merchant accounts

[unitedpimps jrock]

Hey I was interested in using a merchant account instead of going though a billing company's....can you guys give me the low down on this subject with some of the pros and cons to consider?
thanks

[N J]

pros...avoid paying 12-18% to billings.

cons....You need to do accounting, payout, buy software, hold the risk of getting a 100K fine if you get over 1% CBs.

If you are running a new site only I can not recommend this.

[superweb]

There's a 100k fine for chargeback ratio over 1%? And big cc procs pays it too?

[N J]

I don't think they go over 1%, thats why they tend to scrub so hard, but thats the reason some billings died.

I'm not too updated on this, but it used to be 1,5% for Visa and 1% for mastercard, but I think its 1% on both now. Though you need to be above in like 3 months to get the 100K fine.

[unitedpimps jrock]

thanks a lot for the input guys I really appriciate it

[GonePhishing]

Do a large number of people use merchant accounts in the industry?

[unitedpimps jrock]

..........bump....anymore suggestions anyone?

[dicknixon]

100k fine? Thats insane . . you can have your own merchant account but have a big billing company (epoch) handle the scrubbing right?

[SpoinkDexter]

I am really curious about this as well. Our merchant accounts are for non-porn type stuff, and it seems to be a completely different world when it comes to adult. Current company will not even talk to me about adult stuff.

Thanks,

Spoink

[unitedpimps jrock]

bump