Payment Links, Cards and Bank Transfer: Which to Offer

Bank transfer: the default

Bank transfer remains the simplest, cheapest way to get paid. For tradespeople working on tight margins every pound counts, and a straight BACS or Faster Payments transfer means no merchant fees to eat into your margin. Faster Payments is instant or near-instant for most customers, so when you put bank transfer as your default method you keep your costs down and your bookkeeping straightforward. Make it dead easy for the payer: put your account name, sort code and account number in bold on every invoice, and include a clear payment reference they must use.

That said, bank transfer creates friction for the customer which can slow payment. They have to log into internet banking, copy your details and enter the reference correctly. For some clients that’s fine; for others it’s another job they’ll leave until later. You can reduce that delay with simple, polite reminders: a text the day the invoice is issued, a short email the morning it’s due, or a friendly follow-up call. A quick nudge often gets the money moving without appearing desperate or unprofessional.

If you do recurring work — maintenance, monthly checks, or a trades retainer — get standing orders or direct debit arrangements in place. Standing orders are simple to set up from the client’s internet banking and remove the hassle of repeated manual transfers. For recurring payments or subscriptions you could use a direct debit service like GoCardless; it normally carries a small fee but is excellent for predictable cashflow. Once set up, recurring payments cut out late payments and free you to focus on the job, not the ledger.

Use technology to automate what you can. Accounting packages like Xero or QuickBooks will send invoice reminders, mark payments when they arrive and reconcile with your bank feed, which saves time and reduces errors. Make sure your invoices show the invoice number and ask the client to use that as the payment reference — it makes reconciliation painless. Finally, check with your bank about any transfer limits or delays; some business accounts impose caps or require authorisation for larger sums. Know your banking rules so you don’t get surprised on pay day.

Card payments and payment links

Card payments and payment links have become essential tools for tradespeople who want cashflow without the bother. Providers such as SumUp, Square and Stripe let you add a ‘Pay now’ link to an emailed or texted invoice, or take a card on-site with a compact reader. For many customers this removes the friction of logging into online banking — they tap a link or the card reader and the job is paid. That speed is useful after a completion day, emergency call-outs, or when a customer is known to be a slow payer.

There’s a cost: most card processors charge a percentage per transaction, commonly between about 1.5% and 3% depending on the provider and card type. That sounds small, and often it is small compared to the benefit of getting paid on the spot. If a £3 fee on a £200 kitchen worktop payment means you avoid chasing for two weeks, the fee can be worth it. Decide whether you absorb that fee or add it into your price — either way be transparent with the customer so it doesn’t look like a hidden charge.

Payment links are particularly handy when you’re not on-site. Send the link by email or WhatsApp immediately after finishing a job and customers can pay from their phone. Make the link include the exact invoice amount to avoid manual entry mistakes. Some platforms also allow partial payments for deposits or stage payments, and recurring links for retainers. Use payment links for final balances, or when a customer is elderly or uncomfortable with tech — the link simplifies the whole process for them.

If you rely on card payments, think about when to offer them. For one-off small jobs, or for customers with a history of slow payment, a payment link or on-site card reader is sensible. For larger projects, stage the payments and insist on bank transfers for bigger sums while offering card for deposits or small interim payments. Consider incentives: a small discount for instant payment by card or an early-payment rebate can get the money in quicker and is a marketing angle that actually saves you time chasing invoices.

Deciding which to offer, and when

Choosing payment methods isn’t about what’s fashionable, it’s about matching the method to the job and the client. Make bank transfer your default on written quotes and invoices — it’s free and reliable. But offer a card option for completion day or for customers who aren’t comfortable with online banking. If you’re fitting kitchens, bathrooms or doing one-off repairs, the customer’s decision fatigue is high at the end of a job; give them an easy way to pay without thinking.

Consider the client type. Trade or commercial clients usually prefer BACS — they have finance teams and regular payment runs. Domestic clients often find card or payment links easier because they handle finances personally and prefer the convenience. If you’re working through an estate agent or property manager they’ll likely have a payment portal of their own. Tailor your ask: BACS for trades, card for homeowners, and portals for commercial work as needed.

Set your terms early and make them clear. Require a deposit and stipulate which methods you accept for that deposit in your quotation. For large jobs, stage payments via bank transfer are sensible: deposit by card or link, then larger interim payments by BACS. Put payment terms and due dates in writing and insist customers sign the estimate or contract. That way there’s no surprise when you chase a late invoice — they agreed the route and the schedule from the start.

Don’t be afraid to offer both and make the costs clear. A line on the invoice such as “BACS preferred (no fee). Card payment available via link (approx. 2% fee)” gives customers the choice and sets expectations. If late payment interest applies, say so. This mixed approach protects your margin while still giving customers the easy options they increasingly expect. You’re running a business, so balance convenience with cost, and choose the method that protects cashflow first.

On-site card readers: practical tips

If you take a card on completion, choose your hardware and provider wisely. Compact, robust readers from credible providers are cheap and simple to operate. Try a few brands before committing and test how they handle contactless, chip-and-PIN and mobile wallets. Practise on a colleague’s card so you’re fast and confident on-site; fumbling with the device in front of a customer looks unprofessional and slows payment. A tidy, quick transaction leaves the customer with a good impression and leaves you paid for the work.

Think connectivity. Some readers require a mobile or Wi‑Fi signal, others can process offline and sync later. If you’re working in rural areas or high-rise refurb jobs where signal is hit-and-miss, prefer devices that can operate offline for a short period. Receipts can be sent by SMS or email, which is better than carrying a printer. Make sure your customer details are correct so receipts arrive to the right phone and you keep clear records for later reconciliation.

Watch the small print. Some providers lure with free devices but tie you into contracts or higher fees. As a sole trader you usually want a no-subscription model with a per-transaction fee — predictable and low overhead. Read terms on chargebacks and disputes; some providers are quick to hold funds if a customer queries a transaction. Keep invoices, completion sign-offs and photos in case of disputes. A clear paper trail stops problems and speeds up any appeals.

Handle the customer conversation cleanly. Don’t blame fees on the customer; either absorb the fee in your price, or explain calmly that card payments carry a small processing cost if you choose to pass it on. Keep the payment process visible: show the cleared transaction on your phone, issue a receipt and thank them. If they prefer bank transfer, give them the details then and there so they don’t forget — offer to send the invoice with your bank details as a text or email straight away.

Handling late payers, deposits and contracts

Prevention beats cure. Require a deposit for materials and to secure your slot — particularly for larger jobs or when materials are bespoke. State the deposit percentage and acceptable payment methods in your estimate and get it signed. For ongoing maintenance contracts use standing orders or direct debit so you don’t chase each month. When clients agree to terms in writing you reduce ambiguity and make chasing overdue payments a matter of following your own agreed process rather than pleading for cash.

Have a structured chase process. First a polite reminder on the day an invoice is due, then a direct text or call a few days after. If that fails, send a formal reminder with payment instructions and a clear deadline. Use automated reminders from your accounting software to keep a paper trail. If the customer still refuses to pay, move to formal letters before Small Claims. Keep communication factual and unemotional; you want the money, not a row, and a calm record helps if you must escalate.

Know the risks of card payments: chargebacks exist and a customer can dispute a card payment after the event. For that reason keep good evidence: signed completion forms, dated photos, material invoices and clear scope-of-work documents. For domestic jobs get a sign-off on completion; for larger jobs consider a snagging list signed by the client. This evidence is your defence if a disgruntled customer opens a dispute and the card company freezes funds while investigating.

If cashflow is the problem, a small fee for card payments can be the cheaper option overall. Losing a week or two of invoices makes it harder to buy materials or pay your lads. Consider short-term overdraft or invoice factoring only as a last resort — they cost. Sometimes it’s better to pay the processing fee to speed payment and keep the business running. Know your break-even: if the fee saves you having to borrow or delay payroll, accept it and move on to the next job.

Common mistakes

• –Only offering bank transfer to customers who are known slow payers
• –Hiding card fees and surprising the customer at payment
• –Not having a card reader available for on-site completion payments
• –Assuming payment links are only for large companies — most invoicing apps include them for free

Questions people ask

Can I charge customers extra to cover card fees?

You can build the cost into your pricing or state a small surcharge, but be transparent about it upfront on the invoice rather than adding it as a surprise.

Is a payment link safe to send by text or email?

Yes, provided it's generated by a reputable payment provider — the customer pays via the provider's secure page, not by sending you card details directly.