Forum Moderators: buckworks
I feel like I'm paying a slightly steep rate. Is this rate the norm for online merchants? Should I be looking elsewhere? Each year I process in the five figure range and have about maybe one chargeback (my dispute is always ignored since I never have the signature... I mean come on, I'm an Internet merchant).
Also are credit checks the norm to get new merchant accounts? My credit is not good right now due to some medical bills a couple of years ago.
I would first contact Cardservice to see if you can get a lower rate. You could also try to shop around for other merchant accounts, as there seem to be hundreds of possibilities, but I don't know if your credit history will be reviewed. Some processors claim that they don't look at this.
your disputes are worthless if you process manually for internet payments - you can get an automated solution with 3D secure / AVS / CVV for a lot less - this will save you time, money, and will be more secure, and you get protection from some chargebacks
is your merchant provider screwing you?
no - you have a choice - it's up to you to use it ......
-Corey
Ask Card Service if they can set up your account as a "Phone Order" account instead of an "Internet" account. Big difference in rate.
Credit checks are normal, so bad credit may make it hard to switch.
And by the way, as long as you require and signiture on your deliveries, you'll win your chargeback disputes.
Some things I've learned since signing on their dotted line:
Rates and fees are NEGOTIABLE. Know what the competition is offering for apples-apples plans, this is your best bet. Don't necessarily accept the first offer they put on the table.
You don't have to buy a terminal from them- wish I had gotten a used one; I chose the faustian bargain of paying $2,400 over four years of "easy" payments because I thought my only other choice was their outright purchase for about $900.
They seem like an okay-enough company, and my B&M business still uses them, but I found a better deal for my ecommerce site through authorize.net.
-Automan
Tim
CSI did tighten the leash on most of its agents fortunately and you would be hard pressed to find any now that actually change an application fee of over $1,000. Some used to charge that as well, yes.
If you still have a relationship with your agent and if he is still in business, pick up the phone and call him. More than likely he would rather try to get your rates reduced than to lose your account altogether. Most CSI agents now are setting up online accounts at about 2.19%
-Corey
