Cash Discount Program

Home Cash Discount Program

 

Many reasons for opting for the Cash Discount Program could be a smart move.
For many businesses, their annual savings will speak for themselves.

Zero Risk

Eliminate Fee

Keep Profit Margin Consistent

Get Attractive Rewards

Increase Cash on Hand

Reduce Chargeback Risk

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Overview:
The Cash Discount Program allows merchants to pass credit card processing costs to their customers.

Adding a small, additional cost to credit transactions can help businesses take action to improve their revenue collection without increasing their pricing and upsetting their customers. 100% free processing.

It is applicable in all states across the US except Connecticut, Maine, Massachusetts, and Oklahoma.

  • Merchants prefer this program since they pay 0% processing fee.
  • Credit card transactions are processed at a fixed rate of 3.0% fee, which is automatically added to the sales amount for customers.

 

Program Highlights

United States

Available for US-based merchants in eligible states

United States

Applied to Visa, Mastercard, Discover, and American Express OptBlue card-present and card-not-present credit transactions

 

Device Eligibility: Clover 

Clover devices are eligible to process credit card transactions under the cash discount program.

Clover Mini

Clover Flex

Clover Station 2

Clover Mini 2 LTE + WiFi

Clover Flex 2nd Gen

Clover Station Pro

Clover Station Duo

Clover Station Solo

 

 

Device Eligibility: CardPointe 

Q PaymentZ offers merchants the extended benefit of the Cardpointe Virtual Terminal API and the Cardpointe Hosted Payment Page to process transactions under the cash discount program.

CardPointe Virtual Terminal and API 

CardPointe Hosted Payment Page

 

 

 

FAQ:

  • What is a Cash Discount Program?

    A method of implementing an increase in price to all your customers while giving a discount to those who pay with cash. When a customer pays with a card, the additional “check out fee” is added, and merchants can have the benefit of zero percent processing fees.

  • The cash discount program is applicable to Visa, Mastercard, Discover, and American Express OptBlue card-present and card-not-present credit transactions.

  • Yes, of course! For existing clients who wish to switch from their existing pricing model to the cash discount program, they will need to submit a request along with a signed copy of the addendum on or before 25th of the month. Usually, these requests are processed by the backend team on the first of the following month. Once the documentation is in place by the first of the month, the backend team will get back to us once the account is ready to start processing payments.

    • 1. Signup for the cash discount program: Talk to one of our representatives and place your request.
    • 2. Sign the addendum copy.
    • 3. Signage placement: Place the appropriate signage, as required legally, near the main POS to indicate to your customers that you are under this program and that the credit and debit transactions will be processed as per the guidelines.
    • 4. Cash discount program activation: Once the process is complete, you can start charging your customers accordingly.

  • Merchants need to submit a signed addendum & driver’s license copy as required by Card Connect. This applies only to existing customers who wish to switch to the cash discount pricing model.

  • This is a very important requirement by law. Merchants who are under this program need to place appropriate signage prominently visible in the store. For example, next to their main register.
    An example would be: "A 3.0% customer service charge is applied to all store sales".

    • * Debit Card Discount Rate 1.25%*
    • * Applies to all debit card transactions (signature, PIN, PINless, prepaid)
    • * Debit Card Transaction Fee $0.25

  • Sorry, Massachusetts is one of the locations where the cash discount program is not available and not legal. If merchants prefer, Q PaymentZ will offer traditional pricing models.

  • Merchants do take their customers' wallets into consideration. However, the industry consensus is that merchants who complete just one month of the program generally stick with it since they can eliminate the processing fees. Adding these fees to customer transactions relieves financial pressure so businesses can focus on increasing purchases or raising their average order value (AOV).