Credit cards seem to make life a lot easier, with even some smaller shops and bars taking them. Some estate agents, therefore, have also decided to join in, and many now accept major credit cards.
However, as both foreign and UK credit card providers charge a fee - usually somewhere between 2% and 7.5% - to businesses for the privilege of accepting credit cards, you may find that this fee is passed on to you, the customer, and so you will have to pay a little more than you were expecting. This is something to bear in mind, as it is likely that the smaller, more independent agencies will charge this fee, but the bigger agencies might waive it.
You will find that some of the smaller agencies are not set up for credit card payment, and even some which are may not accept particular credit cards, for example, American Express. If you do not yet have one, it is something to think about when you apply for credit cards.
Some estate agents may accept credit cards to pay for the completion of a sale on a property, but not for a deposit on a rental, but this will be at the discretion of the particular agency.
One thing to remember is that when you pay by credit card there is some protection if something goes wrong. When considering payment via credit card it might be wise to ask if you could pay some of the balance by credit card and the rest using another means, such as cheque, in order to keep your extra fees as low as possible.
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Comments
NOW - THIS IS FREAKY!!
Here I am, having literally just clicked on the link to this story... and I get a phone call from a customer who asks whether PeeBee & Co (I wish...) take card payment!
I can't remember the last time someone asked me that...
I'll take it as an omen, so I guess I need to post something.
The way I see it, customer wants ease of payment. Supplier/Service Provider is happy to offer that ease of payment - but is also expected to lose money to be able to do so.
Fair enough - we live in a pretty cashless society these days (I've been cashless for over a decade - should ask for a rise methinks...) - however NO-ONE actually expects that this 'service' isn't costing THEM in the long-run, surely?
With Residential Agency, much of the monies handed over is surely paid by the Solicitor (for sales). Rentals will be different - but I assume that cold, hard cash is far more comforting to take than the promise that 'the money is in the system'...
Assuming that the 'average' cost would be 5% of the paid amount, then one in 20 sales would be lost to card payments. An expensive price to pay for someone else's convenience, don't you think?
Hypothetically, I know - but if I was an Agent and offering such a payment service, it certainly wouldn't be to MY financial detriment!
Normal fee is usually around 2.5% but it can be as high as 7%, in some places - not specifically estate agents though.
This article is very misleading. Credit card fees should range between 1.1%-2.7% at the very highest with debit cards from 14p per transaction.
The reason a number of estate agents do not accept them is because the industry is deemed high risk and as a result more documentation is required.
Shame on whoever wrote this piece of misleading drivel