Google to stop accepting card payments for Ads

Google last month notified some advertisers that starting Thursday, August 1, it will stop accepting credit or debit card payments, and that they need to transition to bank-based payment options.

The big picture: Ginny Marvin, Google’s Ads Liason, said the move affects only a small segment of advertisers and aims to deliver a “more consistent billing experience.”

What's happening: In its email notification, shared online, Google outlined accepted payment options: “Monthly Invoicing” via check or wire transfer, or direct debit.

• Monthly Invoicing offers customers a credit line and 30-day payment terms, but it’s unclear if everyone affected is eligible. 

• It’s also uncertain how Google decided who is impacted, though the email mentions “high-growth customers.” 

• Impacted advertisers must update their billing settings by tomorrow, July 31, to avoid suspension. 

Pushback: While the decision streamlines payment collection for Google, it raises cash flow concerns for advertisers.

• “[M]y clients have such good terms with Amex, they can’t switch to a 30 day monthly bank invoicing,” one person said.

Of note: Although Google’s notification suggests the change impacts larger advertisers, some advertisers spending $1,000 a month also received the email.

Looking ahead: On June 25, Marvin said the update wouldn’t affect all advertisers. We followed up this week to see if that’s changed, but haven’t received a response.

• “All impacted advertisers will be similarly notified throughout the coming months,” the email states.