Credit card processing fee only applies to RENT but not to Total amount
Hi there. I'm using Stripe as a payment processor. I have added a Credit card processing fee 4% but it is only applies to RENT but not to all amount like Cleaning fee, taxes or pet fee, etc. I end up paying hundreds of dollars out of my pocket every month plus I receiving questions from the owners.
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Adam Nye commented
This is extremely important. Thanks for sharing, Vad. I am literally losing money on every single direct booking or VRBO booking, because the Stripe fees and VRBO commissions, plus local taxes, SHOULD BE calculated on the total payment processed, NOT the base rent. We need a way to manually adjust how our fees are being calculated.
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Deana Steele commented
@Hostfully @Michele has there been any consideration on this? I see the fix as a simple option to check off to in the fees pages. Do you want the fee to apply to only rent, only fees or grant total
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Deana Steele commented
Yes the stripe fee needs to be calculated on the entire amount AND the stripe fee itself.
"To include the Stripe fee in the final charge, calculate the gross amount, taking into consideration that increasing the final amount ALSO increases the Stripe fee: the Stripe fee is a flat fee plus a percentage of the total charge."
in my case the flat fee is $0.30 plus 2.9% f the total charge
how can we solve this problem?
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Wendy Hortis commented
Stripe applies the 3.9% payment processing fee to the entire booking - rent + fees + taxes and the rate multiplier only applies 3.9% to the rent. Therefore I'm incurring a loss and I'd like the percentage to be applied to the entire booking for the guests to incur that fee rather than myself the property manager and the owner.
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Sidra Gross commented
Yes please!
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nicole commented
There should be an option when you add a percent% based fee "calcuate on statement total" (obviously not on tax) or "calculate on rent" only.
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Minty Living commented
YES PLEASE! I am currently having to manually calculate and input the fee on each reservation in Hostfully to account for the Stripe Fees. Additionally, Stripe allows our tenants to pay via Wire Transfer, but using Stripe for payment via Hostfully only allows for CC transactions.
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Vad commented
Thank you. I understand the Vote system but in my opinion, this is a huge problem and it is easy to fix.
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AdminThien (Admin, Hostfully) commented
I see Vad. Thank you for clarifying it. Now we understand your idea. We added it to the list of feedback tickets and our engineer will consider adding it next time they work on this field of the product based on the votes on this idea.
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Vad commented
Hi. Here is a real example from the past reservation.
Rent $ 435
Cleaning fee $ 100
Cleaning Fee Tax $ 12.75
Fee For Damage Liability $ 300.00
Credit card processing fee $ 13.05
Taxes $ 55.47
SO the Credit card processing fee $13.05 is 3% of $435 but STRIPE charged me $36.03(Hostfully application fee:$9.16 and Stripe processing fees:$26.87).
I can send you screenshots to prove it.
I don't want to charge my guest extra but I have to increase my Credit card processing fee to compensate for it but it's still not accurate.
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AdminThien (Admin, Hostfully) commented
Hi Vad.
Thank you for your message. Actually, all the fees and custom fees are based on the rent amount, not the total amount. Can you please check it again and let us know how it goes?