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Merchant Account / Online Gateway Comparison

Normally, to take payments online, you need both a merchant account and an online gateway (or access to both).  With TutorPay, you don't.  Read on to learn how...

Below is a quick comparison table of the major providers, the costs involved and the things you need to know - compared to everything you get with TutorPay.

Scenario:

Most payment companies keep their rates hidden.  They're often not visible on their website.  You have to telephone and tell them the life history of your business, company registration number, how long you've been going, yearly turnover, and on and on...

So we got these prices together by offering the following scenario on which these other companies quoted...

​A private tutor who has previously been taking payment by cash and cheque, taking between £1,000 and £5,000 a month (on average, most tutors will fall in this range), wanting an online payment service with repeat subscription services.

All that said, these are the prices to compare...

Company

Setup

£150

£200

£849+

£0

£49

£150

FREE

Setup Time

3-4 weeks

3-4 weeks

8+ weeks

3-4 weeks

3 weeks

3 weeks

1 hour

Monthly

£30

£25

£50

£19.95

£19.90

£12

FREE

Contract

1 year

1 year

1 - 4 years

1 month

1 year

1.5 year

No contract

Credit

2% + 20p

1.6%

2% + 6p

1.6%

2% + 52p

1.5% + 13p

From
1.9% + 20p***

Debit

46p

24p

46p

20p

52p

1.5% + 13p

From
1.9% + 20p***

Included

0

0

0

350

350

0

0

Min Fee

0

0

£20

£8

£20

£10

FREE

Variable
Subscriptions

Invoices

Bookkeeping

* Fees include separate merchant account fees, using Elavon rates (cheapest we could find at 2% for credit cards and 40p for debit cards, £49 setup, 1 year contract).  You can use alternative merchant account providers and replace them into the fees above.

** TutorPay does not charge.  The prices shown are those as charged by PayPal, which TutorPay uses.​

*** The best transaction fee level is 1.9% + £0.20 per transaction.  The transaction fee level varies depending on your total monthly revenue through TutorPay.  See the transaction fee level breakdown here.​

NOTE 1: With TutorPay you do not need to go through the tedious long hassle of setting up a merchant account; no business history checks, paperwork etc.  Its all online.  Its all easy and straight forward.

Hence why the TutorPay setup time is not 3-4 weeks like the others.  It takes less than 1 hour to get setup with TutorPay.  .

NOTE 2: Only TutorPay includes the detailed invoicing service and bookkeeping done instantly and automatically for you.  How many hours a year does your invoicing and bookkeeping take you?  How much do you currently spend on bookkeeping and Accountants?

NOTE 3: With other merchant accounts and online gateways, you've then got to integrate their system into your website.  That means hiring an expensive Developer/Programmer and a shopping cart system (not necessarily included in the prices quoted above).  With TutorPay, this is all done for you; you can set it all up yourself within 1 hour.

 ​

To explain the table headings above;

Heading

Explanation

Setup

Setup fee, just to open an account with them.

Setup Time

How long does it take to get setup, from start to ready?

Monthly

Monthly 'administration' fee, for doing approximately nothing, even if you make zero sales.

Contract    

Minimum contract duration. The length of time you will legally be obliged to pay that monthly fee.

Credit

Fee for taking payment by credit card.

Debit

Fee for taking payment by debit card.

Included

Number of included transaction, included in the monthly fee.

Min Fee

This is the minimum charge for taking payments, which can be put towards credit/debit fees.

Variable Subscriptions

Variable subscription means you can charge a different amount each payment-period (week, month, half-term, term or year) without the payer needing to get involved at any point after initial setup.  Maybe this student has 3 lessons one month, then 4 lesson the next month.

Invoices

Are invoices sent instantly and automatically to the customer, showing exactly what was purchased?

Bookkeeping

Can you easily print out the sales numbers for your bookkeeping & accounting, or download the data?