What You Don’t Know About Account Funding Could Be Costing You Thousands of Dollars in Fees

What You Don’t Know About Account Funding Could Be Costing You Thousands of Dollars in Fees

AccountFundingCosts_10.29.14By Erin Calkins Encouraging your customers to actively use and fund their market accounts using MyMarketAccount.com could save you money. Here are a few numbers on the transaction types. • 51% of MicroMarket purchases are made with a stored value account • 2% of transactions are made with cash (on a change-dispensing unit) Which means that 47% of your transactions are costing you a per-swipe credit card fee for each individual small-ticket purchase. You don't have to settle for paying a per swipe fee on every other $1.00 bottle of water.  By encouraging customers to create and fund stored value accounts, you can raise your average credit card transaction amount, and lower your blended credit card rate. Let’s look at the numbers

• Average credit card purchases (not including funding): $2.72

• Average credit card funding at kiosk: $10.45

That's nearly 4 times higher! In turn, that means that you pay 1 fee that covers 4 of their lunch breaks, rather than paying a fee at each break separately, at a higher total cost to your business. How do you encourage your customers to create an account, when it's just as convenient for them to pay by charge?  Engage them. There are two great ways to encourage your customers to use and fund their accounts, and they're both available on MyMarketAccount.com. Next Page

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