FE - Credit Cards and Direct Express Cards

[rousemark]

Never touch direct monthly,Green dot or even debit cards. The downside i'm finding with De is when they lose the card you have to chase them down so a lot of service work. Hell i lose my credit cards all the time so thats going to happen.

I have had good results with Direct Monthly Bill. True, the persistency is not as good as PAC but still ranges around 80%..

 

[jdeasy]

I have had good results with Direct Monthly Bill. True, the persistency is not as good as PAC but still ranges around 80%..

I did too. Really no difference in persistency on my direct bill people. Not a noticeable difference anyway.

But once the government stopped sending checks, what's that been 4 years now?, I stopped doing direct monthly bill.

Once that change took effect the only people without an account were people that had a reason to not have an account. I don't want those as clients.

 

[Agent16]

I have had good results with Direct Monthly Bill. True, the persistency is not as good as PAC but still ranges around 80%..

Which companies still allow direct monthly bill?

 

[rousemark]

Which companies still allow direct monthly bill?

SNL, National Security, Settlers, UHL and I am sure many more. The strange thing is that even though Columbian has a debit system, they do not allow DMB or agency collection on their FE.

 

[Newby]

Okay, I'm going to ask a stupid question up front.

I can understand why most companies don't want to take a Direct Express card, because unless they are paid the exact day that money is in the acct, they are not going to get paid at all.

To a certain extent I think that's why we don't see many credit cards accepted as well...plus they eventually expire and can be hacked.

Still though, in this day and age how many people still write checks? Much less know where there check book is?

So...why the resistance to debit/credit cards?

Anyone who doesn't write checks just because they use their regular debit card still has a checking account and that can be set up for the auto draft. So problem solved.

 

[BibH]

Rousemark Columbian does do direct monthly on their Gi after the first draft. It's about 6% more. Also few know this but after the initial draft Trans will bill direct monthly also.

 

[rousemark]

Rousemark Columbian does do direct monthly on their Gi after the first draft. It's about 6% more. Also few know this but after the initial draft Trans will bill direct monthly also.

They might even do that on all the products after first draft.. many companies will in order to conserve business.. . If you are set up for the home service side, you can sell the GI on Monthly Collection but they won't let you sell the FE on DMB or Monthly Collection.

 

[VolAgent]

When my youngest daughter first got her checking account it was not long before she had checks bounced. I sat down with her and helped her balance her checkbook. A little over a month later, checks were bouncing again..I told her she needed to balance her checkbook regularly and she said, "I do Daddy. Whenever I go by and get money out of the ATM, I always write down the balance shown on the receipt."

Had to explain to her that the bank did not know what checks she had written but had not yet cleared.

I never understood why people wouldn't update the checkbook balance with every transaction.

As to the original question. Don't forget fees as well. I believe the fees for cards is higher than ACH. So either that has to be passed on somehow or absorbed by the company.

 

[Thedude]

Random post but I don't think I've written an actual check since 2010-2011.

 

[TampaHound]

Random post but I don't think I've written an actual check since 2010-2011.

Which was sort of my original point. I can understand the resistance to pre-paid cards. I can even understand some resistance to DE cards by insurance companies.

Not so much the debit/credit card. Other than they can be hacked and do expire and then that's a pain in the ass. Yes, I know this is why auto deduct is preferred.

I would also think most people today (although lets say under the age of 60) check their balances and things online. I remember reading somewhere that some smaller banks are not even issuing checks now.