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PRICING COMPARISONS
In many
cases AR Now bank drafts can be used to replace credit card payments,
ACH withdrawals, or even regular personal check payments. While credit
cards and ACH Payments offer many convenient advantages, for many
businesses the choice of payment method can in fact equate to what
ends up at the bottom line of the P&L statement. If AR Now
can be used to either supplement or replace recurring credit card or
ACH payments, substantial savings can be realized.
In the charts
below we outline a few scenarios that demonstrate the savings that
might be obtained by using AR Now instead of the other payment types.
These are examples only and are not to be construed as any type of guarantees of
savings. We trust that the businesses considering our product can easily discern the savings potential.
Table 1
In the first table we show several combinations of transactions
averaging $25 each and $300 each. We chose these amounts to broadly
represent companies, some that may have small average charges, and others that may have a higher per charge average.
Credit
cards typically carry a discount rate, as well as a transaction
fee. We have put some general rates into the two Credit Card
columns to reflect typical charges.
ACH transactions typically
charge only a transaction fee, which varies widely, but also may
sometimes carry a discount rate if the transactions involve high risk
business (such as casino). ACH transactions will also all have a
return fee, which will be charged IF the transaction cannot be
processed due to things like account closed, insufficient funds,
invalid account details and so forth. While it is difficult to
represent this on the chart, you can quickly understand that return
fees of $1.95 per transaction can quickly increase your average rate.
We have attempted to give some relevant examples of the ACH Transaction
charges.
Table 2
Credit card merchant accounts and ACH Processing
accounts typically charge monthly Maintenance or Account fees ranging
from $15 - $50 per month. So on Table 2 we show the actual
cost per transaction if you factor in the monthly account fees.
These tables simply extend the examples shown in Table 1. Again, we should note that these are only examples, and do not
necessarily represent actual cost savings.
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|
Examples of Types of Charges
|
Table 1
|
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|
|
|
Credit Cards
|
ACH
|
AR Now |
|
Total Charges
|
| Number of Transactions |
Ave amount per charge |
Total Charges |
|
Cc % |
Cc Per |
ACH % |
ACH per |
AR Now per |
|
Credit Cards |
ACH |
Arnow |
| 10 |
$300.00 |
$3,000.00 |
|
1.89% |
$0.30 |
1.50% |
$0.30 |
$0.07 |
|
$59.70 |
$48.00 |
$0.70 |
| 10 |
$300.00 |
$3,000.00 |
|
2.00% |
$0.30 |
0.00% |
$0.50 |
$0.09 |
|
$63.00 |
$5.00 |
$0.90 |
| 10 |
$300.00 |
$3,000.00 |
|
2.50% |
$0.30 |
0.00% |
$0.75 |
$0.11 |
|
$78.00 |
$7.50 |
$1.10 |
| 10 |
$300.00 |
$3,000.00 |
|
2.99% |
$0.30 |
0.00% |
$1.00 |
$0.14 |
|
$92.70 |
$10.00 |
$1.40 |
| 20 |
$300.00 |
$6,000.00 |
|
1.89% |
$0.30 |
1.50% |
$0.30 |
$0.07 |
|
$119.40 |
$96.00 |
$1.40 |
| 20 |
$300.00 |
$6,000.00 |
|
2.00% |
$0.30 |
0.00% |
$0.50 |
$0.09 |
|
$126.00 |
$10.00 |
$1.80 |
| 20 |
$300.00 |
$6,000.00 |
|
2.50% |
$0.30 |
0.00% |
$0.75 |
$0.11 |
|
$156.00 |
$15.00 |
$2.20 |
| 20 |
$300.00 |
$6,000.00 |
|
2.99% |
$0.30 |
0.00% |
$1.00 |
$0.14 |
|
$185.40 |
$20.00 |
$2.80 |
| 50 |
$300.00 |
$15,000.00 |
|
1.89% |
$0.30 |
1.50% |
$0.30 |
$0.07 |
|
$298.50 |
$240.00 |
$3.50 |
| 50 |
$300.00 |
$15,000.00 |
|
2.00% |
$0.30 |
0.00% |
$0.50 |
$0.09 |
|
$315.00 |
$25.00 |
$4.50 |
| 50 |
$300.00 |
$15,000.00 |
|
2.50% |
$0.30 |
0.00% |
$0.75 |
$0.11 |
|
$390.00 |
$37.50 |
$5.50 |
| 50 |
$300.00 |
$15,000.00 |
|
2.99% |
$0.30 |
0.00% |
$1.00 |
$0.14 |
|
$463.50 |
$50.00 |
$7.00 |
| 10 |
$25.00 |
$250.00 |
|
1.89% |
$0.30 |
1.50% |
$0.30 |
$0.07 |
|
$7.73 |
$6.75 |
$0.70 |
| 10 |
$25.00 |
$250.00 |
|
2.00% |
$0.30 |
0.00% |
$0.50 |
$0.09 |
|
$8.00 |
$5.00 |
$0.90 |
| 10 |
$25.00 |
$250.00 |
|
2.50% |
$0.30 |
0.00% |
$0.75 |
$0.11 |
|
$9.25 |
$7.50 |
$1.10 |
| 10 |
$25.00 |
$250.00 |
|
2.99% |
$0.30 |
0.00% |
$1.00 |
$0.14 |
|
$10.48 |
$10.00 |
$1.40 |
| 20 |
$25.00 |
$500.00 |
|
1.89% |
$0.30 |
1.50% |
$0.30 |
$0.07 |
|
$15.45 |
$13.50 |
$1.40 |
| 20 |
$25.00 |
$500.00 |
|
2.00% |
$0.30 |
0.00% |
$0.50 |
$0.09 |
|
$16.00 |
$10.00 |
$1.80 |
| 20 |
$25.00 |
$500.00 |
|
2.50% |
$0.30 |
0.00% |
$0.75 |
$0.11 |
|
$18.50 |
$15.00 |
$2.20 |
| 20 |
$25.00 |
$500.00 |
|
2.99% |
$0.30 |
0.00% |
$1.00 |
$0.14 |
|
$20.95 |
$20.00 |
$2.80 |
| 50 |
$25.00 |
$1,250.00 |
|
1.89% |
$0.30 |
1.50% |
$0.30 |
$0.07 |
|
$38.63 |
$33.75 |
$3.50 |
| 50 |
$25.00 |
$1,250.00 |
|
2.00% |
$0.30 |
0.00% |
$0.50 |
$0.09 |
|
$40.00 |
$25.00 |
$4.50 |
| 50 |
$25.00 |
$1,250.00 |
|
2.50% |
$0.30 |
0.00% |
$0.75 |
$0.11 |
|
$46.25 |
$37.50 |
$5.50 |
| 50 |
$25.00 |
$1,250.00 |
|
2.99% |
$0.30 |
0.00% |
$1.00 |
$0.14 |
|
$52.38 |
$50.00 |
$7.00 |
|
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Examples of Monthly Fees
(And effects on cost per transaction)
|
Table 2
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|
Cost per Transaction
|
|
Monthly Fees
|
|
Actual Cost per Transaction
|
| Credit Cards |
ACH |
Arnow |
|
Credit Cards |
ACH |
Arnow |
|
Credit Cards |
ACH |
Arnow* |
| $5.97 |
$4.80 |
$0.07 |
|
$9.99 |
$9.99 |
$0 |
|
$6.97 |
$5.80 |
$0.07 |
| $6.30 |
$0.50 |
$0.09 |
|
$19.99 |
$19.99 |
$0 |
|
$8.30 |
$2.50 |
$0.09 |
| $7.80 |
$0.75 |
$0.11 |
|
$29.99 |
$29.99 |
$0 |
|
$10.80 |
$3.75 |
$0.11 |
| $9.27 |
$1.00 |
$0.14 |
|
$49.99 |
$49.99 |
$0 |
|
$14.27 |
$6.00 |
$0.14 |
| $5.97 |
$4.80 |
$0.07 |
|
$9.99 |
$9.99 |
$0 |
|
$6.47 |
$5.30 |
$0.07 |
| $6.30 |
$0.50 |
$0.09 |
|
$19.99 |
$19.99 |
$0 |
|
$7.30 |
$1.50 |
$0.09 |
| $7.80 |
$0.75 |
$0.11 |
|
$29.99 |
$29.99 |
$0 |
|
$9.30 |
$2.25 |
$0.11 |
| $9.27 |
$1.00 |
$0.14 |
|
$49.99 |
$49.99 |
$0 |
|
$11.77 |
$3.50 |
$0.14 |
| $5.97 |
$4.80 |
$0.07 |
|
$9.99 |
$9.99 |
$0 |
|
$6.17 |
$5.00 |
$0.07 |
| $6.30 |
$0.50 |
$0.09 |
|
$19.99 |
$19.99 |
$0 |
|
$6.70 |
$0.90 |
$0.09 |
| $7.80 |
$0.75 |
$0.11 |
|
$29.99 |
$29.99 |
$0 |
|
$8.40 |
$1.35 |
$0.11 |
| $9.27 |
$1.00 |
$0.14 |
|
$49.99 |
$49.99 |
$0 |
|
$10.27 |
$2.00 |
$0.14 |
| $0.77 |
$0.68 |
$0.07 |
|
$9.99 |
$9.99 |
$0 |
|
$1.77 |
$1.67 |
$0.07 |
| $0.80 |
$0.50 |
$0.09 |
|
$19.99 |
$19.99 |
$0 |
|
$2.80 |
$2.50 |
$0.09 |
| $0.93 |
$0.75 |
$0.11 |
|
$29.99 |
$29.99 |
$0 |
|
$3.92 |
$3.75 |
$0.11 |
| $1.05 |
$1.00 |
$0.14 |
|
$49.99 |
$49.99 |
$0 |
|
$6.05 |
$6.00 |
$0.14 |
| $0.77 |
$0.68 |
$0.07 |
|
$9.99 |
$9.99 |
$0 |
|
$1.27 |
$1.17 |
$0.07 |
| $0.80 |
$0.50 |
$0.09 |
|
$19.99 |
$19.99 |
$0 |
|
$1.80 |
$1.50 |
$0.09 |
| $0.93 |
$0.75 |
$0.11 |
|
$29.99 |
$29.99 |
$0 |
|
$2.42 |
$2.25 |
$0.11 |
| $1.05 |
$1.00 |
$0.14 |
|
$49.99 |
$49.99 |
$0 |
|
$3.55 |
$3.50 |
$0.14 |
| $0.77 |
$0.68 |
$0.07 |
|
$9.99 |
$9.99 |
$0 |
|
$0.97 |
$0.87 |
$0.07 |
| $0.80 |
$0.50 |
$0.09 |
|
$19.99 |
$19.99 |
$0 |
|
$1.20 |
$0.90 |
$0.09 |
| $0.93 |
$0.75 |
$0.11 |
|
$29.99 |
$29.99 |
$0 |
|
$1.52 |
$1.35 |
$0.11 |
| $1.05 |
$1.00 |
$0.14 |
|
$49.99 |
$49.99 |
$0 |
|
$2.05 |
$2.00 |
$0.14 |
|
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* Total Cost Per
Transaction for AR Now does not include shipping costs for checkstock,
nor does it include the maintenance cost of your printer and cartridges
to print the checks. MICR printer cartridges generally add between .01
- .04 cents per check depending on printer, cartridge, etc.
Shipping costs vary depending on how many checks you order, where you
live, and so on but in most cases shipping will add between .01
and .02 per check.
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