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Q: I’m thinking about using Square for my small business’s credit card transactions. Is there a fee for using this?
A: Square’s fee is one of its most touted features. The simplicity of the fee is the main selling point.
With other payment systems the fee changes from card to card or even from industry to industry, Square’s fee is the same for every card scanned. In fact, one of the biggest complains I have heard from merchants about credit card processing is that they never have any idea what the fees will be. The industry has many small players who are very opaque about fees, terms, and other key items.
This is why many people love Square.
Merchants also like that there are not any monthly fees like some companies require, either. The fee is simply taken out of the sale price before the money is transferred to your bank account.
When you swipe your customer’s card, that fee is 2.75%. Not too bad, although larger businesses may find it worth their while to shop around for a lower fee and more control.
Square is good for small businesses, though, or even something as simple as a yard sale where a customer didn’t bring enough cash.
The fee for entering credit card numbers manually is a little higher: 3.5% plus 15 cents per swipe. This isn’t your best option, since you can just order a free Square reader from www.squareup.com and save a few bucks.
Square works with the iPhone, iPad, and iPod touch, as well as on Android devices such as Samsung’s Galaxy Tab. We expect it will expand to other devices. And that square may even adopt their own registers. Which will be great as your business grows.
If you have an Apple or Android device, getting started is pretty easy. You just have to set up an account, get the free device, and download the app on your phone or tablet, and you’re ready to go.