Quote:
Originally posted by Kimmykim
Visa's now looking at everyone on an individual basis but having an IPSP in front of you when they are taking aim is still worth the money that you spend on it, imo.
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Why?
The reliance on an IPSP seems to increase your liability at least two fold.
Naturally, you need to be concerned about your billing practices; however, you can control yourself (hopefully). Yet, with an IPSP, you are forced to consider the billing practices and tools of the IPSP itself.
In addition, you have to worry about the total volume the IPSP is doing, if larger clients begin to defect to their own merchant accounts etc. The IPSP could have complications with it's chargeback + refund ratio.
We all know you lose your rebills, reserve and maybe a few pay periods when a processor goes tits up, but you are also on the hook for potential affiliate sales.
However, how does this change your standing with Visa/MC ? How do they hold you the site-owner in regard to a failed processor?