03-05-2004, 05:08 PM
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Confirmed User
Join Date: Feb 2003
Posts: 1,135
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Quote:
Originally posted by Adam-EB
With the third party processors, you pay 13-15%. CCBill eats chargebacks for you, most others don't. They also keep a rolling reserve for a period of 6 months. You get it back, but it can be 5-10% that is missing from your checks until 6 months rolls back around.
With our merchant account, we pay about 3-4% for processing (depending on which card they use), plus .45 per transaction for Netbilling's services.
How does that break down? Example:
3rd party:
25 signups a day x 30 days = 750 signups a month
750 x $24.95 = $18713
$18713 - 13.5% ($2526) = $16187
Total fees for month = $2526
Merchant account:
Same scenario = $18713
750 x .45 per transaction = $338
$18713 - 4% ($749) - $338 = $17626
Total fees for month = $1087
Now, keep in mind that you will have to pay a fee for ALL TRANSACTIONS through Netbilling, even the declines, so the 750 transactions would actually be higher, depending on how many declines you have. Also, your per transaction fee would be higher if you want Netbilling to handle your customer service for you.
Disclaimer: I posted this to the best of my memory. Netbilling, CCBill, or any other 3rd party provider, please correct me if any of this information is inaccurate.
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adam, got icq? |
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