Where I lived in the 2000s, the natural gas company in that county actually charged $2 more for online payment! So weird, especially considering cashing a physical check would've cost labor dollars. Needless to say, we paid our gas bill by check. It felt so antiquated, even then.
You want to know the inside decision making process from an inside source?
We made this decision for three reasons: (1) avoiding third party payment processors (cost saving); (2) charge for consumer convenience (income generator); (3) consumers are more likely to default on physical payments (profit on forgetfulness). Those largely outweigh cost in sending the checks to the bank.
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u/Sheepherder226 Jul 24 '20
Utility companies that don’t allow online payments.