Deposit Fee's?

[BFrisbie]

Hello!

   If I collect a deposit via C.C online, will I be charged a fee twice upon collecting the invoice balance with same online C.C payment?

[Donnie-M]

@BFrisbie The deposit and then the actual payment would be 2 separate transactions.  Unfortunately, this would be like 2 card swipes.  The % fee is the same and doesn't cost you anymore, but I think you pay .30c on each one of them.  I think this is well worth the ability to collect a credit card deposit on a transaction.

[BFrisbie]

Hey! Thank you kindly for the insight!

[londontea]

Hi @BFrisbie! This is a "no, but" question and I hope I can offer some clarification! 

No, you will not be charged a fee on the invoice total when the balance is collected. However, you will be charged a fee on this invoice twice, but only on the amount collected when the deposit is paid and when the balance is paid. 

For example, if the invoice is for $1000 and you're collecting a deposit of $100 up front then the fee will be $3.20 ($100 x 0.029 + $0.30*) for the deposit payment, while a second fee of $26.40 ($900 x 0.029 + $0.30) will be applied when the balance is paid. 

You would save about $0.30 (because it's a fixed fee for each transaction) if the invoice was paid in a single transaction, but for most businesses that's not enough to outweigh the convenience of collecting a deposit. 

*The fee for invoices is 2.9% + $0.30.