Reasons Why Utility Companies Should Accept Payments Online

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      The ultimate purpose of any business is to make more money than the organization spends yearly. This cycle is known as the profit margin. To gain a profit, payments must be collected promptly. This can be difficult for utility companies and other businesses that bill for services monthly. Although customers have a generous thirty days to pay for services, they pay a great deal at the last minute. Many make late payments. When customers send paper checks in the mail, it slows down the process even further. Not to mention that printing and mailing physical invoices/bills is a costly and time-consuming process. The good news is that there is a better way of doing business. So without further ado, here are some great reasons why utility companies should accept payments online.

      Reason #1: Payments Are Received Sooner

      Consumers prefer to pay for goods and services with credit cards in the current economic climate. However, far too many utility companies fail to accept credit card payments online. They rely on old-school payment methods instead. When customers can pay by credit card, it increases the chances that they will make the payment sooner. It comes down to essential human nature. Consumers equate paying by paper check to paying money out of pocket. In essence, the funds are subtracted from their bank account. Paying by credit card eases that burden. The funds are deducted from their bank account. They are added to their current debt load. In turn, consumers are more willing to make the payment on time when paying by credit card.

      Reason #2: It Is More Affordable

      When utility companies accept card payments online, they are required to pay processing fees. However, it is far less expensive than the process of receiving paper checks. For example, when paper checks are received in the mail, they must be physically deposited at the bank. That process takes a great deal of time. An employee or manager must commute to the bank, stand in line to deposit the checks, and commute back to the office. This can occur multiple times per month or even multiple times per week. It adds up to a significant amount of staff-hours. Also, the employee could be working on something more critical than shuttling checks to the bank.

      Reason #3: Automatic Payments

      Billing solutions for utility companies are critical. The capability to accept recurring payments online, otherwise known as automatic payments, automates the payment process. Customers can enter their credit card information once and set it up so that a payment is made at the same time each month. Customers appreciate this value-added service because they do not need to spend any time or remember to pay the bill. It makes their lives easier. Utility companies are paid on time each month without the need to send payment reminders or worry about late payments. When the business can accept recurring payments online, it improves cash flow as well.

      Payment Savvy specializes in providing utility companies with the ability to accept payments online. OUr compliant solutions reduce your online payment risks and leave more cash in your bank account monthly. Please contact Payment Savvy today to review all options, obtain answers to your questions, and apply for a merchant account. Our company is only successful when your business grows because of our products and services.

      We look forward to hearing from you and partnering with your company.

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      Jason Rabago

      Jason Rabago

      Jason Rabago is Vice President, Sales at Payment Savvy, bringing over two decades of experience across sales, operations, and payment strategy. His work centers on helping accounts receivable organizations understand their payment options, navigate technology decisions, and build partnerships that support their businesses as they grow.

      Jason brings a practical perspective to the conversations shaping collections payments. His experience building relationships across the ARM ecosystem informs a clear conviction: agencies deserve partners who respect their choices, explain their options honestly, and work together to make those choices possible. He focuses on what technology and partnerships mean in practice: how systems work together, how teams get support, and how easily consumers can complete a payment.