Should I Switch to Paypal Pro from Authorize.net

Discussion in 'PayPal' started by oseymour, Oct 27, 2006.

  1. #1
    Should I use switch to Paypal Pro or Keep Authorize.net

    Paypal seems like the obvious choice...They accept all cards and they only charge a $20 monthly fee. and you pay a small percentage of each transaction

    With Authorize.net my monthly fees are almost $70 because I have to pay them seperately to take AMEX. and I still have to pay a per transaction fee..

    I have 2 years left on my Authorize.net contract and it costs $250 to break that contract.

    But I would still save a ton of money over the course of the two years.

    Is there something I am missing...What are the drawbacks of Paypal Pro..

    I am using a shopping cart that would give people the option of paying with their credit cards or their paypal account if I switch to Paypal.
     
    oseymour, Oct 27, 2006 IP
  2. wrmineo

    wrmineo Peon

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    #2
    The obvious drawback to PayPal is that it does have some limitations. First, it's not a globally usable service; second, it's not globally known ....

    The Internet continues to grow and expand with new and more people accessing it daily. It's hard for most of us to keep in mind that not everyone has, is familiar or comfortable with PayPal.

    I don't think it's a matter of which you should use, but why are you not simply deploying and offering both to your site users?
     
    wrmineo, Oct 27, 2006 IP
  3. oseymour

    oseymour Well-Known Member

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    #3
    Paypal Pro accepts Credit Cards just like authorize.net, the user doesn't know that I am using paypal pro to accept their credit card payment. They see credit card checkout and the paypal logo is to the left and it says click here if you want to use your paypal account.
     
    oseymour, Oct 27, 2006 IP
  4. stymiee

    stymiee Peon

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    #4
    Sounds like you have Authorize.net confused with your merchant account. Authorize.net does not have a contract. You can walk away from them at any time. Your merchant account associated with your authorize.net gateway probably has a contract that you are locked into. They're also the ones that are whacking you for those huge monthly fees.

    If you want a clear comparison of Paypal vs Authnet w/ merchant account read this article. It explains in detail the differences between the two and does a comparison for you. It should answer all of your questions. :)
     
    stymiee, Oct 27, 2006 IP
  5. oseymour

    oseymour Well-Known Member

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    #5
    I must admit that the article was a bit over my head.

    But I save a whole lot by switching to Paypal Pro and the money shows up over time...

    Is paypal reliable enough for me to move over to them...
     
    oseymour, Oct 27, 2006 IP
  6. Corey Bryant

    Corey Bryant Texan at Heart

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    #6
    Authorizenet.com is basically an electronic payment gateway. Paypal Pro uses Verisign's Payflow services as the electronic payment gateway.

    Basically - think of it like this. You have a merchant account provider and an electronic payment gateway. The gateway is the backend. It connects you to the correct companies to validate the transaction. The merchant account provider gets the money and puts it into your bank account.
     
    Corey Bryant, Oct 27, 2006 IP
  7. oseymour

    oseymour Well-Known Member

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    #7
    Ok..Paypal does that all together....I think I'll switch over....I also do a lot of ebay so that also had a lot to do with my decision...
     
    oseymour, Oct 28, 2006 IP
  8. Tupac

    Tupac Banned

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    #8
    Paypal is very risky for a business in my POV.
     
    Tupac, Oct 28, 2006 IP