These days, even seemingly antiquated agencies like the Department of Motor Vehicles allow you to renew your license and registration and pay online with just a few clicks. It sure beats waiting in line with your checkbook.
Accordingly, consumer demand for digital payment options has grown significantly.
How can your law firm take advantage of this widespread transition to digital payments? By using a secure, legal-specific payment processing software!
We’ll explain why offering secure digital payments is so crucial for law firms and how CosmoLexPay in particular can reduce the friction between your firm and its clients when it comes time to pay their invoices.
The digital payments boom in numbers
To help you understand this major paradigm shift, here are some eye-opening statistics that illustrate the breadth of the transition to digital payments, as well as consumer expectations about the future:
- According to McKinsey’s 2023 Digital Payments Consumer Survey, nine out of ten Americans use some form of digital payment.
- Cashless payment volumes increased by 42%, and they’re predicted to further increase by more than 80% from 2020 to 2025 and to almost triple by the year 2030.
- One consumer survey found that 89% of respondents agreed that the shift toward e-commerce would continue to increase—which would also result in an overall increase in the proportion of digital payments.
- A 2022 report by the Insight Partners predicts that the digital payment market will grow from $89 billion in 2021 to $243 billion by 2028.
- The total transaction value within the digital payments market is expected to reach $9.46 trillion in 2023 and $14.78 trillion by 2027.
These statistics illustrate the rapid expansion of the digital payments market and the fact that it isn’t slowing down anytime soon.
Consumers have come to expect the option of digital payment in virtually every sphere, and professional services are no exception.
In this context, it’s a smart, future-focused move for law firms to offer their clients the ability to resolve their bills with online payments.
But the way you do it is just as important—if not more.
Law firms have specific billing and payment needs, requiring industry-aware processing solutions that can handle ethical concerns like trust accounting. That makes legal-specific payment processing software the perfect solution for law firms seeking to offer their clients the option of paying digitally.
CosmoLexPay: The ideal legal-specific payment processing software
CosmoLexPay is CosmoLex’s built-in payment processing service. What sets it apart is the fact that it’s a legal-specific payment processing software.
Because it’s an industry-specific payment processor, CosmoLexPay allows law firms to accept credit cards and other digital payments without the risk of violating ethical standards or breaking legal compliance.
- Allows credit card payments to be deposited into trust accounts while allowing charge fees to be withdrawn from operational accounts.
- Addresses chargebacks, voids, and refunds in such a way as to protect your firm from accidental ethics violations.
- Provides robust security and PCI compliance. CosmoLexPay is certified to the highest industry standards and maintains all necessary regulatory licenses to ensure law firms remain compliant.
And because CosmoLex is the only cloud-based legal practice management system with built-in legal accounting, you can run your operations and manage your entire payment landscape from a single platform, accepting credit cards and scheduling payments without ever leaving your practice management software.
The benefits of offering online payments through CosmoLexPay
Giving your clients the option of paying their bills digitally with CosmoLexPay provides numerous material benefits for your firm. Here are six important ones:
1. Clients can pay in ways they’re used to
By offering digital payment through CosmoLexPay, your firm is allowing its clients to pay their bills the way they’re used to (i.e., online payments, most often with a credit or debit card). This has the benefit of reducing overall barriers to payment, meaning that on average, your firm is likely to get paid sooner than it would without the option of digital payments.
2. Take advantage of automation to streamline billing
If you use CosmoLex to manage your law practice, the software allows for efficiency-boosting automations that further streamline your billing process. (However, even if you don’t use CosmoLex for practice management, you can still use CosmoLexPay for digital payments.)
3. Use CosmoLexPay’s dashboard for analytics and more
Access your dashboard through CosmoLexPay’s secure online portal, providing a bird’s eye view that makes it easy to monitor analytics/advanced metrics, scheduled invoices, and how much your firm has taken in over a certain period of time.
The dashboard also allows you to run reports by sales, items, deposits, reconciliations, and more.
4. Offer a variety of digital payment options
Although most clients will likely pay their invoices using credit or debit cards, some clients might want to utilize alternative digital payment options, such as e-checks or ACH transfers.
5. Save on processing fees
Payment processors often charge a greater fee percentage for specialty cards (e.g., corporate or rewards cards), but these days, many clients use these cards to pay their invoices.
By contrast, CosmoLexPay charges a flat rate for most credit and debit cards, which also happens to be less than what most payment processors charge for specialty cards. They also charge a 1% fee (up to $10) per ACH transfer transaction.
6. Get paid faster
Maintaining your firm’s cash flow is essential to its continued financial health. To facilitate this, CosmoLexPay offers same-day and next-day funding so your firm can receive immediate payment.
Get details about how CosmoLexPay works and what this payment software can do for your firm.
Modernize your law firm’s payment processing with CosmoLexPay
Don’t put your firm at risk because of cumbersome payment processes, slow funding timelines, compliance missteps, or security breaches.
The law firm payment landscape may have evolved dramatically in recent years, but CosmoLexPay helps practices keep pace with client expectations, technology trends, and security needs—all while allowing attorneys to reduce the work involved with payments.