Accepting payments as a freelancer is an essential step of getting paid. Clients pay in all kinds of different ways, and sometimes that means they pay with credit cards. While accepting credit cards as payment can be a pain for several reasons, it doesn’t have to be.
Clients: Keep in mind that when paying freelancers with a credit card, you’re going to encounter some kind of payment fee. It might be 3%, it might be 1.5%, but it’s definitely going to be something. If you don’t like this, it might be better to use other freelancer payment methods.
Freelancers can accept a credit card as payment in several different ways, here’s how.
Accept credit card payments with PayPal
PayPal is my go-to payment method as a freelancer because it can do it all, including credit card payments.
You can either set up a business account or a personal account and start sending out invoices for payments. In my opinion, it’s a bit easier to request payments if you have a PayPal business account, but you can do it with a personal account too.
I’ve sent out hundreds of invoices to clients that have then paid them using their credit cards. It’s a flawless method.
Clients: If you didn’t already know, PayPal charges 2.9% fee and a a fixed fee of 30 cents to process money transfers with credit cards. So if you’re paying a freelancer $100, be prepared to cough up another $3.20.
Venmo for freelancer credit card payments
Venmo might seem like an app for college kids to send each other money, but I promise it’s much more than that. I’ve had several clients pay me through Venmo and it works great.
The app works flawlessly, but both you and your client need to have the Venmo app to send and receive money. This is different from PayPal, where a client can pay an invoice without the PayPal app. It makes online bookkeeping a bit easier for clients this way.
But if you have a client who’s willing to pay via Venmo, they can definitely use their credit cards.
Clients: Venmo charges a 3% fee for sending money with a credit card.
Cash App can process credit card payments
Last up is Cash App. Yes, this might seem like the most unprofessional app out of the lot, but you can really do a lot with it. From buying stocks and crypto to sending money with credit cards, Cash App is versatile. It’s the top money app in the App Store.
Just like Venmo, Cash App requires both parties to download the app before they can start sending and receiving funds. But after downloading it, the rest is easy. Freelancers can create an account and send their $Cashtag to the client who can then pay them with a credit card.
Clients: Cash App has a 3% transaction fee.
Freelancers can accept credit card payments
The bottom line here is freelancers can accept credit card payments in more ways than one. But for clients, this means tacking on a processing fee for using a credit card.
If you’re a freelancer with a client who wants to pay with a credit card, explain that there will be an additional fee, but there are several ways to handle it.
If you’re a client, consider a different form of electronic payment. It could save you some money as you won’t be hit with so many fees. But remember, those transfer fees to freelancers are tax-deductible.
