I received an email from QBs stating that on April 12 they are going to tax my gross revenue by 1%. My ACH payments fees are going to increase from $0 to hundreds of dollars. Not sure the justification for this new tax on my business - especially during these tough COVID times!
There has been no response to my feedback to QBs. Is anyone else suffering from this new tax? Seems quite tone deaf to place another strain on small business during this time of recovery.
Hi there, CNelson3.
I personally don't want any increase on my bills, especially during the pandemic and when the money is tight. We also appreciate and have taken note of your feedback with regards to this update.
Please take note that the 1% charge has a limit of $10 on every transaction. This means that the ACH charge cannot go over $10 on each transaction, regardless how much the customer is going to pay you.
You can also request a rate review and check if there are any other pricing plan for you. Here's an article for more details: Request A Rate Review Of QuickBooks Payments Discount Fees.
Don't hesitate to reach out to us again if you need anything else.
No justification is being given, although I have seen many responses attempting to convince us (QB clients) that this is what we have all been asking for. Next day deposits for this fee were already being offered, but clearly not enough QB clients signed up for the service. So now, it's mandatory. If you accept ACH payments from your customers, QB will take their cut.
OPTION and CHOICE were given to the customer to make whether they wanted to opt-in to next day ACH payments.
No longer... now all customers are being FORCED into paying 1% or $10 depending on the amount of the transaction - This figure may seem small but quickly adds up!!
I understand some may want this feature - let them choose this. Do not FORCE this on each of your customers.
This is a terrible way to treat everyone and shameful on QuickBooks
This is un American. We already pay a monthly fee, I don't understand the need to dip into our sales as well. If we do a $1M in ACH, you are going to take $10k from us? We are a service based company and all of our clients typically chose to do ACH payments because the younger generation doesn't carry checks and we aren't going to give up 3-4% for CC processing fees. Up until now, I have enjoyed Quickbooks. Two weeks ago, I was notified the desktop app was going away because not enough people use it. Now, you are going to charge me 1% on my ACH transactions. Last I checked Intuit wasn't in any financial trouble, so I am not sure what is going on? It is hard enough to be able to actually talk to one of QB employees on the phone.
First rate, I think not! I see all the marketing money you all are spending. Maybe cut back on that a little and leave us small businesses alone.
I have sent 5 requests for rate reviews and clarifications and there has not been a single response. And now the fees are starting. And I'll have to pay $300-400 per month for no additional value. If these were good times I'd absorb the fees, but in a time when businesses, including mine, are recovering from COVID, it seems so unnecessary for QB to introduce fees that simply line their pockets. They are doing this only because they can. Thank you to others for suggesting non-QB options. Will work aggressively with clients to transition payments away from QBs. And I'll make sure I let all customer know the reason why moving away from QBs.
I also am furious about this fee. I don't need or want it. Most all of our payments are less than $1,000, so that's 1% of our sales going straight to QB. No reasonable response has been given other than there was a demand for it. Like someone else said, if there was such a demand for it than, why didn't those people just sign up for it when there was an OPTION! We're a small struggling business in very tough times, and now the corporate folks want more money. It's unfair. It's not right. Every penny counts right now. I don't think QB really understands what it's like to be a small business.
Do you hear your self? It can't go over $10 of every transaction?! (I understand that's over $1,000 transaction). $10 of every transaction?! $10?! That adds up so quick! Think about what you're saying.
Oh, great! Just one more thing to add to the list of things to do! Spend more TIME (which is MONEY) on the computer to try to figure out how to avoid a fee that is unnecessary and unfair! Like we as small business owners don't have enough on our plate right now. Ridiculous.
I just looked at Melio... Does anyone on here have experience using it? It says it syncs with Quickbooks? Is it seemless and can we still invoice using Quickbooks? I appreciate how I can send out 5-8 quickbooks invoices in one day, they get paid and I have a group deposit into my account, but quickbooks matches the deposit back to the correct invoices.
Is it seemless in Melio? If so, looks like a great option as customers can pay via CC and it charges THEM 2.9% instead of the business collecting the funds, or free ACH payments.
Very interested! Waiting for feedback.
For your additional reference
I have yet to find any critical issue in the community for the last 6 months. You should open a new account for free, create a dummy invoice to one of your clients, and pay it. Then you should also run the refund scenario.
But Melio doesn't seem to connect with QB for invoicing clients. So will you need to do two invoices for everything? One in Melio to get paid, and one in QB for your record keeping?
I just talked with a representative for a while. It does link with QB, but your invoicing is not connected. So, I would need to fill out an invoice in QB for records, and then another one in Melio for actually sending to the client and getting paid. I will also need to input all my customers into Melio, and every time I have a new customer enter them into both QB and Melio. I also looked at Veem. Although they do link to QB with invoicing customers, it sends out an invoice from both QB and from Veem. Very confusing for the client. And if they chose to pay the QB one instead of Veem, I'll pay the fee. Lots of hours already gone into trying to deal with this.
Melio is not user friendly. I downloaded Melio inside QBO because I wanted to get rid of the unjustifed 1% ACH payment fee forced on us. The set up was easy. but Melio doesn't create invoices. I need to create invoices in QBO, and save the PDF invoices and upload to Melio. It is already cost time.
The worst part is my client's reaction to the payment request. I sent Melio link to one of the tenants for rental, he was asked to link Melio to his bank account by entering the ID and Password, rather than just typing in Rounting number and Checking account number. My tenant doesn't want to do that. Some of my tenants are elderly persons and are very skittish about the convoluted process. I have to cancel and disconnect Melio.
Veem is not better. It is Business to Business. The responder to the payment request must enter EIN or SSN and the company name. My consumer clients won't stomach this red tape.
We must bombard Intuit to its facebook account, and demand them to lift this draconian tax on our sales.
Some of our clients are running a field service company and their operations are B2C. They decided on having a field service app to integrate with QBO and accepting credit cards payment for up to a certain invoice amount. If the invoice is higher than that amount, they will ask the client to pay by ACH to their bank account to avoid any fee. They’re usually free, or cost a lower fee for the client. They typically take 2–3 business days to reach their bank account. They may provide the wire routing number if their clients specifically want to pay them with a wire. Wire transfers can cost their clients 20–30 USD, but will reach their account within 1 business day. If someone sends them the payment using a wire transfer, the bank will charge a 7.50 USD fee.
You might appreciate Clique for processing your payments if you want a clean user interface and good customer experience.
With Clique you to create invoices and customers in QB, instantly send them via the Clique portal, and customers are directed to a page to pay with CC or ACH depending on your settings.
Clique can be used with most merchant accounts and gateways, though the easiest integration is through CardConnect merchant account. One drawback with CardConnect is your ACH service must be tied to a Credit Card merchant account, you cannot only use the ACH service. There is a $60 application fee and $7.50/month for the ACH service but the ACH's are 0% + $0.50
If it sounds like a good fit for your business, we will be happy to set up a demo with you!
I was told today that this fee was put in place to help businesses during COVID (assuming for everyone it was helpful to have next-day deposits). As you might imagine there was deafening silence after this comment was made. How is taking hundreds of dollars a month from us helpful? Next time you want to make a massive change to the bottom line of small business how about you ask us? I didn't agree to this change to my account and I'm pretty sure neither did anyone else. Such an incredibly stupid move Intuit. In one fell swoop, you ruined your reputation. Now to work out how to change the way payments are coming into our business....