Understanding Payment Fees & Reconciliation
Last updated August 7, 2024
Understanding Payment Fees and Reconciliation in Booqable
When using online payment gateways, it's essential to understand the associated fees and how to reconcile your transactions to ensure accurate financial management. This guide will explain payment fees and reconciliation within the Booqable platform.
Payment Gateway Fees
1. **Transaction Fees:** Most payment gateways charge a small percentage of each transaction amount as a processing fee. This fee is typically a percentage plus a fixed amount per transaction.
2. **Monthly Fees:** Some payment gateways may also charge a monthly subscription fee or a fixed fee for accessing their services.
3. **Currency Conversion Fees:** If you accept payments in different currencies from your customers, you may incur currency conversion fees.
4. **Withdrawal Fees:** There may be additional fees associated with transferring funds from your payment gateway account to your bank account.
Reconciling Transactions
- Payment Gateway Statements: Review your payment gateway's monthly statements to track all processed transactions, fees, and deposits.
- Booqable Booking Records: Compare the transaction information from your payment gateway statements with the booking records within your Booqable account.
- Matching Transactions: Ensure that every transaction listed in your payment gateway statement has a corresponding booking in your Booqable account.
- Identifying Discrepancies: If any discrepancies arise between your payment gateway and Booqable records, investigate and resolve them promptly.
Tips for Managing Payment Fees and Reconciliation
- Compare Gateway Fees: Before selecting a payment gateway, compare transaction fees and other charges offered by different providers to find the most cost-effective option.
- Negotiate Fees: If you process a high volume of transactions, try negotiating lower fees with payment gateways.
- Use a Reconciliation Tool: Utilize automated reconciliation tools to streamline the comparison process between your payment gateway and Booqable data.
- Maintain Clear Records: Keep detailed records of all transactions, payment fees, and reconciliation reports for accurate accounting.
- Regularly Review Reports: Periodically review your payment gateway statements and reconciliation reports to ensure the accuracy of your financial records.