Rent The Roo, an Australian firm providing consumer leases, is partnering with direct bank payments fintech GoCardless, in a move to remove punitive dishonour fees for its customers and deliver fully digital direct debit payments and increasing payment success rates.
Through the partnership, GoCardless is enabling Rent The Roo customers to access real-time updates and reminders for upcoming payments. The initiative aims to help these customers track pending and completed transactions more easily, to offer enhanced visibility and control over their instalments.
GoCardless has also assisted Rent The Roo in boosting customer satisfaction by eliminating customer payment dishonour fees. Similarly to many other payment service providers in Australia, Rent The Roo’s previous provider charged dishonour fees when payments were missed, paid late, or if the customer made an error in the process.
However, Rent the Roo explained that this caused some customers to mistakenly believe the charges originated from it. By removing these charges, customers have a reduced risk of falling further behind on payments and more transparency over the fee structure.
Eve McIntyre, general manager at Rent The Roo
“With our previous payment provider, debit transactions could appear as pending for 24 to 72 hours, often causing confusion about whether a payment had been made,” explained Eve McIntyre, general manager at Rent The Roo. “This led to missed payments and unfair third-party fees piling up for clients. With GoCardless, we’ve taken those charges out, keeping repayments straightforward and fair—no extra penalties attached.
“Not having dishonour fees has significantly eased our customers’ concerns. They used to assume dishonour fees were from Rent The Roo when we had no control over them. GoCardless believes payments should be transparent, which is why it doesn’t charge dishonour fees, meaning customers feel more at ease communicating openly with us about any anticipated missed payments.”
Embracing payment automation
With GoCardless, payments are automatically pulled from customers’ accounts when due, which has improved payment success rates.
This setup ensures payments are always collected on time and without hassle for both Rent The Roo and its customers. GoCardless’ digital-first model has also provided benefits, and the team have worked with Rent The Roo to scale GoCardless across the whole franchise network seamlessly to rectify any fragmented data and processes that these networks often suffer from.
Luke Fossett, general manager, ANZ, GoCardless
Luke Fossett, general manager of Australia and New Zealand at GoCardless, also commented: “We’re really proud to support businesses like Rent The Roo with a payment system that’s simple, reliable and transparent.
“Often, businesses are reluctant to make significant updates to their payment network due to the difficulty of getting franchisees up to speed at the same time while ensuring customers are not negatively affected. We listened to their challenges and provided personalised support during their data migration from their former payments provider. This whole bulk change process was handled with care to reduce any risk of customer friction and churn.
“Using bank payments for instalments offers greater security and reliability for both our merchants and their payers. With direct debit, payments are automated, which reduces the risk of missed or late payments, helping businesses maintain a more predictable cash flow.”
The post GoCardless Brings Payment Automation to Rent the Roo Customers and Eliminates Dishonour Fees appeared first on The Fintech Times.