I’m sure there are a lot of factors to this change, but I think this is really bad for patrons and creators with many $1 pledges. I know there are large credit card fees for small transactions, but one of the bonuses of Patreon is that if I pledge $1 each to 20 creators is that one single $20 charge (after the first possible up-front charge) which would be subject to credit card transactions of something similar to 2.9% + $0.35
Example of current credit card fees:
- $20 * 0.029 + 0.35 = $0.93 credit card transaction fee (currently absorbed by 20 creators)
With this new fee structure, as currently explained:
- $1 * 0.029 + 0.35 = 0.38 * 20 = $7.60! new transaction(?) fees (paid for by the patron)
Now, I would think it would be ok and even beneficial to the whole system if patrons were charged the credit card fee every time their card was charged, but to have each pledge individually charged the credit card fee seems crazy and removes one of the benefits of creators being on Patreon and for patrons to pledge to multiple creators.
Is my analysis accurate? Am I missing something? What do you all think?