best payment processor for business

Discussion in 'Payment Processing' started by Lukas, Jun 6, 2007.

  1. #1
    who would you recommend for a CC processor for a business, low fees, and is tough on chargebacks.
    this will be a service or subscription business.

    2CO does not allow this in their terms of service...:(
    Google checkout neither unless 5013c tax exempt (what is that?)..
    Paypal - I've just heard too many bad stories.

    Moneybookers is 8% fee to guarantee no chargebacks - Wow !!
    still maybe with them.

    I don't like having the acct frozen due to clients or 1 or 2 fraud activites by clients...hold those 2 accts not, all of them.

    thanks for any suggestions.
     
    Lukas, Jun 6, 2007 IP
  2. brandyace

    brandyace Peon

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    #2
    where is the business located?
     
    brandyace, Jun 6, 2007 IP
  3. cool_78

    cool_78 Guest

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    #3
    you could try Egold and Moneybookers is a great alternative to Paypal.
     
    cool_78, Jun 6, 2007 IP
  4. eddy2099

    eddy2099 Peon

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    #4
    Most payment processors would not ban you or get your account frozen because of a fraud or two. The most is that you get a chargeback and you may just need to pay the fees levied by their bank to cover the chargeback.

    The lower the service charges would leave them very little to invest in controls to prevent fraud. I would think that the best fraud mechanism would be one which you do yourself, ie do not deal with anyone you are not familiar with or one which you have not verified. Call up every customer and verify that they placed the order and have them faxed you a consent to charge their credit card, if you want a photo ID and signature would protect you. However, the more secure your system is, the harder it would be for your customers to purchase from you. But I would believe they would not mind if the amount is a big thing.

    The thing is that trust goes two ways, you need to trust your customer and your customer would need to trust you.

    E-Gold is good as a protection for the vendor/seller but it leaves no level of protection for the customer. If you are new in the market, people may not heard of you and it may be difficult for them to trust you. Besides, E-Gold has a complicated procedure because the customer needs to open an account and find a 3rd party exchanger to convert their money. This will make it more complicating, time-consuming and may cost extra for the customer.

    In business, you need to compromise. The good news is that most people are honest generally but then again it all depends on the type of products you sell and the type of customer base you target.

    If you deal with corporations and businesses then the chances of fraud is slimmer.

    What is important is do not support instant delivery. Add a 24 to 48 hours verification time frame between order and delivery so that you can vet through each transaction manually and if they seems fishy then you can reject the order and refund the money. That way you do not lose anything and you could probably weed out 95% of the fraud cases.
     
    eddy2099, Jun 6, 2007 IP
  5. njoker555

    njoker555 Notable Member

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    #5
    bad stories for paypal? i havent heard any lol, just people trying to cheat paypal in some way, paypal is more widely used so i'd probably recommend that, and i dont use the others so i cant say anything else lol
     
    njoker555, Jun 6, 2007 IP
  6. Lukas

    Lukas Well-Known Member

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    #6
    Well Eddy,

    you'd surely win as the best answer if this was in Yahoo-answers. great reply.
    I may try and go with a MoneyBookers acct as well for backup purposes.
    Yes, I will only deal with licensed businesses and will verify their info.

    but don't you think 8% is high on credit card transaction from Moneybookers for processing a credit card ?
    ( if clients don't have a Moneybookers acct - & more than likely, they will not)
     
    Lukas, Jun 6, 2007 IP
  7. panerai

    panerai Active Member

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    #7
    panerai, Jun 6, 2007 IP
  8. getjimmy

    getjimmy Prominent Member

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    #8
    Google checkout, Egold and Moneybookers r other good options.
     
    getjimmy, Jun 6, 2007 IP
  9. inworx

    inworx Peon

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    #9
    Moneybookers is fine. If you're in US, you may try Google Checkout as they have better chargeback protection than PayPal.
     
    inworx, Jun 7, 2007 IP
  10. Lukas

    Lukas Well-Known Member

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    #10
    OK...some responses may have not read the original whole post

    2Checkout will not allow a subscription for a service payment processing
    and neither will Google Checkout

    I got a reply back from Moneybookers and they want to review the site first.

    Remember: they are not buying a product, only an intangible service.
     
    Lukas, Jun 7, 2007 IP
  11. eddy2099

    eddy2099 Peon

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    #11

    Well, I am using Plimus and Regsoft.com and are paying between 8.75% to 15% payment processing charges and I am not complaining. Without them I would not have been able to make the 85% in terms of profits and they take care of me well so I am fine with that.

    I did use Paypal earlier but it was too much of a pain especially in the end, I was dealing with lots of teens and all that which caused me to put in a lot more work and grievances. I have dropped Paypal from my pool of payment processors and have never been happier.

    In the end, the several percentage points more that I am paying now just amounts to $5 to $7 more than if I went with Paypal but I got tons more customers and need to do less work.

    The important thing is to think about your customers, if a payment method is complicating or troublesome, you may lose your potential customer. Make the payment process easy and people would buy.

    If you deal with businesses, your risk of chargeback is minimal as long as you provide superior service and provide what you claim to provide. Some would be more comfortable paying through Credit Card, Checks or Purchase Order rather than Paypal or some other methods which they are not familiar with such as e-gold and the likes.

    If you think the 8% is high then just factor that into your cost so in the end, you still make a reasonable profit.
     
    eddy2099, Jun 7, 2007 IP
  12. Lastbutnotleast

    Lastbutnotleast Peon

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    #12
    OK but in my opinion PP is not user (clients) friendly and I'm sure that we lose sales when we use them

    It's just that there are not so many serious international services out there and PP is better than nothing (and widespread among webmasters)
     
    Lastbutnotleast, Jun 9, 2007 IP
  13. grandy

    grandy Banned

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    #13
    Paypal is widely used. So if you have a online market (Like Hosting, Domain, Ebay) you should consider having the way to transact using Paypal. You also can consider other payment processors, but the definitely it will depend on the amount of users using the processor and the amount of targetted traffic.
     
    grandy, Jun 9, 2007 IP
  14. hanz

    hanz Peon

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    #14
    Just read some posts at http://paypalsucks.com/ and you will probably never sleep again.
     
    hanz, Jun 10, 2007 IP
  15. jestep

    jestep Prominent Member

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    #15
    You can always use a traditional or offshore merchant account and create or use a pre-built recurring system with that. Many payment gateways offer recurring billing options.
     
    jestep, Jun 11, 2007 IP
  16. Lukas

    Lukas Well-Known Member

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    #16
    Well, I tried 2 times via email and once by telephone and no responses at all from Plimus or Regsoft. I'd hate to have a problem trying to collect from them.

    How in the world can a business be successful if they cannot respond to "new customers" to help them earn more..?
     
    Lukas, Jun 14, 2007 IP
  17. Lukas

    Lukas Well-Known Member

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    #17
    I will have to give up on Plimus and Regsoft...both never bothered to contact me starting a new merchant business.

    It must be hard to resolve problems or collect money from these guys. Moreover, It is really sad to see how customer service overall has diminished to such low levels since the mid-90's.

    good luck all.
     
    Lukas, Jun 15, 2007 IP