Can the Afterpay merchant fee be reduced to the standard square fee?

[BTB-Sean]

The 6% + 0.30 au is far too high for me as a merchant to be able to offer Afterpay as a service to my potential customers. The industry I am in is extremely competitive and I simply don't have enough margin to make a 6% charge feasible. 

Is there anyway to encourage Square to reconsider this high fee and reduce it to the typical Square transaction fee? 

[Laurie_]

Hi @BTB-Sean, thanks for reaching out to us with your query.

We can certainly appreciate it's vital to keep your overhead business costs as low as possible. While we hear where you are coming from here, we don't expect the Afterpay fee to change in the near future.

The reason for this is that this fee is the standard buy now, pay later (BNPL) rate and supersedes any other pricing agreements across Square products. Afterpay rates are fixed and do not vary by subscription type, hardware, or custom pricing.

If you are finding the majority of your customer base is making payments with Afterpay, the best practice long-term would be to work these costs into your item and service pricing.

Let us know if you have any further questions about Afterpay at this time.

[BTB-Sean]

Thanks for the reply Laurie

Unfortunately the industry I am in is extremely competitive and if I made a store wide increase of more than 6% I would almost certainly lose customers. An alternative would be to have the square fee charged to the afterpay customer, however this is in violation of the service policy.

As a result I have no choice but to drop afterpay all together. It is a shame as I am sure there will be customers who would like to use the service, but things are difficult enough for small business these constant service fees nickel and diming us to death make it almost impossible to get anywhere. I am really disappointed.