Square Drops Transaction Fees


This time last year we echoed an argument that mobile payments would be held back by fees, as users would be confused by the charges they were paying and it would make them less likely to use these new methods of payment.

Today credit-card-payment-on-your-mobile-phone company Square has announced that it is removing its 15 cent per-transaction fee and just levying a flat 2.75% rate on all transactions, on what it calls a “simple revolution“:

Starting today, Square has dropped the 15¢ fixed fee on payments you accept using your Square card reader. Now you’ll simply pay 2.75% per transaction, no matter what you sell.

The move will make it simpler for merchants and their customers to calculate charges on their sales/purchases, and it will also allow merchants to stop worrying about those annoying minimum payments on cards which were pretty much a necessity with per-transaction charges.

Not only does it simplify their pricing, but this move also counteracts a recent move by Intuit which saw it undercut Square, albeit only slightly.

Square have also put together a video to promote the simplified charging:

3 thoughts on “Square Drops Transaction Fees

  1. Agree with the above as been proven time and again that they are good for getting a quote but then better deals can be done by going direct. Now, the phone’s price far beyond its value and role!

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