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[C1231]Credit Card Processing Without A Merchant Account

by Sushil Kumar, Sus

Sometimes, though, you would be further ahead to use the services of a credit card processor. This is especially true when you are first starting out and have more limited resources. In this way, you may process credit card transactions without the high front-end costs and requirements of a merchant account.

Here, then, are just a few ways of accepting credit cards without a merchant account. I personally use all of these vendors and can recommend them wholeheartedly.

1. Click bank

If your product is downloadable (such as electronic books or software), you might consider ClickBank.com. For a $49.95 initial fee, you can process credit cards and on-line cheques for $1.00 per transaction plus 7.5% of sales.

You receive additional exposure through free listing on their website and through the search facilities of other websites, such as CBMall.com.

As an added bonus, you have your own built-in affiliate program. You decide what commission (from 1% to 75%) you would like to pay your affiliates.

2. Pay Pal

PayPal.com has no initial fees. For just 2.9% of sales and $ .30 per transaction (and sometimes less), you can receive money from anyone.

Also, you can pay others by credit card or chequing account without supplying your personal credit information to the payee. Pay Pal can be used to collect money from your auctions, website sales, or even from friends or clients.

3. Pay Systems

In the original edition of this article, I recommended PaySystems.com (also known as MyPaySystems.com). This is what I wrote about them:

"PaySystems.com can handle either intangible (downloadable) or tangible (shippable) products. For an initial fee of $49.00, you can accept all major credit cards as well as online checks. Fees are just 3.95% of sales and $1.00 per transaction. Alternatively, you may pay 5.5% of sales and $ .35 per transaction."

"For this, you receive shopping cart, integration with third-party affiliate programs (such as ClixGalore.com), fraud screening, multi-currency transactions, toll-free support, marketing tools, and more."

Unfortunately, PaySystems.com has discontinued their "Internet Billing Account" for those outside the United States.

4. 2CheckOut

2CheckOut.com can handle both intangible and tangible products. For an initial fee of $49.00, you can accept all major credit cards as well as online checks. Fees are just 5.5% of sales and $0.45 per transaction.

For this, you receive shopping cart, fraud detection, and integration with third-party affiliate programs, multi-currency transactions, free on-line support, and more.

Incidentally, 2CheckOut.com has the same policy as ClickBank.com does with regard to sales taxes. Both companies take the position that you are selling your product to them and that they resell it to the final consumer. Thus, they claim that you are not subject to sales taxes on those sales.

In credit card processing, there are many different reasons why a business may be considered high risk.
First, it may be the actual business industry that has been tagged "high risk", such as travel, multi-level marketing (MLM), e-commerce, aggregators or collection agencies.

Second, the reason may simply be the business volume that places a business in the high risk category.
And third, it may be a reflection of the business or the business owner's credit history.

The question still arises: Can High Risk Merchants Obtain a Merchant Account?

The answer is YES. But you have to know where to go for the expert advice and guidance needed so you and your business are safe from excessive expenses often associated with high risk merchant accounts.

Working with an expert in high risk merchant accounts is critical to the success of obtaining the best merchant account solution for your business.

5 Points to Consider When Selecting the Best Merchant Account for Your High Risk Business:

Your application needs to be handled by a high risk professional expert

Your high risk merchant account processor should have experience with merchants in your business industry

The high risk merchant account processor needs to have access to numerous credit sources - including more liberal banks and offshore options

If your business does have to be taken offshore, your high risk experts need to work on getting the lowest rate available

All rates should be disclosed prior to contract with the high risk credit card processing company

3 Insider Tips To Ensure Approval for a High Risk Business Merchant Account:

Do you have a poor credit rating? Be honest about disclosing any past financial challenges. Acknowledging previous liens, bankruptcies, judgments, etc. will only improve your credibility and alleviate one more barrier.

Be open to offshore options as sometimes they can offer your business the best merchant account solution.

Shop around for a credit card processor that has expert knowledge in high risk merchant account approval - and don't be afraid to ask questions. The more you educate yourself in the process, the more you will recognize a good high risk merchant account processor giving you intelligent, experienced answers to your questions.

Operating a high-risk business does not exclude you from being able to process credit cards. Like any business, you want to provide your customers with as many non-cash payment options as possible. It is statistically proven that accepting credit cards help generate revenues and stimulate impulse purchases.

Owning a high risk business doesn't mean you won't be able to open a merchant account. It does mean, however, that you may have to do a little more in setting one up that is right for your business. Do your "due diligence", shop around and ask questions to find a credit card processing company that specializes in high risk and offshore merchant accounts and will offer their expertise to businesses who fall into the high risk category.

Article Source : How To Make Bib Cards

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Both Sushil Kumar & Scott Burke are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Sushil Kumar has sinced written about articles on various topics from Personal Desktop, Skin Care and Home Based Business. Did you find this article useful? For more useful tips and hints, points to ponder and keep in mind, techniques, and insights pertaining to credit cards, do please browse for more information at our websites.. Sushil Kumar's top article generates over 27100 views. Bookmark Sushil Kumar to your Favourites.

Scott Burke has sinced written about articles on various topics from Credit Cards. . Scott Burke's top article generates over 880 views. Bookmark Scott Burke to your Favourites.