The True Cost of Traditional Payment Methods (and How VerityPay Saves You Money)

In the fast-paced world of business, managing costs is a constant priority. Payment processing—an essential yet often overlooked aspect of operations—can be a significant drain on resources when businesses rely on outdated methods like checks, bank transfers, or complex app-based solutions. Let’s uncover the hidden costs of traditional payment methods and explore how VerityPay’s SMS payments offer a cost-effective, modern alternative.

The Hidden Costs of Traditional Payment Methods

1. Check Payments

   • Printing and Postage Costs: Printing checks, envelopes, and postage add up quickly, especially for businesses making frequent payments.

   • Manual Labor: Writing, signing, and mailing checks takes time and requires staff resources.

   • Lost or Delayed Payments: Checks can get lost in transit or delayed, frustrating recipients and causing administrative headaches.

   • Fraud Risk: Checks are susceptible to forgery, which can lead to financial losses and security issues.

   Average Cost per Check: Between $4 to $20 when factoring in labor and processing time.

2. Bank Transfers and Wires

   • High Fees: Domestic wire transfers often cost between $15 to $30 per transaction, while international transfers are even more expensive.

   • Processing Delays: Banks often take several days to process transfers, causing delays in recipient access to funds.

   • Limited Accessibility: Not all recipients have bank accounts or easy access to banking services, creating barriers.

3. App-Based Digital Payments

   • Setup Complexity: Recipients often need to download apps, sign up, and link bank accounts, adding friction to the process.

   • Platform Fees: Many digital payment platforms charge transaction fees or a percentage of the payment amount.

   • User Limitations: Not all recipients have smartphones or reliable internet access, limiting adoption.

   
   

How VerityPay Saves You Money

VerityPay’s SMS payment solution offers a streamlined, low-cost alternative to traditional methods. Here’s how:

• Low Transaction Fees: VerityPay charges just $0.99 per transaction, a fraction of the cost of checks, wires, or other platforms.

• No Hidden Costs: With VerityPay, there are no monthly fees, setup costs, or percentage-based charges.

• Time Savings: Automating payments reduces manual processing time, allowing your team to focus on other critical tasks.

• Reduced Errors: By digitizing the payment process, businesses can minimize errors and avoid the costs associated with reissuing payments.

Improving Customer Experience While Reducing Costs

Cost savings aren’t just about numbers—they also impact customer satisfaction. Traditional payment delays can frustrate recipients, while lost checks or inaccessible funds damage trust. VerityPay ensures payments are:

• Instant: Funds are accessible as soon as the SMS is received.

• Simple: No apps or sign-ups are required, making it easy for any customer to collect their payment.

• Secure: VerityPay adheres to top security standards, ensuring every transaction is protected.

By reducing friction and eliminating unnecessary costs, businesses can improve relationships with customers and build trust that translates into long-term loyalty.

Industries That Benefit the Most

Businesses in various sectors are switching to SMS payments to cut costs and improve efficiency:

• Insurance: Faster claim disbursements without mailing checks.

• Gig Economy: Quick, low-cost payments to contractors.

• Retail and E-Commerce: Streamlined refunds and rebates.

• Utilities: Simplified overpayment reimbursements.

Conclusion: Switch to a Smarter Payment Solution

The costs of traditional payment methods—both visible and hidden—can add up quickly. VerityPay’s SMS payment solution eliminates these costs, offering a low-cost, efficient, and user-friendly alternative that saves businesses time and money.

It’s time to modernize your payment process.

Want to see how much you can save? Request a Demo with VerityPay and start reducing your payment costs today.