Accepting payments on the World Wide Web?

Published: 19th July 2009
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If one is doing business on the Internet, accepting payment through the website is an absolute must. If one is not processing orders online, one is losing a great deal of money in lost sales. Studies have shown, one can increase the online sales by up to 400% simply by accepting credit cards. With today's technology, processing the customer orders online can be as simple as pasting a code within the web page HTML.



Preparing the website to process orders online isn't as difficult as one may think. There are basically two options. The first option is to set up a merchant account. This entails either making arrangements with one's bank or using an online company. The second option is to use a third party credit card processor. This option requires no merchant account and usually entails setting up a form or placing a link on one's order page.



Merchant Accounts



If one would like to set up a merchant account, it should be kept in mind that one will also need a shopping cart system and access to a secure server. Many web hosts will provide one with both



Total Merchant Services (TMS)



The TMS Merchant account, for Internet transactions, will enable one to accept Visa, Mastercard, American Express and Discover. This will enable one to authorize, process, and manage credit card transactions from any computer with an Internet connection and a Web browser. It can include everything mentioned earlier, plus all of the following:



• Customizable Shopping Cart System

• UPS Shipping Module

• Links to Virtual Terminal

• Free Initial Installation





Third Party Credit Card Processors



If one prefers rather not to have one's own merchant account, third party credit card processors will process one's credit card orders for one. There are usually no monthly fees. They charge a "per transaction" fee and send one payment for all of one's orders processed, minus their fee and a reserve fee. A reserve fee is withheld to cover and charge backs one may have. If one has no charge backs within a period of time, the reserve will be refunded to one. Each company has their own guidelines in regard to reserves.















The following process credit card orders:-



iBill



IBill will enable one to accept Visa, MasterCard, American Express, Discover, JCB and online checks. They also offer a telephone billing service (900 toll phone number). There are no setup fees. They charge 12%-15% per transaction fee for credit card and check purchases and 20%-30% per transaction fee for phone purchases. Services are available for US and non- US merchants.



PayPal



PayPal will enable any business or consumer with an email address to securely send and receive payments online. One can also accept Visa, MasterCard, American Express, Discover and electronic checks. One can sell with PayPal through an online auction, on one's own website, or as part of an online marketplace. They also offer recurring billing. There are no setup fees. They charge 2.9% + 30ยข per transaction. Services are available for US and non-US merchants.



ClickBank



ClickBank will enable one to accept Visa, MasterCard, American Express, Discover, Eurocard, Visa-Debit, MasterCard-Debit, Novus cards and electronic checks.



They charge a one-time $49.95 activation fee, and a $1 + 7.5% fee per sale. There are no monthly fees. The great thing about this company is that they'll enable one to run an affiliate program. Services are available for US and non-US merchants.



Revecom



Revecom will enable one to accept Visa, MasterCard, American Express, Discover and JCB credit cards in real-time. They also offer Check Processing in Real-time and recurring billing. There is a $49 set up fee. There are no monthly fees. They charge 3.95% + $1 fee per sale. Services are available for US and non-US merchants.



2Checkout.com



2Checkout.com enables one to accept Visa, MasterCard, American Express and Discover. They also offer recurring billing and a free shopping cart. There is a $49 set up fee. There are no monthly fees. They charge 5.5% + $0.45 fee per sale. Services are available for US and non-US merchants.



Cheap web hosting is the best place to get reviews for the various webhosts as well as a great place to compare the services they offer. With almost every prominent webhost listed on the website, you really do not have to look elsewhere.

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