The rise of online payments in the last 15-20 years has forever changed the way we do business. Gone are the days of mailed paper checks, slow-moving ACH deposits, and high-cost wire transfers as our only options. With a few clicks, we can make payments instantly with a variety of online credit card processing platforms.
But what consumers don’t always realize is that those credit card processing platforms charge hefty fees to the businesses offering them. Most take a percentage of each transaction, so the higher the fee, the more the business pays. And those fees add up quickly, translating to sunk operational costs for the business.
GoCardless, a direct debit platform based out of London, is changing the game for businesses and consumers alike. They offer a pull-based, bank-to-bank payment method that’s really taken off in the UK, with 4.1 billion payments made via direct debit annually. Businesses can offer their customers an online method to perform variable, ad hoc, and recurring payments by filling in their bank details online - at much lower rates than traditional credit card processors. Fees start as low as 20-40p per transaction, with no percentage surcharge.
In addition, the UK’s Direct Debit Guarantee offers 100% consumer protection against erroneous transactions. That means no disputing charges with credit card companies - if the charge is wrong, the customer is given a “full and immediate” refund. The onus is on the participating banks to sort out who is responsible.
Our singular goal at Invoiced is to help our customers get paid faster at minimum cost, and the GoCardless direct debit platform provides businesses with the tools to do just that. We’re excited to announce our partnership with GoCardless, and to offer both GoCardless and Invoiced customers the following functionality:
- Connect GoCardless and Invoiced accounts
- Offer direct debit payments for customers in the UK, EU, Australia, and Sweden
- Vault payment information for direct debit payments
- Perform AutoPay for direct debit payments
- Reconcile direct debit payments from Invoiced back to GoCardless
GoCardless and Invoiced customers will be able to send invoices with seamless integration of the direct debit payment process. Payees will first fill out the direct debit mandate on their invoice and then choose the account they’ll use to make a payment. Completed payments will generate a receipt to the payee; failed payments will appear in the Invoiced dashboard for follow-up.
“GoCardless’s integration with Invoiced provides customers all the benefits of direct debit payments combined with powerhouse invoicing automation,” said Myles McLaren, Partner Success Manager at GoCardless. “We’re thrilled to offer customers the tools to collect quickly with minimal effort.”