According to published statistics for 2005, online business grew by more than 22% over the previous year. To accept credit cards for online trading, you need a merchant account. Getting a merchant account is not easy for everyone. It involves a lot of money. Another rapidly emerging option to solve this problem is to use third-party factoring services, also known as credit card processors. These processors process third-party orders through their own merchant accounts. A good processor provides a secure environment for the sale, ensures that the supplier fulfills trade obligations, and secures payment for the sale to the merchant.
The rise of online criminal methods to steal information and steal property is growing at an alarming rate. To help with these problems, these processors provide a very valuable service to novice traders who cannot afford their own trading account and are very helpful in preventing fraud and protecting the interests of consumers. A good credit card processor instills a strong sense of satisfaction among consumers to protect their interests, thus increasing the online merchant's revenue at a nominal cost.
A good processor must be very strict because they are accountable to their merchant account provider. Too many dissatisfied customers or merchants can cause them to go out of business. I came across http://www.InternetMerchants.info, which covers the various credit card processors very comprehensively. It would be good to check it from here.
One such reputable and well-established credit card processor is 2CheckOut (2CO), which is an online distribution center for more than 300,000 products and services. It provides customizable transaction, interface, multi-level interaction with customer service, security features using SSL encryption network. One can start immediately without the hassle of term contracts, retrofits, and can deal with any international supplier, except for a few banned products.
How much is it?
It may not be the cheapest in terms of fees, but it definitely excels in terms of ratings and customer reviews. Initial setup fees include a one-time setup fee of $49. In addition, there is a commission of 5.5% per transaction and additional fees of $0.45. These transaction fees may increase for some product classes. Fees for additional services are even higher. 2CheckOut supports payments in 28 currencies. For payments in the local currency, if it is one of the supported currencies, a bank option can be exercised at a cost of $5 per transfer. You can also choose to receive funds in US dollars for a $20 transfer fee. These fees are definitely high for small payments, but 2CheckOut gives you the option to set a payment release level and payments will be suspended until it reaches that level. In addition, there are check stoppage and chargeback fees.
However, since this is a processor with one of the lowest fraud rates, steep rates are also falling in the market.
Payment to suppliers:
Generally, all payments are made on the 1st and 16th of the month, when all transactions within 48 hours of that period will be processed and remitted. However, suppliers with sales volumes above $1,000 per week are eligible for weekly transfers.
Product types:
The Supplier may not sell certain types of goods such as adult content, firearms, ammunition, tobacco products and multi-level marketing, etc.
Protection of consumer interests.
It is fundamentally in the credit card processor's self-interest to protect the interests of the consumer in order to stay in business. According to the terms of the contract with 2CO, the supplier undertakes to handle all customer complaints addressed to him directly or through 2CO professionally and harmoniously to the satisfaction of the customer.
To protect the interests of sellers, it reserves the right to set limits on the purchase of products by specific buyers for any reason, in its sole discretion, as it sees fit.
Payments to the account are made after 2CO verification processes, but they also hold the money from the supplier's account to protect the buyer's interests. Generally, 5% of gross sales are held as a reserve for at least 90 days, and in some cases the reserve is held at a higher rate for more than 90 days.
It also has refund and refund provisions. 2CO or the supplier may request the cancellation of the transaction, resulting in a refund and a refund to the customer's account. The bank that issued the credit card may, of its own volition or at the instruction of its clients, question the validity of the transaction through the given credit card and initiate the cancellation of the transferred funds. This is called back charging. In such cases, where the supplier feels victimized, they may choose to open a dispute and seek the assistance of 2CO. 2CO would assist by providing any documentation that the supplier may need, and will charge a fee of $14 for each such dispute that the supplier chooses to contest.
2CO's service was rated excellent by most users. The only suggestions for improvement would be more detailed sales reports and the ability to have custom form fields. It has a reputation as a company that enables businesses to receive funds from businesses and consumers internationally with zero fraud and at a much lower cost than traditional bank payments.
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