This seems to be very common within the tourism industry.
People think cheque payment is quick an inexpensive but think again:
Disadvantages to cheque drawer:
- Banks charge more for processing cheques.
- You have to track outstanding cheques in your bank account to ensure you don't become overdrawn to avoid additional bank fees.
- You have to post/deliver the cheque to the person
- Even if you are not been charged by the bank for using cheques you might be able to obtain a better deal by moving to electronic payments.
- There is a cost to the person you are sending the cheque to.
- They will have to pay more to bank a cheque
- The funds are not immediately available
- They have to physically visit the bank.
- Pay via internet banking
- Pay via credit card (or use a debit card)
In a previous web hosting company we used to offer a discount of 5% for direct credit and 2% for credit cards to encourage people to move to a cheaper payment method.