New RewardPay Rates are not really good enough

[ChrisFlyer]

Wonder if B2Bpay will also reduce their rates to match - they used to be (are?) 2.4%+GST for Amex too.

I got a hold of B2BPay this week and asked them - their response was that they were not changing their rates at this time, so RewardPay will again be my go-to for AMEX payments, although longer term I'll have to consider whether there's still enough value in doing so.

However, RP can only do EFT bill payments, whereas B2BPay has the advantage of BPAY also, which is the only option on some of my bills. Any other services doing BPAY at a lower rate than 2.4% + GST for AMEX?

 

[daft009]

I got a hold of B2BPay this week and asked them - their response was that they were not changing their rates at this time, so RewardPay will again be my go-to for AMEX payments, although longer term I'll have to consider whether there's still enough value in doing so.

However, RP can only do EFT bill payments, whereas B2BPay has the advantage of BPAY also, which is the only option on some of my bills. Any other services doing BPAY at a lower rate than 2.4% + GST for AMEX?

Yes contact @ferni

 

[albyd]

I second that. @ferni's current rate is 1.95% and can do both BPay and EFT payments.

 

[ChrisFlyer]

Just as an update: B2BPay clearly hasn't informed all of their staff about what they're doing - they got back to me again with this link, which says the fee is going down to 2.2% + GST:

https://www.b2bpay.com.au/upsideofamexchanges2019/

No tiered discount rates like RewardPay but better than before, at least when you have to BPAY and can't use RP. Will have to look into that other method too, thanks!

 

[ninja-tim]

Just as an update: B2BPay clearly hasn't informed all of their staff about what they're doing - they got back to me again with this link, which says the fee is going down to 2.2% + GST:

The upside of Amex changes in April 2019 | B2Bpay

No tiered discount rates like RewardPay but better than before, at least when you have to BPAY and can't use RP. Will have to look into that other method too, thanks!

It's so cringeworthy reading that post on b2bpay website.

But, because the earning rate has more than doubled, you are still ahead and will earn more points than before. Plus you will pay the reduced B2Bpay processing fee. Winner!

 

[hossein_au]

I never really understood how people used RP when there was/is EBP. Gong down from 2.6% to 2.1% when AmEx earn rate has been halved? Even the 2.6% was well above what I did consider reasonable in the then marketplace. If people are happy to pay 2.1% in the current market, they deserve to be parted with their money (and no getting much point for it).

Good riddance RP.

 

[amaroo]

I never really understood how people used RP when there was/is EBP. Gong down from 2.6% to 2.1% when AmEx earn rate has been halved? Even the 2.6% was well above what I did consider reasonable in the then marketplace. If people are happy to pay 2.1% in the current market, they deserve to be parted with their money (and no getting much point for it).

Good riddance RP.

Where did you get 2.6% from?

 

[albyd]

RP quote their fee ex GST to make it seems ever so slightly less scary. 2.4%+10% GST is 2.64%. Post Explorer even at 2.1%+GST it’s very hard to swallow that sort of cost unless it’s a way to provide working capital for your business through using your Amex credit line. Then it’s a cost of doing business depending on your margins.

 

[amaroo]

RP quote their fee ex GST to make it seems ever so slightly less scary. 2.4%+10% GST is 2.64%. Post Explorer even at 2.1%+GST it’s very hard to swallow that sort of cost unless it’s a way to provide working capital for your business through using your Amex credit line. Then it’s a cost of doing business depending on your margins.

I see, never worried about GST as it was TD for me.

 

[elogic]

Has anyone used new startup Bluechain?

COMPONENT	DESCRIPTION	BENEFIT
Convenience fee	The convenience fee covers the cost of processing the payment.	–1.95%
Reward points	Payments on American Express cards typically attract 2 points per dollar, with an average value of 2 cents per point—that is, around 4%.

 

[33kft]

Payments on American Express cards typically attract 2 points per dollar, with an average value of 2 cents per point

I wonder if their valuer does property valuations as well. They seem mighty generous.

 

[Duffa]

No offence OP, but why is this thread even here??
B2B has been halved with the Amex enhancement. Cutting the penalty from 2.4 to 2.1 is shuffling deck chairs.
On my spreadsheet, B2B is now double the cost of the dragon to Europe in J
It used to be $300 more; which I justified on the grounds that Amex/B2B yielded twice as many flights per dollar.

Even at top rate tax, B2B is now a dud, dinosaur, relic, curiosity, money-pit, false hope, Trojan horse (until everything else falls over)
Then, I might be back...........

 

[33kft]

No offence OP, but why is this thread even here??

To confirm our suspicions about the "improved" fee schedules for AMEX payment processors post-deval, I would say.

 

[albyd]

I suspect Amex might have already doled out merchant fee cuts and this reduced revenue to fund reward points was one of the justifications for the cuts. I'm disappointed these payment processors haven't cut as they're likely cutting into their margins to try to placate us s their customers. With Amex's cut in MR redemption rates together with regular devaluations by airlines, the threshold for me paying for points has reduced dramatically. I wonder what RP, B2BPay, etc's margins are and how much lower they can/will go before they throw in the towel.

 

[33kft]

Maybe the signal from the payment processors is that Amex has totally screwed customers by drastically devaluing rewards and offering paltry merchant fee reductions?

 

[Duffa]

I dunno Alby but at $4,300 to maybe, just MAYBE, get a points J to Europe on EK I think I'd pull out the cold hard readies and earn points and status on another carrier

 

[Bell21]

Not sure if this has been raised elsewhere but the new terms for RP are interesting! I don't recall them being so restrictive before around 3rd party transactions and not using RP for particular Suppliers (eg Telcom). Another reason why RP has lost its value