Update 11/29/22: Standard Plastiq fee is increasing further from 2.85% to 2.90% on December 1, 2022
Original Post 6/24/20:
Plastiq is making a change to their fee structure for processing payments: the new fee will be 2.85% for all credit card payments instead of the previous 2.5% fee. They explain the increase is due to an upcoming interchange price increase (the cost of processing a credit card) from several major credit card companies.
While .35% might seem like a small change to a casual observer, those in the hobby realize how major the change is when calculating tiny margins or trying to decrease cost of signup bonus spend or cost-per-point.
Plastiq already stopped allowing most prepaid gift cards from working on the platform early this year, and with this fee increase I think many miles-and-points enthusiasts will stop using Plastiq entirely and just use Paypal with their 2.9% (+ 30 cents) for sending money to a friend with a credit card.
I can still see Plastiq useful for someone with who needs to send large amounts and doesn’t want to deal with Paypal/friends. Also, businesses might still find Plastiq useful. In any case, the initial appeal of the lower 2.5% fee is no longer here.
News of the change has not yet been sent out widely to Plastiq users, it was first reported by Milestomemories, and I confirmed it with Plastiq chat. They confirmed that the change will take place across all cards and all payees, and that users will be notified this week.
I’ve confirmed with Plastiq chat that payments scheduled now for post-July 1st will maintain the 2.5% fee structure. Thus, it could be worth locking in the lower fee and scheduling out payments during June for the subsequent months.
You can read our Plastiq review here.
Not sure where to post this
US Bank Business card and Plastiq
LIMITED TIME OFFER
The Plastiq fee is waived on your first $5,000 in Plastiq payments – a savings of up to $142*.
Enroll by 12/31/2021
*Savings will be automatically reflected when making a Plastiq payment for new Plastiq customers only.
Plastiq.com/USBCoupon
This sounds like a great deal, yes? I just got the US Bank Biz card and can meet $3k spending easily if this Plastiq deal has no fee at all. Please comment. TIA
how often can you safely change credit cards linked to plastiq?
VGCs are a no-go, right?
thanks!
looks like fees is back to 2.5%. I see it on plastiq website
I still see 2.85% (both when I try to make a payment, and on their homepage).
Same, still seeing 2.85%
I simply use paypal (or similar products), transfer in morning to your checking (2.9% fee). All the funds will be in your checking in a couple of hours compare to plastiq (7-10days)
Plastiq is over for me.
Fee now shows 2.85% for me. (When I checked earlier today, it was still 2.5%; but then at 9:15am PT I got an email from Plastiq about the fee increase, and after that the fee indeed changed.)
No change in fees yet. Still seeing 2.5% for new payments in my account.
Same here, still seeing 2.5% fee
To pile on, I was trying to set up 1040 tax payments and their new website doesn’t connect to the old one and there’s no place to fill out the IRS’s required SS#, Phone, Form. I emailed support and they said they would ask me the details AFTER I submitted the payment – not really confident that will work out as planned.
They also can’t seem to run the Starbucks prepaid on reoccurring basis, it has to be submitted manually every month.
I’ll still use it for 15 debit charges every month, but any payments of size – nope.
I’m having similar issues with recurring payments, even in small amounts.
Any fixes?
That cuts the point-earning profit I was getting from mortgage/lease payments to almost nil. They just lost all my business.
any alternative for paying mortgage
Terrible move. They should instead be reducing fee to assist those affected by covid who are forced into paying utilities, rent, mortgage with credit card and get good PR out of it. instead they do the opposite.