Your selection of a merchant account can either
make you or break you! Most of the billions of dollars that
pass through the internet each year are processed through traditional
merchant accounts through major internet gateways and shopping
carts. For e-businesses with a cash flow of several thousands of
dollars a month, there's no question that the merchant
account/gateway/shopping cart system is the most efficient and effective
way to move the money and provide maximum convenience for your customers.
In other words, if you anticipate bringing in more than $5,000 to
$10,000 a
month in sales in the next 6 months or so, you don't need PayPal! A
tool like the Maculator can help you determine the cash-flow scenario
that best supports your business profile.
What's the
Maculator™
and Why Do I Need It?
A variety
of monthly fees, gateway fees, minimum fees, batch header fees,
transaction fees, setup fees, annual fees and other fees are charged by
merchant account providers.
The
Maculator™ allows you to enter your expected or current monthly sales
volume and calculate the monthly cost and the cost percent of sales for
two selected providers side-by-side. With the
Maculator™
you simply select pre-loaded rates for many of
the merchant account providers listed on this page and 40 other 3rd
party processors and press the Maculate
button. You can also enter the rates for any merchant account offer not
already listed. The
Maculator™
also allows you to save your data and return later on to
compare your saved calculations with other offers of interest to you. Check out the
Maculator™ and see for yourself!
Read the Fine Print!
Some merchants who don't understand the
terms of their contract with the acquiring bank may find themselves facing
unexpected fees, fines and threats to close the account. Selecting a bank and processor for handling your
credit card transactions online is
usually done through the services of a sales organization that represents
one or more banks. This organization, often called an ISO
(Independent Sales Organization), will also offer retail point-of-sale
equipment, if needed, and possibly several options for linking your
internet business to the
processor through a gateway. The sales organization will usually
provide several important services such as the training needed to use the POS
equipment and gateway
services you purchase. A representative selection of ISO's and
processors is listed below, including some of the biggest players on the
web.
If you're selling products online,
such as through an e-business or home business, and not through a
brick-and-mortar retail store, your processing costs may be higher unless
you are able to make direct contact the processor. The processors provide the technological links to the Visa
and MasterCard networks for authorizing credit cards and settling the
transactions.
E-commerce discount rates are higher than retail
(brick-and-mortar) discount rates because there's no
face-to-face interaction with the cardholder and no swipe or signature, thereby increasing the risk of
chargebacks. Some types of businesses may also have higher
risks due to the types of products they carry, the credit background of
the business principals, the amount of monthly sales and the average
amount of each sale (average ticket).
Any factor that may increase
the number and amount of chargebacks increases the underwriting liability
for the bank or processor. This results in a higher discount rate to
the merchant. Based on Visa and MasterCard rules, a chargeback requires that
the cardholder be refunded, regardless of whether the merchant account has
ample funds.
Some merchants who have paid high chargeback
losses feel that the credit card rules favor the buyer at the expense of
the merchant. Keep in mind that if the cardholder is afraid of
getting ripped off by the merchant without protection by the system,
especially on the internet, he will simply not use the card and the
merchants will not get the business. The best protection for
the merchant is to carefully study the rules and fully understand the fine print in
the merchant account agreement.
A number of representative processors and
sales organizations are listed below. For your convenience, there is a handy
Full Disclosure Request Form below to help you get specific pricing and cost information
from over a dozen merchant account providers. Understanding all the
costs and restrictions imposed by merchant account providers is critical
in order to avoid situations where your account may be closed due to
excessive chargebacks.
If your account is closed, your business
is shut down, and your name may be black listed in the MATCH list to
prevent you from ever qualifying for a merchant account in the future.
You may also visit the web sites of the merchant account providers
below to gather information about rates and services provided. We
suggest you do both, visit the web site and also send the email requesting
full disclosure using the form below. Although the
Maculator™
gives you a fairly accurate computation of
published rates and costs, it does not include all possible costs that
may not published on the web.
Why do both? When you visit a
web site you get a limited amount of information which is biased in favor
of promoting sales, in other words "hype." The
information on the web site may change from one day to the next.
Unless you print or copy the entire web site, you have no real proof of
the offerings and rates published at the time you visited the site.
If, on the other hand, you request full disclosures by email, the response
is a legal document and should comply with the legal disclosure
requirements imposed by various legal authorities.
In addition to hype, the web sites give
very general information intended for only certain types of
businesses. On the Full Disclosure form you indicate your specific type of
business, your anticipated monthly sales, and your location (city, state
and country). If you're located in another country, for example, you
want to state this information up front so that the rates you are quoted
are relevant. A number of providers on the email form list serve
both domestic and foreign businesses.
We deliberately left out
a place for your phone number on the Full Disclosure form because we don't want the sales
people to give you verbal, undocumented quotes over the phone. When,
and if, you're ready to apply for a merchant account, you can give them
your complete address, phone number, etc., as required. At that
point, they will also have to run a report on your credit history.
(If you have problems with your credit rating, you may wish to look at the
credit and debt counseling services on the Merchant Goldmine Financial
Resources page.)
The email you send through the Full
Disclosure form is dated and records
your email address and the recipients email address. If you include
the previous correspondence in all replies, you have a complete history of
every word said, by both parties, in one document, which you can take to
court, if ever needed. The web site is important to give you enough
information to determine your initial interest. If the response to
your Full Disclosure request is insufficient or uncooperative, simply
go on to the next candidate. In other words, vote with your
feet, or, in this case, vote with your email.
Need Help?
We can also help you find the best merchant
account deal for your business by shopping around for you with our
connections in the e-commerce business. Fill out the
E-Commerce Profile
form to tell us the deal you would like to beat. If we can save you a
couple of points, that could mean considerably more dollars in your pocket
at the end of the month. Fill out the
E-Commerce Profile
form and request our professional assistance today! All information you
provide on your
E-Commerce Profile
will be treated as confidential. There is no obligation or extra
cost on your part to accept the offers provided through the
E-Commerce Profile.
Planet
Payment™ is a leading provider of
Internet payment solutions for e-businesses - globally - in nearly any currency.
Planet
Payment™ features multi-currency credit
card acceptance services, advanced payment
gateway technology, and value-added products and services. Planet Payment's
state-of-the-art Internet payment service enables e-businesses to accept
MasterCard®, Visa®, American Express® and other major cards in a secure
online environment in over 140 currencies.
These affordable solutions are compatible with most shopping carts and website
technologies, so implementation and setup is complete within minutes.
WorldPay
pioneered multi-currency processing in association with NatWest bank in 1996. The
WorldPay multi-currency processing system enables you
to offer your products and services in over 120 different currencies, and to
receive payment for them from the range of 14 remittance currencies.
WorldPay
manages the uncertainty of foreign exchange rates for you, allowing your
shoppers the unique choice of purchasing goods and services from you in a
currency that they recognize and understand.
ePagos provides complete
e-Commerce solutions from web design and hosting to merchant accounts and
gateways. Everything you need in one package. Borders are no
problem for
ePagos.
ePagos is the engine driving the
electronic business revolution in Latin America. It is
the answer for small and mid-size businesses needing
tools to establish a virtual store and perform all of the operations of
e-commerce on the Internet. Full support is provided in English, Spanish
and Portuguese.
Si hablas
Espanol, no problema! A través de su software de comercio
electrónico instalado en su sitio Web con
ePagos, envian sus transacciones con tarjetas de crédito, utilizando
SSL, directamente a las redes de Visa, MasterCard y American Express para
ser procesadas y aprobadas.
Accessing these solutions is extremely easy.
It can all be done on the Internet.
ePagos is an on-line solution that
allows you to open a virtual store in about an hour. With
ePagos
you can design your page, obtain and register a domain name for your
virtual store, sell products over the Net, accept credit card payments,
automatically calculate the corresponding taxes, and include the
associated shipping costs with each purchase.
Compare Rates
for
ePagos with the
Maculator™
.
Domestic and International
We have selected some of the
lowest cost and most professional payment solution providers
available. For example,
AMS
Merchant Account Services provides an internet e-commerce
gateway and merchant account for only $99 and $10 a month service fee.
This includes the Authorize.Net Virtual Web Terminal to directly process
credit card transactions on the web and the AMS E-Check service for
secure electronic check acceptance. Internet merchants are offered
discount rates of 2.25% with a transaction fee of $0.30. The internet
gateway bundle includes the popular Authorize.Net service for only $10 a
month. Over 190 shopping carts are compatible with this gateway
arrangement.
Compare Rates for
AMS
Merchant Account Services with the
Maculator™ .
-
Compare
Low Rates & Terms from 7 Top Banks
-
Shop
Real Processors That Are PCI DSS
Compliant
-
Negotiate
a Straight Deal (Owner to
Owner)
-
Streamline
All Criteria for Getting Approved
-
Study
The Fine Print Before You Sign a
Contract
-
Swipe
Credit Cards on Any Mobile Phone or Tablet
-
Choose
The Right Gateway For Your
Webstore
-
Sidestep
All Hidden Fees and Junk Charges
CARDSERVICE
INTERNATIONAL
is an industry leader in credit card processing for traditional and
Internet businesses. They offer merchant accounts with competitive
pricing, customer service 24 hours a day, 7 days a week, in 140
languages and dialects, and one of the largest credit card fraud, loss
prevention and chargeback departments in the credit card processing
industry.
Cardservice International® has a 95% approval rate for merchant
accounts, and merchant accounts are generally approved in two business
days. A complete range of products and services to enable e-commerce
success including the LinkPoint Secure Payment and multi-language and
multi-currency suppor. The free Merchant Accounts Insiders Guide
contains very useful information for all merchants. Sign up as an
affiliate with
Cardservice International® to bring in extra revenue including
residuals!
Compare Rates for
Cardservice International® with the
Maculator™ .
CDGcommerce offers a complete package of merchant account
solutions and ecommerce products. CDGcommerce is a registered ISO/MSP
for Merrick Bank and directly operates and manages its own BIN hierarchy
of merchant accounts. CDGcommerce provides all of its own merchant,
technical and customer support in-house and has maintained one of the
very highest client retention rates in the industry since its inception
in 1998.
-
BYTE4U Merchant Account
Promotion:
-
FREE Merchant Account
Application & Activation
-
FREE Internet Payment
Gateway Setup - for Internet Merchants
-
FREE Credit Card & Check
Terminal - for Retail Merchants
-
FREE FraudGate�
Anti-Fraud Protection Account Setup
-
FREE MerchantPortal�
Real-Time Bank Level Reporting
-
FREE ChargebackDefender�
Early Warning & Rebuttals
-
RISK FREE - No Early
Termination/Cancellation Fees
-
NO MONTHLY MINIMUMS -
Save up to $300/Year
-
GUARANTEED BEST VALUE -
Get the Best for Less!
Become a reseller and
partner with CDGcommerce to earn
residual income.
Compare Rates for
CDGcommerce
with the
Maculator™
.
Charge.com provides internet gateway technology and full
merchant account services to give you everything you need in one package
for most merchants.
Charge.com offers an Internet e-commerce account for a 2.39%
discount rate and $0.25 per transaction. The monthly service fee is $10
and the gateway monthly fee is $29.95. No setup fees and you can also
apply for your American Express account for no cost. You can usually
save money by dealing directly with a gateway provider rather than a
reseller.
Compare Rates for
Charge.com with the
Maculator™.
Electronic Transfer, Inc. is a credit card processing company
with one of the highest approval rates in the industry offering
credit-worthy merchants responsive turnaround on their applications.
ETI offers no arbitrary processing
limits --
they
handle both the "mom and pop" business as well as the
million-dollar company. They also have the
ability to set low rates and reserve
requirements based on your type of business and charge back history for
your business type.
Compare Rates for
Electronic Transfer, Inc. with the
Maculator™
.
Some processors focus on
certain types of business and can offer better rates for their
specialty. If you like to pick and choose your
options from a wide variety of programs and services, investigate the
offerings of
Del
West Merchant Bankcard services. In addition to numerous
technologies and tools, options for international merchants are also
provided.
Compare Rates for
Del
West Merchant Bankcard with the
Maculator™
.
For $59.95 a month
GoEmerchant
packages the Internet Store, Buy_Me Button and Cyber Circular which
organizes a list of e-mail addresses from your customers and helps you
keep them informed of promotional offerings. GoEmerchant is a full
service provider that includes the EZ Payment Gateway and goEcheck to
process electronic checks.
Compare Rates for
GoEmerchant with
the
Maculator™
.
The
Internet Marketing Center® provides a complete e-commerce
solution called Total Merchant Services. The package includes the
TotalPay gateway backed by Authorize.net for only $397. E-Commerce
discount rates and monthly fees are competitive with other merchant
account providers.
Compare Rates for
Internet Marketing Center® with the
Maculator™ .
Merchant-Systems.com is a complete
e-commerce source. Account applications are expedited by email and they have a 99%
approval rate. Their fees are summarized on their web site as listed
below.
Compare Rates
for
Merchant-Systems.com with the
Maculator™
.
| Application
Fee: |
FREE
- We pay it for you! |
| Acceptance
Rate: |
99% Regardless
of Credit! |
| VISA
& MC Discount Rate: |
1.99% -
2.47% Internet sales. |
| Transaction
Fee: |
$.20 -
.30 per transaction |
| Monthly
Statement Fee: |
$10 -
$12 per month |
| Gateway
Fee: |
$15 per
month |
| Payment
Processing System: |
Call
for Special Pricing!! |
| AMERICAN
EXPRESS: |
FREE
SETUP! |
| Customer
Support Hours: |
24
hours |
| Optional
Enhanced ChargeNet Gateway: |
| Setup: |
NO
SET UP FEE - Free 30 Day
Trial |
MerchantAccounts4Less offers many conveniences including free
online merchant statement reports and free website templates.
MerchantAccounts4Less accepts international and high risk
merchants. Brick and Mortar merchants rates are as low as 1.66%. High
risk accounts may have higher rates.
Compare Rates for
MerchantAccounts4Less with the
Maculator™ .
Merchant Accounts Express can setup your business with a
merchant account to accept all major credit cards, at the lowest
possible cost. They offer only bank direct merchant accounts,
saving their merchants thousands of dollars per year in credit card
processing costs! They even provide a 110% price guarantee to
give you 30 days to find a lower price after you sign up!
Compare Rates for
Merchant Accounts Express with the
Maculator™.
Merchant Account Providers
Full Fee Disclosure Request Form
Request Info by Email Directly To Selected Merchant Account Providers:
We suggest you ask these questions (you can copy and paste into the form below):
-
What are your best e-commerce account rates?
-
Tell me all your fees and possible penalties
including periodic charges?
-
Specifically what penalty do you charge for
chargebacks?
-
Will my sales deposits be held
for a number of days?
-
Will reserve rates be deducted
from my sales? For how long?
-
What is the maximum monthly
sales limit for this offer?
-
What can I do to increase my monthly limit if
needed?
-
What bank(s) are you registered
with as an ISO?
-
Can I purchase needed equipment
or software instead of leasing?
-
Do you provide 24/7 merchant
account support by phone?
Collect the information you receive
from each provider in a spreadsheet to help you compare the rates and
terms. Remember that the lowest rate does not always mean the best
deal in terms of service and help in building your business.
When
you are ready to sign the dotted line, be sure you carefully read
the fine print. Think of the merchant account agreement as
one of the most important business transactions you will ever make.
If you are not sure about the terms in the agreement, ask for assistance,
or do some research at the Nuggets
of Knowledge page of Merchant Goldmine.
We suggest you send these questions by
email to all potential merchant account providers you are
considering. If you would like us to add a specific provider to this
list, please contact us at map@merchantgoldmine.com.
Your email address will be included in this message to the selected
recipients. Email messages are electronic documents that serve as
verifiable records of communication. Save your questions and answers
in case you encounter issues with providers in the future. If you
wish, you can also send copies of your email correspondence to business
associates or family members for additional documentation. Feel free
to forward a copy of your email messages to Merchant Goldmine at map@merchantgoldmine.com,
as well, to help us monitor the effectiveness of this system.
Note: If you use a non-standard e-mail service such as
AOL, you cannot use the form below. In this case, copy the
disclosure questions above to your e-mail message and use the e-mail
addresses you find on the merchant account provider website of interest.
Full Fee Disclosure Direct Email Request Form
