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Thanks in advance.
Realisticly you can charge someones card and ship a week later. Most small cart systems are set up to charge when the order is placed. This is what I've done and in 4 years I've never had a problem.
Your merchant bank will be able to give you the low down on the 'rules' if you ask them.
I have a client with a brand-new e-com site up and the sales are a bit slow.
They are processing the orders as they come in, but to save time, they are doing the shipping in a batch up to three days after the processing.
I was under the impression that they had a legal obligation to ship within 24 hours of processing, but I can't find the source where I read that.
Do you know a site or resource that I could read and have them read so we can set up our work flow (when to process and ship what)?
I'm at home now, but somewhere at my work there is a copy of these rules. I'll see if I can't find the booklet and either give you a web address or give you the proper name of the rules.
I want to say that it's longer than a few days. B/c I know we have some items that are drop ship. We charge the card, immeadiatly and then it may be up to a week before the order even gets to the drop shipper. Amazon has the same thing if you buy from one of their partners.
This is the FTC rules on merchandise orders. It states that it is for Mail or Telephone, but it does apply to the internet as well.
In there, it does say that you must ship the order with in 30 days of payment before you need to notify the buyer (unless you promised otherwise). At that point in time, you must cancel the order and refund the check or credit charge or take other actions (talked about in the paper) to extend the time.
Of course this does not mean that individual CC processors don't have individual rules regarding this matter.
I haven't been able to find anything specific about California regulations, but as I was reading the Verisign Payflow Pro developer's guide I came across a section that said both Visa and MasterCard don't allow capturing of orders until they've been shipped.
I couldn't find that on Visa's site anywhere, but hey...
If Verisign says so, it must be true :)
I've left it at "I strongly recommend not processing orders until you are ready to ship", and hope that's good enough.
I've also had them take the catch "Same-day" shipping out of their p.p.c. ads so as not to violate the FTC's
The Rule requires that when you advertise merchandise, you must have a reasonable basis for stating or implying that you can ship within a certain time..
My next thread might be "How to convince clients that sending out merchandise ordered from their brand new site right during the Christmas shopping season ON THE SAME DAY THE ORDER WAS PLACED is a really good idea"..