Subscription payment method fees (PSD2)
When signing up for a paid subscription plan with SimplyPrint, some payment methods add an extra fee to your invoice. In this article, we'll cover which payment methods that have an associated fee, and why.
TLDR; some payment methods come with an added fee, as they're more expensive for us to provide.
PayPal: +3% on top of the total order
Invoice payments / bank transfers: fixed $35 (USD) or 250 DKK per invoice
We add a small extra fee, either a percentage of the total order value, or a fixed fee, due to the fees these platforms and payment methods charge us for their service.
Payment methods such as PayPal are a great convenience for the customer, but the difference between a regular credit card payment and paying via PayPal can be quite significant.
In the worst case scenario (as it depends on where in the world the customer is from, which credit card provider they have, etc.), the difference between a credit card payment and a PayPal payment, goes from us paying a ~4% fee, to roughly ~10% for lower volume payments.
So, when we added PayPal to the list of accepted payment methods, rather than increasing our prices to address the lower margins of subscriptions using this payment method, we decided to add an extra fee when choosing this payment method.
For you, this would mean that if you're on our "Pro" plan, costing $9.99 (USD) /month, if you pay with PayPal, there's an added 3% charge, totaling $0.30 (USD). So a $0.30 difference from paying with a payment method that comes with no added fees, such as credit card payments.
We, too, think that extra fees suck, and we're not out to punish anyone for using their preferred payment method; we recognize that some may have no other way to pay for their SimplyPrint subscription than via something like PayPal, and we appreciate your support no matter which payment method you use.
So, in alignment with the EU PSD2 regulations, the fees are limited to just cover the added expense on our end; not a penny more. We still make a little less money off of a PayPal transaction than a normal credit card payment, but the added 3% helps us justify supporting this payment method, while keeping our current prices.
The fixed fee for invoice payments is in place due to the added manual labor associated with these payments. As it's not automatic like credit card payments, we have to regularly monitor the state of pending invoices, and manually mark them as paid. This takes time away from what we're really good at; development, so, the added fee helps us outsource this manual labor, so that we can focus on providing awesome 3D printing management software!
TLDR; some payment methods come with an added fee, as they're more expensive for us to provide.
Which payment methods have an associated fee?
PayPal: +3% on top of the total order
Invoice payments / bank transfers: fixed $35 (USD) or 250 DKK per invoice
Why some payment methods add an extra fee
We add a small extra fee, either a percentage of the total order value, or a fixed fee, due to the fees these platforms and payment methods charge us for their service.
Payment methods such as PayPal are a great convenience for the customer, but the difference between a regular credit card payment and paying via PayPal can be quite significant.
In the worst case scenario (as it depends on where in the world the customer is from, which credit card provider they have, etc.), the difference between a credit card payment and a PayPal payment, goes from us paying a ~4% fee, to roughly ~10% for lower volume payments.
So, when we added PayPal to the list of accepted payment methods, rather than increasing our prices to address the lower margins of subscriptions using this payment method, we decided to add an extra fee when choosing this payment method.
For you, this would mean that if you're on our "Pro" plan, costing $9.99 (USD) /month, if you pay with PayPal, there's an added 3% charge, totaling $0.30 (USD). So a $0.30 difference from paying with a payment method that comes with no added fees, such as credit card payments.
We, too, think that extra fees suck, and we're not out to punish anyone for using their preferred payment method; we recognize that some may have no other way to pay for their SimplyPrint subscription than via something like PayPal, and we appreciate your support no matter which payment method you use.
So, in alignment with the EU PSD2 regulations, the fees are limited to just cover the added expense on our end; not a penny more. We still make a little less money off of a PayPal transaction than a normal credit card payment, but the added 3% helps us justify supporting this payment method, while keeping our current prices.
The fixed fee for invoice payments is in place due to the added manual labor associated with these payments. As it's not automatic like credit card payments, we have to regularly monitor the state of pending invoices, and manually mark them as paid. This takes time away from what we're really good at; development, so, the added fee helps us outsource this manual labor, so that we can focus on providing awesome 3D printing management software!
Updated on: 22/05/2024
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