How much of your day is squandered on managing payments?
Collecting payments, processing payments, dealing with fees on payments… getting paid can be a nightmare.
Imagine if a Fortune 500 company spent time chasing payments.
(Hint: they don’t)
Why? Because they collect payments automatically, using technology like bank payments.
It’s time to get on board. Here’s 7 ways bank payments can revolutionize your payment collection – just like the Fortune 500.
Bank Payments Are Faster Than Cheques
We don’t recommend trying this. Ever.
Cheques are slow. You have to:
- Wait for your customer to get the cheque to you
- Make sure the cheque is filled out correctly
- Take the cheque to the bank (and wait in line)
- Think about all the places you’d rather be than the bank
- Finish the deposit, and drive back
That’s too many steps to get paid. With bank payments, you can skip the waiting and just get paid. Once you get permission and account details from your customer, you can schedule transactions and get paid.
Bank Payments Are Cheaper Than Credit Cards
Credit cards are great for some things. Recurring payments isn’t one of them. Not only do you pay monthly processing fees on credit cards, you can pay transaction fees upward of 3%. That eats into your profits, leaving less on your bottom line (which is the last thing you need).
Bank payments are the cheaper option. While credit card processors take monthly fees and processing fees, most pre-authorized debit processors skip the transaction fees. Shop around for bank payment processors with the best rates, and you’ll be laughing at credit card fees.
Bank Payments Are Easier Than Cash
I don’t have anything against cash. In fact, it’s useful to carry cash! But when it comes to recurring payments, bank payments are a better option. Here’s how accepting cash usually goes:
- You wait for your customer to drop off payment
- The customer drops off the cash, which you have to put somewhere safe
- After (more) waiting for other customer’s payments, you put the cash in an envelope
- You drive to the bank, carrying enough cash to make you nervous
- More waiting, this time in the bank line
- Think about how much your current situation sucks
- Finally finish the deposit, curse your existence
Just like cheques, there’s too many steps to get your money into your account.
Since bank payments go from your customer’s bank to your bank, you can banish the word “waiting” from your vocabulary. No bank lines, no driving, no worries.
Bank Payments Slash Your Paperwork
This is certainly how we feel about paperwork
Did you know the average office worker uses 10,000 sheets of paper per year? That’s a whole lot of wasted trees. It’s not just about the environment, though. Paperwork takes time, energy, and resources to manage (not to mention money).
The less paperwork you process, the more efficient and cost-effective you can be. Bank payments can be processed with zero paperwork. That lets you save the environment, and save your money at the same time. How often can you do that?
Bank Payments Reduce Unpaid Invoices
Your customers are busy people, and sometimes they forget to pay. It happens – but not with bank payments.
Payments can be scheduled in advance, and are withdrawn automatically. Your customer doesn’t have to worry about remembering to pay, and you don’t have to worry about getting paid.
Isn’t it awesome when you can provide better service to your customer, while alsomaking things easier for yourself? Yeah, I thought so too.
Bank Payments Make Bookkeeping Easier
You don’t even need to be an accountant to use pre-authorized debits
Computers have improved all aspects of business, and bookkeeping is one of them! In fact, we have a blog post here that talks about digital bookkeeping.
But if you have digital bookkeeping, why would you still want to wrestle overflowing filing cabinets and boxes?
With bank payments, your payment records are digital. Recording, tracking, and managing payments becomes a snap when you combine them with accounting software. Plus, come tax time, all the records you need are just a few clicks away.
Bank Payments Free Your Time
One of the greatest benefits of using bank payments is that it frees up your time. Since time is the greatest commodity, I’d say that’s a pretty sweet deal.
I can hear the question now – “How does it really save me time?”
Here’s a story about one of our customers…
A little while back, I chatted with someone who was interested in automated payment collection. They had a successful restaurant, and franchised several locations. This meant they had to collect franchise fees.
Turned out this person was spending almost a full day every week collecting the cheques for franchise fees. Talk about a waste of time! They wanted to grow the business, not drive around picking up pieces of paper.
Bank payments ended up being the perfect fit. Automating their payment collection gave them back the time lost, so they could focus on continuing to grow.
Think about how much time you spend simply collecting payments. What else could you do with those hours?
Wrapping It Up
If you ever catch me dancing… this is how it looks
Bank payments aren’t just about getting paid.
They’re about getting paid in a way that’s easier, more secure, and more convenient than traditional payment methods.
As always, if you have any questions, comments, or hate mail please contact us here!
(But please don’t send hate mail. It’s hurtful.)