ClickPayRent.com is a site that is designed to reward renters if they pay their apartment complex electronically instead of a check. Instead of writing a check, they can pay with their credit card and receive reward incentives from their credit card company. Some of the consumers that used the service has stated that it is nice to receive rewards for a bill you must pay anyways. It appears that they charge the consumers $9 to use the service, which is not great. By paying a fee, I do not see how any rewards from your bank would be beneficial as the service fee is eliminating any benefits.
On top of charging the consumer, they charge the apartment owner a percentage while covering thefees themselves. ClickPayRent’s CEO made the comment that they struggled for a long time trying to find the right credit card processor. He mentioned it required extensive negotiations to find a processor that wouldn’t charge too much. I’m guessing he hasn’t ever heard of or was told about Interchange plus pricing. One thing surprised me is he found a provider that would allow him to surcharge the transactions. Since they are not a government entity, they are not allowed to add a surcharge to their transactions. Since it is all credit card based and cash isn’t accepted, I’m not quite sure if this would still fall under that rule or not, but it is a very fine line in any event.