Melio vs. Plastiq: Differences
You must thoroughly analyze these tools in order to determine what makes them unique from one another. But, if you look closely and for a long enough period of time, you will discover that there are significant variances.
Let’s start with the key differences between the two tools, which happen to be mostly based on their respective costs. While some of the variations are plain to see, others are more subtle if you like, they are in small print.
Although slight, there is a notable difference between the pricing strategies employed by Melio and Plastiq. As was covered in the section preceding this one, both models share a number of traits. Because there is no fee to sign up or an ongoing fee, each of these solutions is essentially free to use.
The distinction between them is that, despite serving the same purpose, each of them charges a fee for a certain kind of transaction.
Both Melio and Plastiq charge a transaction fee when processing credit card payments on their individual platforms. Whether your business gives credit to suppliers or vendors so that you can pay them, or whether you give credit to customers so that you may collect payment from them, each of these interactions has a price.
For credit card payments, Melio charges 2.9% of the total transaction amount, whereas Plastiq charges 2.85%.
Even while a difference of 0.05% may not seem like much, business owners, especially small business owners, place a high value on every single penny, thus this difference could end up being rather significant.
Plastiq also charges the same fee for debit purchases as it does for credit transactions, which is potentially more important. There are considerable differences between the two tools, and it’s probable that these differences will influence your choice of which one is ideal for you.
Last but not least, there is a difference in pricing that may have an impact on your relationship with your customers, either positively or negatively. This may be the most important point.
Both of these systems charge a fee for processing credit card transactions, as was already mentioned. Both payments made to suppliers and to customers are subject to this fee. Using Melio, you as the business owner may decide whether you or the client is liable for covering that expense while keeping in mind the interests of your customers. While making a purchase from you using a credit card while utilizing Plastiq, your customer has no choice but to be charged.
Despite the fact that Melio charges a little less than Plastiq for processing credit card transactions, in my opinion, Melio wins this battle. The fact that Plastiq also charges fees for debit transactions and does not give businesses the option of relieving their customers of the financial burden associated with paying such costs for their business favors Melio.
Don’t forget to check out my Comprehensive Melio Review 2023, Click Here to Read.
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