Since 9 in 10 U.S. consumers carry at least one payment card for convenience and flexibility, or to earn benefits from special card programs, many service providers in the following industries now accept cards as an alternative to cash and checks for initial and recurring payments:
- Cable/Satellite TV and Radio
- Child Care
- Home Cleaning
- Home Security
- Insurance
- andscaping
- Magazines and Newspapers
- Property Management
- Telecommunications
- Utilities
The benefits of card acceptance to service providers will vary according to current payment and/or collection needs, but usually include the following:
Labor and Operational Efficiency
MasterCard credit and debit card acceptance allows businesses to automate Internet, telephone, and self-service kiosk payments. Card transactions are often completed more quickly and efficiently than transactions that involve making change, filling out forms, or processing checks.
Automated transactions also save money by reducing customer traffic in field offices with high labor, real estate, and overhead costs. Payment by check or cash may also create additional expenses, such as armored car services, data entry costs, and bank deposit or lockbox fees.
Improved Cash Flow
Electronic payment methods can result in rapid deposit of funds into your account and improved cash flow. In addition, card payments made by telephone or in a face-to-face environment usually eliminate "mail float"-lost while checks are in the mail.
Reduced Risk of Losses from Bad Checks
Card transactions reduce the volume of checks returned for "nonsufficient funds," as well as associated fees, penalties, and collection costs. Card acceptance also cuts down on redeposit fees and the cost of processing additional transactions.
Increased Customer Satisfaction
Consumers expect card acceptance by a wide range of service providers. Efficient electronic payments can help a service business to match the level of customer care provided by traditional face-to-face acceptors. And, in many cases, the benefits of acceptance can partially or fully offset card transaction costs.
Features and Tools for Service Businesses
Automatic Billing Updater:
You can manage your recurring payments program with no interruptions in customer payments. This service notifies you of changes to cardholder data like expiration dates.
Electronic Payment Processing Network:
MasterCard RPPS® provides a single connection for senders and receivers of electronic payments throughout the United States-including consumer service providers, billers, and lockbox service providers. Processing tens of millions of transactions reliably and securely every month, RPPS reaches virtually every electronic payments sender domestically that delivers online bill payment services. For more information, contact rpps_sales@mastercard.com.
Competitive Acquirer Bids:
Receive competitive bids from acquirers with MasterCard Request for Proposal (RFP) guidelines.
The Role of MasterCard
Here's how we serve and serve our merchants, both directly and indirectly. In addition to managing the financial settlement and authorization systems, MasterCard administers the systems' operating rules and regulations, develops programs to open new merchant segments, and creates new payment programs and services. Of course, we also promote and advertise the MasterCard Brands.