[CoachKandSportsguy]

Originally Posted by OrangeBlossomBaby

Convenience fee is not what the credit card company charges to the utility company. It's an added bit of revenue. Credit card companies usually charge between .3 and .9% of the transaction price, and that amount is usually absorbed into the "cost of doing business." So for instance - a $100 electric company bill would cost the electric company +/- 30-90 cents to process with the credit card company. If they're charging $3.50 then they're charging you $2.50 penalty for not paying by check or in cash.

I wonder what their fee would be if everyone decided to pay in bitcoin.

I think you are off on the decimals. . try about 3-9%

[Shipping up to Boston]

Originally Posted by Pairadocs

Much like the various ticket outlets on line and their horrendous "convenience" fees. That's a very accurate term for it because it IS very convenient for them, exactly like TV, internet, mobile, etc. providers; once they get all the federal and local taxes added, they continue the bill with various frivolous "fees" (delivery fee, didn't most of you think you were paying for "delivery" of the service you contracted for in the actual bill amount ? ) that are ALL very convenient, for someone, but certainly not convenient for the customer ! I often wonder if most people would be dumbfounded if they ever realized the true total percentage of taxes they pay. Most think of retail taxes on purchases, federal income taxes, and perhaps, gasoline taxes. But if individuals would keep track of every cent of taxes they pay in just 6 months, I think most would be absolutely shocked !

Spot on. That was my original point. If you add all of this up, it’s significant.

[Bill14564]

Originally Posted by retiredguy123

That is how I pay Leesburg Electric now. I transfer money directly from my bank account to Leesburg Electric. But the original post seems to indicate that it may now cost a one dollar fee to pay that way. It is an ACH transfer.

I wonder of it matters where the ACH is initiated. If a customer asks Leesburg Electric to pull funds from the bank then Leesburg Electric initiates the transfer and charges a fee. If the customer asks their bank to push the money to Leesburg Electric then the bank initiates the transfer. Perhaps the ACH fee is paid by the side that initiates the transfer and the bank waives the fee for its account holders.

[retiredguy123]

Originally Posted by Bill14564

I wonder of it matters where the ACH is initiated. If a customer asks Leesburg Electric to pull funds from the bank then Leesburg Electric initiates the transfer and charges a fee. If the customer asks their bank to push the money to Leesburg Electric then the bank initiates the transfer. Perhaps the ACH fee is paid by the side that initiates the transfer and the bank waives the fee for its account holders.

I think that may be correct. I still don't pay a fee to pay my water bill using my bank's ACH bill pay system. But if you use the district's vender to make the ACH payment, they charge you a $0.95 fee. Hopefully, Leesburg will follow the same procedure.

[CoachKandSportsguy]

Originally Posted by Shipping up to Boston

Spot on. That was my original point. If you add all of this up, it’s significant.

from both the customers' point of view and the vendors' point of view.

Just ordered some official documents from my local town hall up here in MA, and the person stated that if paid by credit card there will be an additional charge for using the credit card because the town can't pay the credit card processing fees.

with cash or check, no additional fee.

[asianthree]

Originally Posted by retiredguy123

That is how I pay Leesburg Electric now. I transfer money directly from my bank account to Leesburg Electric. But the original post seems to indicate that it may now cost a one dollar fee to pay that way. It is an ACH transfer.

That was what I thought when SSU went to their preferred payment through them, for a fee if you choose not to use their system. I continued with my bank, so far no fees have surfaced. We are preferred customers with our banks, was told no ACH fees apply with our accounts

Wonder if fee is for Leesburg to pull payment from your account, is ACH, but if your bank sends it then maybe no ACH fee? I don’t have Leesburg utilities so can’t verify

[Rainger99]

Originally Posted by retiredguy123

I think that may be correct. I still don't pay a fee to pay my water bill using my bank's ACH bill pay system. But if you use the district's vender to make the ACH payment, they charge you a $0.95 fee. Hopefully, Leesburg will follow the same procedure.

ACH is the Automated Clearing House network.

Automated Clearing House

[JMintzer]

Originally Posted by CoachKandSportsguy

I think you are off on the decimals. . try about 3-9%

I get charged between 2.5-3.0% for accepting CCs...

[Dusty_Star]

Originally Posted by asianthree

That was what I thought when SSU went to their preferred payment through them, for a fee if you choose not to use their system. I continued with my bank, so far no fees have surfaced. We are preferred customers with our banks, was told no ACH fees apply with our accounts

Wonder if fee is for Leesburg to pull payment from your account, is ACH, but if your bank sends it then maybe no ACH fee? I don’t have Leesburg utilities so can’t verify

Good point. I pay practically all my bills via the bank's bill payment system. But, I am also on some kind of waived fees account. So, while I think using the bill payment system is fee free, perhaps the ACH fees are just disappearing, due to account type. While using the ACH system is undoubtedly not 'free' to participating institutions, when divided by number of transactions it might be too tiny, tiny to apply to each one, so they lump it under 'maintenance fees'. Which, if you get the right kind of account, are waived.