At LaGrange County REMC, we’re always looking for ways to better serve our members. Every dollar counts — especially when it comes to keeping our systems reliable and affordable. One area that often flies under the radar, but has a significant impact, is credit and debit card processing fees.
Each time a member pays their bill with a credit or debit card, a processing fee —sometimes up to 3% — goes to the credit card companies. When multiplied across thousands of transactions each month, those fees add up quickly, costing us all.
Our Strategy
To help manage these costs and deliver more value to our members, we’re taking steps to reduce our reliance on high-cost payment methods.
1. Encouraging bank draft (ACH) payments
One of the most effective ways we can reduce processing fees is to shift our members from credit and debit card payments to ACH (Automated Clearing House) payments. ACH transactions are one of the most efficient and cost-effective ways to process payments. Unlike credit and debit cards, ACH transactions come directly from your bank account. This also means there is no expiration date, potentially causing denied payments in the future or interruption of service when your card expires and you forget to update us with your new card information. ACH payments, when set up through our office, automatically draft and pay your balance one business day before the due date.
2. Promoting e-check auto payments
We’re making it easier than ever to sign up for auto payments on your own. If you feel more comfortable setting up auto payments via our payment portal, you can enter the banking information and even pick which date you want payment to be made — on the due date, or anytime before the due date. This method is cost-effective but also secure and reliable, with fewer chances for late or missed payments when it’s set up on autopay.
3. Offering incentives to make the switch
To thank our members who choose ACH payments or auto payments from a bank account, we’re holding monthly drawings. Each month, six participants will receive a $25 bill credit — a small token of appreciation for helping us operate more efficiently.
Reducing credit and debit card processing fees may seem like a behind-the-scenes effort, but the long-term savings are substantial and benefit all of us. Every dollar we save in operating expenses is a dollar that can be reinvested into system upgrades, reliability improvements, or returned to our members.
We appreciate your support as we continue to improve how we serve you — efficiently, securely, and cost-effectively.
