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payment gateway options

Discussion in 'eCommerce' started by AlBorne, Mar 18, 2019.

  1. #1
    I am making an app that allows users to purchase credits, use credits in the app in a way that allow users to get credits from other users, and cash out at any time. The credits have a monetary value and users will be allowed to redeem them for money. I've built into the package structures the cut that stripe/paypal/braintree/dwolla etc would take. So I am fine with the fee these companies charge. My problem is that these companies do not want to work with me because they all have a restriction for working with solutions that involve "virtual currency", which I guess my app technically falls under.

    Attached is stripe's restriction on this. I contacted them, proposing a change that would take out the "virtual currency" component and allow users to just straight up deal with monetary values. I was told that this becomes a sort of e-Wallet, which isn't supportable either.
    SEMrush
    Does anyone have any ideas of payment gateways that will be compatible with my app? I am based in Canada.
     

    Attached Files:

    AlBorne, Mar 18, 2019 IP
    SEMrush
  2. jestep

    jestep Prominent Member Premium Member

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    #2
    I honestly don't know anyone that allows this sort of setup. Platforms like this almost instantly fall into a MSB (Money services business) categorization. I do not know the regulations in Canada for this type of business but in the US they are one of the most regulated of anything financial in nature because of the inherent risk of money laundering among other liabilities.
     
    jestep, Mar 20, 2019 IP
  3. AlBorne

    AlBorne Greenhorn

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    #3
    Interesting. Stripe said we aren't able to provide our service to that type of business at the moment, but didn't really explain why. Now I understand a bit more from your post re: the money laundering. The thing is though, the users are going to be loosing a significant amount of money since the app takes a cut both at the credits purchase and the credits redemption. But how do apps like airbnb and uber get away from this? My app is essentially that..
     
    AlBorne, Mar 20, 2019 IP
  4. tgotchi

    tgotchi Active Member

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    #4
    Have you look at those high-risk merchants payment gateway?
     
    tgotchi, Mar 28, 2019 IP
  5. MapleLeaf

    MapleLeaf Member

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    #5
    Check out CCBill for high-risk merchants
     
    MapleLeaf, Apr 4, 2019 IP
  6. Kevin McCabe

    Kevin McCabe Banned

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    #6
    No PayPal. They're a big scam
     
    Kevin McCabe, Jul 30, 2019 IP
  7. webmasterran

    webmasterran Well-Known Member

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    #7
    any clue for dropshipping sites ? pretty tough to get approved by stripe and others.
     
    webmasterran, Aug 23, 2019 IP
  8. Kevin McCabe

    Kevin McCabe Banned

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    #8
    I've done a good research on them. Their charges are insane. On average they charge around 8% and normally they keep around 70% of your fund for 180 days.
     
    Kevin McCabe, Aug 24, 2019 IP
  9. Sphor

    Sphor Active Member

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    #9
    I was about to suggest for you to look into high-risk merchant payment gateways but it looks like you already have. Yep - unfortunately their fees are ridiculous!

    There is not any other way around it unfortunately.. I have had issues with payment processors on a high risk business of mine and my payment processors kept shutting my accounts down and i eventually had to settle with a high-risk payment processor with high fees and also started accepting crypto payments.

    I hope you find the answer to your problem. Best of luck!
     
    Sphor, Aug 24, 2019 IP