Cut your banking costs

PayPal card reader

PayPal card reader plugs into your mobile phone

I was amazed when a flyer for PayPal fell out of my latest copy of Podiatry Now.

Generally any advertising within these trade magazines is pretty niche. But PayPal must know what they are doing, as they are promoting their new bank, and their new App plus card reader and their new cheaper way to collect card payments. The card reader plugs into your mobile phone, and you can then insert (or even contactless tap) the card.

At the foot clinic I took card payments for several years. I had found that patients just didn’t bring their cheque book anymore, and occasionally they didn’t have enough cash on them. (They always did pay, bless them , but they would need to go off to the ATM and come back and by then I had the next patient etc. etc.) So, I started to take card payments and found it very useful, customers could pay easily and they bought extras more often. But it wasn’t cheap, I paid for the terminal, around £25.00 per month and a proportion of each payment.

But PayPal’s offering means you purchase the card reader with a one-off payment

and then pay a proportion (probably slightly higher) of each payment. They are not the only ones doing this, World Pay and Barclays have certainly got card reader plus Apps, and I expect all the banks will start to provide the same service. It is a huge improvement for small businesses like yours and mine. Banks are not particularly helpful to us as we don’t generate huge numbers of transactions or put millions through.

So if you are about to start a new clinic it’s certainly worth shopping around, and if you haven’t taken card payments before now might the time.

If you are already taking card payments this will be a cheaper option but check your contract. Rather like TalkTalk contracts you might find you need to complete the term of the contract – usually a full year – or pay the monthly fees up to the end. I wonder how quickly the banks will respond and lower the rental and costs of their current service?
Does it work? Yes, take a look at my previous blog;  where I expounded the benefits of these gadgets plus Apps as an alternative to using your own bank and/or companies like CardSave. I used it to make a purchase in the middle of the jungle. If your mobile gets a signal – it works.