Stormpay is charging 3% credit card processing fee to the shoppers' account, should I pay this 3% for my customers (shoppers)?

If I pay this 3% for my customers, my margin will be lesser, and my funds will become limited to cover my bad debts; on the other hand, it does not make sense to ask the shoppers to pay for this extra 3% credit card processing fee, and the shoppers will not like it. :confused:

What do you guys think?
Would you pay this 3% for your customers?

Ive used a payment processor in the past which did something similar. I know some people would say its wrong to make ur customers pay this etc, may be against some terms such as paypal, but for me it all depends on your mark up/profit your making. If you make very very little, I would make them pay, or you can just slightly increase cost of your product/service to cover this cost. It really depends on what kind of profit you make, well for me at least.

With that approach, I'd start looking for a new processor as they'll probably be history.

My understanding has always been that, as part of the merchant agreement with the card companies, shoppers could not be charged higher prices for using credit cards versus other methods.

Perhaps there is some technical way around it, such as a local CD store which provides discounts to those who pay in cash.... perhaps just semantics, but it is a sure way to turn some people away.

Thanks Buddies,

Now I need to convince my regular customers to pay this
extra 3% fee to Stormpay, and I need to say sorry to my customers about this new fee policy, and this is a very embarrassing moment...!!

It is not easy to simplay change to another 3rd party processor,
look at the horror stories from Paysat, Jensleypay, Payingez, Graphcard, YowCow, transactindia and ECS-World lately, which processors can we trust now?

This e-business is so difficult for me to do just because cannot get a good processor..!

After spending some time on here, I just went and got a real merchant account. I worries about 3rd party pay systems. It costs a little more money, but I doubt I'll be on here complaining about not being paid anytime soon and for that, it's completely worth it for me.

If you're wondinging, I'm up here in Canada so I went with InternetSecure (after hearing good things from a friend).

Originally posted by Bitruder
After spending some time on here, I just went and got a real merchant account. I worries about 3rd party pay systems. It costs a little more money, but I doubt I'll be on here complaining about not being paid anytime soon and for that, it's completely worth it for me.

If you're wondinging, I'm up here in Canada so I went with InternetSecure (after hearing good things from a friend).

But not all countries can get a merchant account easily.
Furthermore, not all e-business owners can afford to use merchant accounts because of their low sales volume. ;)

cavalry,

what is low volume for you?

Originally posted by FashionPoint
cavalry,

what is low volume for you?

This is a very embarrassing question for me... :emlaugh:

Less than $500 per month now. :bawling:

As i know those tr fees are taken by banks and are usual for 3pp, but 3% is terrible, approximate rate is 0.75-1.75$ depending on the bank and country.

Another terrible charge from Stormpay is that they charge $35 to send check/cheque by express delivery (DHL or Fedex?)!