UPDATE: New Payment Processor Starting January 2026

 In News

Citizens of Atchison,

This is an update to the previous post from July (full text below) about card fee transactions. At the City Commission’s direction, staff negotiated with our current card processing company for several months. The current processor was unable to bring their rates down to an acceptable level, so staff began researching our options for a new transaction processor. After receiving quotes and demos from many reputable processors, staff recommended and the City Commission approved a contract with InvoiceCloud in September. Moving to a new processor is a more time-consuming endeavor, and we anticipate completing that transition in January, 2026.

The City is excited for the new and improved bill pay service through InvoiceCloud starting in January! The new platform will feature a user-friendly portal and more features to view and pay bills online. You will be able to schedule payments, pay by text, pay with popular mobile wallets, and more. It is simple, safe, and secure. Residents who currently pay their bills online or through automatic payments with our current processor will need to re-register their account and re-enroll in AutoPay during the transition process. While this step will require some input from the resident, InvoiceCloud will contact you directly to facilitate the transition before the end of 2025. The City will also send out several informational mailers with the upcoming paper utility statements.

The transaction fee structure will also change in January with the launch of the new InvoiceCloud platform. As of January 1st, all credit and debit card payments, including those through a mobile wallet, will incur a 3.15% transaction fee ($1.95 minimum fee). Automated phone payments (IVR) will incur an additional $0.95 transaction fee. These fees are paid directly to InvoiceCloud through their platform. With InvoiceCloud’s platform, you can:

  • Pay your utility bills anytime 24/7 via the easy-to-use online portal
  • Schedule a payment for any future date (on or before the due date)
  • Enroll in AutoPay – to save time and avoid late or missed payments
  • Pay by Text to get text notifications about your bill and pay by text if you’re on the go
  • Pay via mobile wallet methods like Venmo, PayPal, Apple Pay, and Google Pay
  • Setup Paperless Billing and text/email payment reminders

The City will continue to offer several options for residents to make payments without incurring any transaction fees. The first option is to pay with cash or check. Cash or checks can be delivered to the Customer Service window on the first floor of City Hall (515 Kansas Avenue), sent to City Hall via US Mail, or placed in the secure green drop box in the alley behind the post office (the alley is north of Kansas Avenue and it runs between 6th Street and 7th Street). The other option is for those who want to continue with the ease of automatic payments without the added transaction fees: automatic ACH bank drafts. To setup automatic payments via bank draft, complete a Bank Draft Form, which can be downloaded by clicking this link or picked up in-person from the Customer Service window on the first floor of City Hall. The completed bank draft form should be turned in with a voided check at the Customer Service window, in an envelope in the green drop box, or scanned and emailed to reaganf@cityofatchison.com . One important distinction to consider: AutoPay on InvoiceCloud’s platform (with transaction fees) can be scheduled for a specific day of the month, but automatic ACH bank drafts with the City’s Bank Draft Form (no transaction fee) will be withdrawn from the account on the utility statement’s due date.

If you have additional questions or concerns during the transition process, please reach out to us at (913) 367-5500 or customerservice@cityofatchison.com.


Mark Westhoff, City Manager

 

 

ORIGINAL POST FROM JULY 22, 2025:
Citizens of Atchison,

As part of our operations, the City of Atchison needs to accept payment for utility bills, code enforcement assessments, municipal court costs, permit fees, and various other fees. We have always accepted cash, check, or credit card for these payments. As most people know, credit card companies like Visa, Mastercard, Discover, and American Express, as well as the credit card servicing companies, charge a percentage fee to all organizations that accept payment through their cards, and in the past the City has built those fees into our budget for each year so that residents paying with credit cards would not have any added costs. This year, the combined credit card fees between the four credit card companies and our credit card servicing company skyrocketed. In the first six months of 2025, the City has paid over $215,000 in credit card fees, representing an average of more than 11% per transaction! This six-month total equals more than the fees paid in any previous full year.

In response, the City is doing two things: First, we are attempting to renegotiate the fees charged by our credit card servicing company, and if they will not renegotiate, we will attempt to find a more reasonable servicer. Second, we will be charging a credit card fee on all transactions starting October 1, 2025. Flyers with this information will be sent out in August and September to all utility customers, so please check your statements. As of right now, we will be charging the Federal limit of 4% per transaction, unless we can negotiate a lower service fee or find a new credit card servicing company with a lower fee. If that changes, we will make an announcement with the lower percentage.

Another factor leading to the ever increasing credit card fees the City has been paying is the level of use. In the past, most residents chose to pay their utility bills using other methods, but today, over 2/3 of all City of Atchison utility customers pay using a credit card. Who can blame them? Setting up autopay with a credit card is a hassle-free way to ensure your bills are paid on time every month. So what now?

The City is providing three options to our utility customers. The first option is to continue paying with a credit card and start adding the new fee percentage to your monthly payment. Maybe those mileage points are really worth it! The second option is to pay with cash or check. These forms of payment can be delivered to the Customer Service window on the first floor of City Hall (515 Kansas Avenue), sent to City Hall via US Mail, or placed in the secure green drop box in the alley behind the post office (the alley is north of Kansas Avenue and it runs between 6th Street and 7th Street). The third option is for those who want to continue with the ease of autopay without the added credit card fees: automatic ACH bank drafts. To setup automatic payments via bank draft, complete a Bank Draft Form, which can be downloaded by clicking this link or picked up in-person from the Customer Service window on the first floor of City Hall. The completed bank draft form should be turned in with a voided check at the Customer Service window, in an envelope in the green drop box, or scanned and emailed to reaganf@cityofatchison.com .

We know that this change is going to cause some short-term headaches for City residents and staff, but we also believe this is the best way to be responsible with your tax dollars. Credit cards provide a lot of convenience, but the City has an equally convenient method to allow for automatic payments that requires one simple form to set up and costs nothing to the resident or the City.

If you have additional questions, please reach out to us at (913) 367-5500 or customerservice@cityofatchison.com

 


Mark Westhoff, City Manager

 

**This post was edited to account for the Federal surcharge limit of 4% per transaction.