Quote:
Originally posted by Shonine
Can anyone go into detail about billing cascading. How it works, the concepts...etc
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Since the description from EG was totally off, I just had to come in here and explain how it really works in a legal cascading environment.
Surfer comes to a join form where he/she inserts all information that the merchant is allowed to gather legally by either the IPSPs or VISA/MC etc. - this differs between merchant account holders and third party processor merchants.
So lets just use third party processors (IPSPs) as example using an affiliate custom script:
1. Surfer comes to a join form residing on the program owners server.
Example - 2 step join form:
First page:
http://www.moneymansion.com/signup/secure_join.php?s=7
Fill this form out and submit it
Second page will come up pre-populated and once you submit the second page info it will take you to your primary processor.
Lets say that is CCBill-
IF the card is declined for some reason (and these reasons are many, and very different from time to time of the day and the week...) the information in a true cascade will be passed on, WITH THE EXEPTION OF the credit card number and exp. date - since this is NOT LEGAL according to the card associations, to the secondary processor in your cascade, and the surfer will be told that the primary could not process the card (for whatever reason) and asked to use the secondary processor.
This will repeat itself if the secondary processor fails as well and take the surfer to the third.
After three (in most cases) processors the surfer is taken to a page with an alternative payment platform like check processing, dialer, telephone billing, etc. etc. - whatever the program owner feels is the best.
OUR experience with over 100 programs using a solution like this, we have seen no significant chargeback ratio what so ever overall. Which proves that a cascade of processor will only MAKE YOU MONEY and not the opposite.
I will call it a win win win and win situation.
