Why Is ePayables a Good Way to Do Business?
ePayables, an electronic payment solution that replaces check payments with a credit card account, are growing 14 percent year over year.
Michael P. Gargiles, Vice President of B2B Commercial Acceptance at MasterCard, explains why ePayables is taking off and how merchants can participate.
What’s the Benefit of ePayables?
Since ePayables replace check payments with a credit card account, it reduces the inefficiencies associated with manual paper payments, improves cash flow and speed of payment, and minimizes the risk of fraud.
What Should Those Who Are Hesitant about ePayables Know?
Initially, Michael says he always starts by taking it back to the basics, simply educating suppliers on interchange and how to qualify for level 3 and large ticket processing, which gets them the best rates possible.
While some are well-versed in this type of interchange qualification, others have never heard of it. For example, Michael said he recently consulted with the controller of a Fortune 500 company who really appreciated this insight, saying “It completely changes the way we view card acceptance.”
In other cases, he’ll talk with merchants about accepting credit cards because their largest buyers have made it clear they want to pay by credit card.
“In the past – for many of these companies – the mentality was to avoid accepting credit cards at all costs. Now, they’re starting to understand that accepting credit cards is beneficial. It leads to happier customers, increased cash flow and faster cash on hand,” Michael says.
Is There a Drop-Dead Date for Card Acceptance?
There’s not a particular date when all businesses should accept credit cards, but as someone who works with merchants worldwide, Michael sees the trends of credit card usage and expects it to continue skyrocketing over the next few years.
Contact i3 Merchant Solutions online or call 1-800-621-8931.
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