Hi to all forum members!

I am so happy that I found this forum as I cant find the information that I need

I am currently setting up a legitimate online travel company here in Prague and will offer hotel reservation services around the globe.

Problem is that Czech banks want a questionaire to be faxed by customers for each credit card transaction. What I am looking for is a company where I can go to a website and fill in credit card tetails and other information of client, can authorize the payment, check if I can confirm the reservation and if yes, settle the payment. I dont want any shopping cart or anything. I also need to be able to get the funds into my account every few days.

There seem to be a number of companies offering this service but a company like worldpay want 5,5%. I expect to be able to reach a daily sales volume on credit cards within 9 months of atleast 20,000 USD. That 5.5% would kill me as I am working on a low margin. Anyone know where I can get a cheaper % with the requirements I need.

Any info will be greatly appreciated.

Kind regards,

Jim

Welcome to the forums Jim!

If Worldpay will support your type of business, 5.5% is pretty good. Depending on the set-up, you are looking at anywhere of 3-6.5% because a travel company is high risk.

Thank Corey for the reply.

I will need to be able to process not online V/MC but also Amex and preferably JBC and others.

I know that online travel is considered high risk but I am really hoping that I can get around 3.5-4% somewhere. Do you know of any companies that can offer that for International mercants?

Thanks ;)

It is really not the processors that set the standards but the acquiring banks as well as Visa and MasterCard.

It really all depends on your volume and your previous history. You might be well enough to get a higher discount rate for about 4-6 months and then request the discount rate to be lowered. Most will also do this because you have processing history

It just seems a lot to me. I mean, the maximum what the banks charge here is 4-4.5%. But as mentioned, i cant ask each client to fax me the questionaire.

If anyone knows a company which can offer me good rates then please let me know. I dont really care about set up costs, its just the processing fee's that mather to me

Faxing the questionnaire can be a bit of a pain, that's for sure. Do you want a third party solution or your own merchant account?

Thanks again corey for the help.

Basically i understand the basic differences between that but I dont know what my options are.

The questionaire is out of the question. I mean travelers often dont have access to a fax or dont want to fax and will just pick a site where its not needed.

The company will be an official registered travel company and licensed and all. It wont be some phony company.

I will be doing PPC advertising and I need to get a low % on CC transaction to be able to survice, therefor I am looking for around 3.5-4%. That one % point makes a very big difference for me.

So either 3 party or my own merchant account, i dont care as long as I can get my money every other day transfered and have low%.

Corey, what should I do. I really dont have experience with this and there are so many companies out there who seem to charge crazy rates or payments once a week. I need to pay my suppliers, i cant wait every week.

Well even with that - you would more than likely be subject to a rolling reserve because of your type of business. More an more acquirers just do not want to risk losing money unfortunately