I want to upcharge families who pay with a credit card. How can I pass on the processing fee to these customers?

Jackrabbit does not have a way to automatically add a fee to payments made using a credit card.

If you are thinking about passing on the processing fees to your customers, there are some factors to be aware of and terminology that is important to understand. 

  • Surcharges: making a customer pay more because they are paying with a credit card.
    Surcharges are extremely limited by law in certain states (and some countries), check your local laws first.

  • Convenience fees: when a business charges a customer for the convenience of paying with an alternative method of payment, one that's different from how it normally does business. The fee is charged regardless of the type of payment used.
    While convenience fees are permitted in all states, there are laws that govern when they can be charged. All credit card issuers (Visa, MasterCard, Discover, and American Express) have very specific, and differing, rules for applying convenience fees. Check with the credit card issuer for their particular regulations.
The hours spent applying payments individually to families can cover processing fees for merchant accounts. It is estimated that account collections are reduced by up to 30% as a result of running automatic payments. 

If you have additional questions, reach out to our ePayments specialists for assistance.