Go cardless fees up from feb

[Shammy Davis Senior]

Iv'e been doing my math's and I've worked out my franchisee's are going to be somewhere between £50-£90 a month worse off now.

With the round I clean its about £10-£15 a week so I am probably not going to even worry about my round yet. 

There are literally loads of ways to incorporate this price increase and i think that's the best thing about GoCardless and Cleaner planner sync'd together is that it will enable myself and my guys to literally take £10.20 or £15.20 etc etc. 

I have already started to work out all the math's and drawn up a price increase letter for next year. 

We will now reintroduce the 50p price increase as well as the ONLY reason I got rid of 50p's was down to carrying change and it was easier with whole numbers. Now with GoCardless taking £15.50 is not going to be an issue as its all done for you.

New customers this week have already had 50p added to their prices. 

I've seen some really funny posts though on Facebook and other forums. The chaps panicking over these 20p price increases are also the chaps doing £500 a day. If my franchisees really resent it i will pay the fees myself and just not heat my garage and the Ferrari will have a cover on it. 

Interesting post and highlights the problem of having only one payment method managed by an external supplier that you have no control over. It’s forced you to increase prices solely to meet a price increase forced on you. If I was 100% Gocardless I would probably do the same. 

I dodged a bullet here because a month ago I decided all new customers would be Gocardless only. I’ve immediately changed that. As you rightly say, if you’re a medium size window cleaning business and used Gocardless 100% it would be an additional £5,000 + in costs. I suspect it would be considerably cheaper to sub out a weekly bank reconciliation job to a local self employed admin person now. 

 

[Damo]

Interesting post and highlights the problem of having only one payment method managed by an external supplier that you have no control over. It’s forced you to increase prices solely to meet a price increase forced on you. If I was 100% Gocardless I would probably do the same. 

I dodged a bullet here because a month ago I decided all new customers would be Gocardless only. I’ve immediately changed that. As you rightly say, if you’re a medium size window cleaning business and used Gocardless 100% it would be an additional £5,000 + in costs. I suspect it would be considerably cheaper to sub out a weekly bank reconciliation job to a local self employed admin person now. 

The increase for our side is hundreds a month/ thousands a year but for the customer it’s like 20p every 5 to 6 weeks as we’re not monthly.
 

Im slightly different as I run a franchisee and I’ve sold it as “no collecting” and that appealed to them as getting paid isn’t an issue and it’s regular money dropping in daily.  

 

[RyeCleanLiam]

Have any of you who run 100s of transactions through GC a month looked into the volume based pricing plan? I’m pretty sure if you process a certain amount per month you get cheaper fees.

 

[Shammy Davis Senior]

The increase for our side is hundreds a month/ thousands a year but for the customer it’s like 20p every 5 to 6 weeks as we’re not monthly.
 

Im slightly different as I run a franchisee and I’ve sold it as “no collecting” and that appealed to them as getting paid isn’t an issue and it’s regular money dropping in daily.  

I’ve never collected a single payment in 10 years. My worry would be that there will be further raises. I think it’s pretty inevitable that they will reach PayPal levels. 

 

[Damo]

Have any of you who run 100s of transactions through GC a month looked into the volume based pricing plan? I’m pretty sure if you process a certain amount per month you get cheaper fees.

I’ve looked at around 5 or 6 companies and GC is still the cheapest. I suppose they will eventually catch them up at some point. 
 

I’ve never collected a single payment in 10 years. My worry would be that there will be further raises. I think it’s pretty inevitable that they will reach PayPal levels. 

I don’t think it will reach PP levels as you’re comparing DD versus instant payment. I would imagine PayPal running costs are much more expensive. 

 

[Shammy Davis Senior]

I’ve looked at around 5 or 6 companies and GC is still the cheapest. I suppose they will eventually catch them up at some point. 
 

I don’t think it will reach PP levels as you’re comparing DD versus instant payment. I would imagine PayPal running costs are much more expensive. 

If they did what would you do though? You’d have your entire customer base signed up. 

 

[Damo]

If they did what would you do though? You’d have your entire customer base signed up. 

I would just increase the prices each time, we’re constantly building better work which leads to better productive days. 
 

if it reaches PayPal levels then so be it, I still prefer GC syncd with CP. 
 

 

[Shammy Davis Senior]

I’ve looked at around 5 or 6 companies and GC is still the cheapest. I suppose they will eventually catch them up at some point. 
 

I don’t think it will reach PP levels as you’re comparing DD versus instant payment. I would imagine PayPal running costs are much more expensive. 

If they did what would you do though? You’d have your entire customer base signed up. 

 

[Dave B]

I’ve never collected a single payment in 10 years. My worry would be that there will be further raises. I think it’s pretty inevitable that they will reach PayPal levels. 

That's almost paypal levels anyway.

Paypal is 3.4% plus 20p so not far off

 

[RyeCleanLiam]

That's almost paypal levels anyway.

Paypal is 3.4% plus 20p so not far off

No where near really. GoCardless is 1% plus 20 p. So GC is 2.4% cheaper than PayPal. Over the course of 100s of payments that adds up to quite a big difference.