Taking Credit Card Payments

[contractor79]

Paypal would work as a one off, assuming you both have accounts.

but you have to pay a fee to take your money out from paypal, 3% or something

[BlightyBoy]

Why not just get the customer to pop down the bank with aforementioned credit card, make a cash withdrawal and give you that.

Tell them that you don't do credit card transations, merchants fees and all that malarky.

If they don't ask for a VAT invoice, then don't give them one.

I find it hard to imagine that a "normal" client (who would be doing full accounting) would ask to pay for such a small piece of work (as you put it) with a credit card. Is this someone for whom you cleansed their PC, or wrote a bit of custom software for their e-mail or Excel macro or something like that??

[RichardCranium]

WTF! Opportunity like that to shove it straight in your bin and you want to pass it through the books.

I wouldn't either although I would like the opportunity.

In a word (actually three words), VAT.

If the OP charges VAT, is it worth the risk?

If the OP does not charge VAT, it won't look good.


(Yes, I am a big fraidy and yes, I have got SUCKER written across my forehead.)

[xoggoth]

I wouldn't either although I would like the opportunity. Beats me why anyone would want to pay tax given how it is wasted.

[HairyArsedBloke]

Alternatively, would I need to show the fee on my invoice and somehow account for the deduction?

WTF! Opportunity like that to shove it straight in your bin and you want to pass it through the books.

Opps, did I say that. In case Hector is looking. I'd never do such a thing myself. Not that I have any temptation to because I don't earn anything.
That's my story and I'm sticking to it.

[xoggoth]

Minimum is to just tell them that if they want to pay by Paypal they will need to provide an email address, it is all that is needed.

You then log into your account, select request money tab and put in the address and amount. On the next page you can enter an email subject and message that could be a full VAT receipt if you wish so they can see that before they pay.

Paypal is pretty easy, just try it. No charge unless you actually use it. Think it's about 2.5% deduction if you do, so take that into account.

[Limited]

Thanks.
Any ideas how this is accounted for?

If I just invoice the client as normal, but offer them the ability to pay by paypal would they get a receipt for the fee from Paypal?

Alternatively, would I need to show the fee on my invoice and somehow account for the deduction?

[xoggoth]

Agree but it is simpler than that as he does not need to have an account. Just sign up and choose the request money option. The bloke will get an email requesting the amount, he clicks the link and can pay via CC or a Paypal account.

Signing up to Paypal is very easy, you don't need to send off utility bills and get 300 references from Nobel prize winners and all that stuff.

[kaiser78]

Paypal would work as a one off, assuming you both have accounts.

[Limited]

I have a customer that would like to pay for a small piece of work by credit card. Apparently it is easier to sort out at their end as they have quite a complicated process for raising POs.

I can pass on any fees involved so I guess using Paypal or something similar would be ok. Just wondering if anyone's done something similar, how much hassle to set up and any issues with the accounting?

thanks