Groupon, which offers one-day discount deals for consumers, has launched a new payment service called GrouponPayments. The app-based service, which uses a plug-in card reader, enables US-based businesses to accept all credit card payments while guaranteeing a lower rate than other providers.
Merchants will receive credit card deposits in their bank accounts overnight, which is faster than many other credit card processors. They can also use the iOS app to redeem Groupons and monitor additional spend. Card charges are 1.8% plus $0.15 per transaction for MasterCard, Visa and Discover; American Express is charged at 3% plus $0.15 per transaction.
Mihir Shah, VP of Mobile and Merchant Products at Groupon, said “Our goal is to provide merchants with the most affordable and powerful tools to run and grow their businesses. With groundbreaking pricing and service, Groupon Payments does just that.”
Similar mobile payment services are already offered by a number of companies including Square and iZettle.