Let's talk about surcharges, convenience fees, and cash discounts and what is supported for your business to implement. The only one that Vagaro supports is Discount for Cash.
Important
Do NOT use Fees to implement a Discount for Cash as that will cause you to be in violation of Card Brand rules.
Processing fee: The charge to process a payment card transaction - usually something like 3.0% + 15¢ per transaction. Example: If you process a charge for $10.00, the processor deducts $.30 (3%) and then another $.15 and deposits $9.55 to your account.
Surcharge: A Surcharge is a small fee that merchants add to credit card transactions to cover their payment processing costs. (Legal restrictions and Network Rules may apply. Vagaro Merchant Services does not currently support surcharges).
Convenience fee: A fee added to non-face-to-face transactions only for offering an alternate payment channel to the normal payment method. (Not applicable for Vagaro merchants.)
Minimum Transaction Amount: A merchant can set a minimum credit card purchase amount.
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Must post signage at the entrance and the point of sale.
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Only applicable to credit card transactions.
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Cannot be applied to debit card or prepaid card transactions.
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Cannot exceed $10.
Cash Discount: The merchant sets their prices for goods and services to cover their cost to provide the products and services (including the processing fees they incur for payment card transactions). This is the price displayed to the consumer. The merchant can then offer a discount to the consumer for paying with cash.
Vagaro cannot process surcharges or convenience fees through our system, so we do not support using either of those options.
If you wish to specifically pass processing costs on to your customers, your option, at this time, is to offer a discount to your customers at checkout when paying with cash.
To do this, you would consider your total cost of a product or service, including the cost of payment processing, and set your pricing to cover all your costs plus your required profit margin. Then you can offer a discount to a customer paying with cash as you deem appropriate.
If you choose to offer a discount to customers paying with cash, you must post signage at the entrance to your business and at the point of sale indicating that you offer a cash discount.
Vagaro offers the ability to create Preset Discounts that can be applied at checkout. Remember that you must do this for every service, class, and product you sell! Alternatively, use the discount box on the checkout screen to deduct the amount you have determined is appropriate for your business.
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