more than that to end up with the right amount. Here is the problem - if weekly tuition is $100 (cause its a simple number to figure percentages, LOL!) and you charge them the 2.75% you are entering in a payment of 102.75. Well square then charges you 2.75% on the 102.75 (not on $100) which is $2.83 - so you are ending up with $99.82 as a payment in your account. I know thats just a few cents but depending on your rate and how many people are using it that could be a lot of money. So I tell parents its a 3% charge to use a credit card and I usually end up with a few cents extra now.

Overall though I'm happy with Square, it works quickly, and it doesn't take very long for the money to get in my account - I thought that might be an issue. The only thing is I require payments on Friday, if I deposit their check by 8pm its available Saturday, if its a Square payment its not usually in my account till Monday. Its not an issue for me but if someone is more of a paycheck to paycheck person and needs their daycare income for that weekend it could be a problem.

[Crazy8]

It's 2.75% per swipe I believe. I use it for the jewelry I sell, but havent used it for daycare. The fees would be a tax write off so may help you come the end of the year...

I just figured out if I had all f/t clients all year I'd be paying out $1,357 in fees. I know it could be a tax write off but for me personally I'd rather have that in my pocket throughout the year (over $100 a month). We already get a hefty tax refund most years so this way works better for me.

[wahmof3]

So are there any "hidden" fees or annual fees??

I thought I read that the only fee is when you charge it.

Since it is free to get and if there are no hidden fees I might go ahead and get it to give the parent another option.

I think I will add it to my newsletter letting them know they have that option

Thanks!!!

[DayCareDiva30]

I have a square reader. I only have 1 dcp that uses it and I have her pay a "transaction fee". The only problem I have it dcm swipes on Friday and the money doesn't post into my account until Monday. Im thinking of having her swipe on Wed or Thur so I have access to the money by the weekend so I can buy supplies for daycare.

For those of you that accept credit card payments what your policy on accepting them?

[Crazy8]

So are there any "hidden" fees or annual fees??

I thought I read that the only fee is when you charge it.

Since it is free to get and if there are no hidden fees I might go ahead and get it to give the parent another option.

I think I will add it to my newsletter letting them know they have that option

Thanks!!!

nope, no other fees! Just the 2.75% per swipe! You can buy the reader in places like Target for $10 but its free online thru square. It definitely doesn't hurt to have it as an option. Like someone else said, its cheaper for a parent to pay the transaction fee than to pay a late fee!

[wahmof3]

I ORDERED IT

Thank you for all of your information!!!

I watched one being used today at a yard sale!!!!

I am excited that I can offer this even if nobody uses it

[shonysefe]

Credit Card Payment

I am a new member here and I just read this thread about making payment through a Credit Card. I am wondering if many childcare providers used this type of payment already. Is it secure for us, as Providers, that we are paid for sure? What if there is no enough money left in the payer's credit card? lovethis

[MotherNature]

I haveit as a backup. I charge parents a flat fee of $5 that covers my service charge for using Paypal or Square.

[MarinaVanessa]

I'm in CA and here we can't add credit or debit card usage fees to our clients or customers. I use square and cover the cost but because I would do it anyway even if not required to just like I cover the $1 per transaction fee the Child Care Pay charges. I just claim it on my taxes.