Hi, would paypal merchant account be available to an Indian website, i.e can i accept orders online through paypal for an indian customer, i dont want to use other payment gateways which charge us whooping 5% for every transaction, in this case what would be the paypal charges & most importantly how do we transfer the funds collected back to Indian account. or does anybody know a better gateway option like yahoo merchant account which charges around 1% for the transactions in US. ccavenue is the only gateway i know here. plz help!
but before you start your business with paypal, i want to tell you something... do a search on this forum and read all the horror story of using paypal for business.... seriously once you read the stories, you will not want to use paypal.... paypal is the most painful payment processing service yet its on top in the market.... anyway, just be safe and be careful from those credit card frauds or unauthorized paypal payments done from stolen paypal.... and more important, scan a copy of your driver lic., credit card statement, telephone bill or cell phone bills because sooner or later you will need these documents to remove limits from your account... and also make sure your web IP dont change everytime you connect to the internet... i think PayPal.com need to change there name to PainPal.com....
With Paypal, as long as you sign up for a Premier or Business account, the merchant services are open to you to receive funds. The only thing is that paypal is your collection agent and on your customer's credit card statement will reflect Paypal's name. Currently you cannot set up an INR denominated currency account balance and as such if someone from India pays you via a credit card, it would be converted from INR to US$ and the sender would be tagged with a 2.5% foreign exchange fees (if they opt to have Paypal do the conversion) or their bank would charge them whatever fees if they opted for the bank to do the conversion. Then once you withdraw the money, you will need to pay the 2.5% foreign exchange fees when conversion the US$ balance back into INR. As for fees, check out https://www.paypal.com/row/cgi-bin/webscr?cmd=_display-fees-outside&countries=ROW Typically this is about 3.4% + US$0.30 for each transaction. 5% is actually very low in terms of industrial standards for credit card processing fees. After deducting the bank charges, the gateway would probably earn about 1% or something. If you are asking about the Virtual Terminal services from Paypal, it is only available in the US and you most likely need a merchant account in the US. There is a $30 monthly fees and each transaction would cost you between 2.4% to 3.1% + $0.30. https://www.paypal.com/us/cgi-bin/webscr?cmd=_display-vt-fees-outside
dont know abt th frauds but transaction error while processing is common in any gateways. online merchants will hav to be prepared for such risks. no business is spared from risks but i feel the volume of risk involved with online merchants is greater.
eddy2099, thanx for sharing the information, yes i was looking for something like vts, disappointing it is to learn this service is available only to us merchants, but i know this online store kannadastore.com which has such service, hmm i wonder if they are based out of US. i do know credit card processing charges is 2% at physical merchant locations, in this case online merchats suffer a setback in pricing, i guess one has to look at other ways to bring down the cost to competitive levels. do you know any other payment gateways catering to Indian enterprises, it would have been great if yahoo merchant services were available in India and from brands alike.