Is Google Ads Stopping Card Payments for Advertisers With Big Ad Budgets?

Google Ads is making some big changes. This time, it’s affecting advertisers who spend a lot of money and usually pay with credit or debit cards. Starting July 31, 2024, big advertisers won't be able to use cards for payments anymore. Previously, restrictions were only for some verticals, but now advertisers with large budgets are “under the gun” regardless of their niche.

Why Google Ads is stopping card payments?​

Google says they want to make the payment process easier and more automated for advertisers with large budgets. They suggest two new payment methods:

• Monthly billing: This means you get 30 days to pay your bill.
• Direct debit: Payments are automatically taken from your bank account.

Google claims these methods offer more "flexibility" and "control" for high-spending advertisers. But the real reason might be that Google wants to have more control over financial transactions and reduce their risks.


Ginny Marvin, a Google Ads communications specialist, announced this change on the X platform. She said Google is notifying a small group of advertisers about the new billing options. Some will switch to paying through monthly invoices or direct debits. To help with this transition, Google has already introduced new tools and features to minimize account disruptions.



While this move might seem like a bad idea, it's part of Google’s broader strategy to:

• Increase transparency in ad spending: Paying through bank accounts helps Google track where the money is coming from and spot any suspicious activity.
• Reduce fraud and money laundering risks: Card payments are harder to monitor and verify, even with Google’s advanced algorithms.

Who will be affected by the changes and what to do about it?​

Google hasn’t shared exactly how they’re choosing which advertisers need to switch to bank payments. We only know it’s for accounts with rapidly growing expenses, mostly affecting large businesses and agencies.

If you receive a notice from Google about switching to bank payments, you have two options:

1. Switch to one of Google’s new payment methods: Either use monthly billing with a 30-day payment window or set up direct debit for automatic bank payments.
2. Use Google Ads through trusted agency accounts: This lets you keep the flexibility of card payments. You can even use cryptocurrency to add funds. This might be a good option if you handle a lot of traffic.

What this means for advertisers: Disadvantages of the new system​

Even though Google says these changes are beneficial, many advertisers and affiliates are not happy. Here are some of the main downsides:

• Less payment flexibility: Using bank cards allowed advertisers to manage cash flow more easily. Now, you have to plan your budget in advance and keep track of bill payments, which takes time away from your main tasks like developing new strategies and driving traffic.
• Risk of account suspension: If you miss a payment, your account could be suspended.
• More paperwork: Bank payments require more documents and formalities.
• Higher costs: Banks might charge extra fees for payments, which can hurt your return on investment (ROI) for ad campaigns.
• Loss of anonymity: Many affiliate marketers promoting grayhat products (those that are restricted by Google Ads rules or laws) prefer to stay anonymous. With bank payments, Google will know the account holder’s details, which could lead to legal problems.

What advertisers are saying: Mostly negative reactions?​

Google’s recent decision to stop accepting card payments for advertisers with large budgets has caused a wave of negative reactions. Both affiliate marketers in grayhat niches (those using somewhat questionable methods) and advertisers in whitehat businesses (those following all the rules) are expressing their concerns. Many say the new rules are inconvenient and lead to extra costs.

For example, Jeremy Brandt, the founder of We Buy Houses, highlighted that this change in the payment system will now cost him more than $250,000 a year.

“This change doesn’t provide any benefit to the customer,” he says. “I’m sure it will get a lot more negative feedback than you might expect.”

Brent Mulligan, a software developer and entrepreneur from New York, added his thoughts under Ginny Marvin’s tweet on the social media platform X. He suggested that these changes might be a way for Google to earn extra income, particularly from small businesses that take advantage of cashback offers when paying for advertising services.

Why this matters for affiliate marketers​

This change is a big deal for affiliate marketers who often work with tight budgets and need quick, flexible payment methods to keep their campaigns running smoothly. Here’s how you can deal with these changes:

What you can do now:

• Look at other payment options: Check out the details for monthly billing and direct debit, and figure out any possible fees.
• Get your documents ready: If you’re going to use bank payments, make sure you have all the necessary documents ready to verify your account.
• Think about using trusted agency accounts: If you want to keep a simple payment process and stay anonymous, while still managing your expenses flexibly, consider using trusted agency accounts where you can pay with cryptocurrency and even withdraw your balance if the account gets banned.

Conclusion​

The new Google Ads rules are another challenge for affiliate marketers and advertisers. But in the ever-changing world of online advertising, you need to be ready for anything. The main thing is to adapt to new conditions, find alternative solutions, and be open to using new tools. Agency accounts can be a great help, providing payment flexibility even with large ad budgets and ensuring you can keep making a profit.

Good news for agency account sellers if it's really true

It's not that bad really. It just gives us better threshold.

What is considerd a big money? If we 100$ per day would cards still work?

seksbog34slqto said:

What is considerd a big money? If we 100$ per day would cards still work?

Click to expand...

For now, this letter is only received by some advertisers. Apparently, their spending on advertising amounts to tens and hundreds of thousands per month. But no one knows what Google's plans are for tomorrow. Forewarned is forearmed.

i think google is doing this to stop payment problems and make payments more secure and It also helps them manage large accounts more easily.