who is better Paysystems or 2checkout?

those arent merchant account, but 3rd party processors :-P

I never used any of those but they're too expensive IMO.

Don't forget to check out hostcharge.com

HostCharge is even more expensive than just going with a full-fledged merchant account with authorize.net.

i got my merchant account through wellsfargo, their an authorize.net reseller also. They will take care of you in 24-48 hours with decent prices :)

HostCharge is even more expensive than just going with a full-fledged merchant account with authorize.net.

For somebody just starting out their basic plan is very reasonable and allow you to make a profit on a shoe string:

$0 Setup
$0 Monthly
$0 transaction fee
8% rate
$3 transfer fee

Seems reasonable.

Ya that is the best I ever seen!!!
8% w jack sh*t else..
still works out a lil more than the "norm" 4.?% +10 MCC +10 Statement +change per transaction

I have been seen now the 8% margin is better for new hosting companies.

I would also recomend Wells Fargo but if you want a 3rd party processor paysystems will probably work out the best for you.

Ooops! there´s one thing I saw at the bottom of the hostcharge price table. They charge .40 more:

* With a minimum commission of USD 00.40 per transaction.

It makes it more expensive.

Why not get a real merchant account?

fyi - here is some research I did on cc processors:

# trans: 100 Total volume: $10,000.00
payable (% of sales )
AuthorizeNet $848.00 (8.48%)
Revecom $544.00 (5.44%)
PayPal $420.00 (4.20%)
HostCharge (Basic) $859.00 (8.40%)
HostCharge (Direct) $601.40 (6.01%)
HostCharge (Select) $608.40 (6.08%)
WorldPay $1,225.42 (12.25%)
2checkout $644.99 (6.45%)
Merchantanywhere $724.00 (7.24%)

PayPal has the cheapest way to accept payments. The above numbers do not include check sending fees (i.e HostCharge charges you $3.00 to send you your money, whereas Revecom, Paypal, 2Checkout do not).

2checkout.com seems to be the best solution to me.

Hi j_rumba,

I just wanted to correct one aspect of your post....PayPal does charge 1.50 for check withdrawals (only domestic US users can ask for a check). Domestic (US) users do not have to pay withdrawal fees.

I was a little curious on your calculations...was this for international or domestic? Domestic users are charged at 2.2/2.9 and .30 cents per transaction, so the numbers seem high.

The infamous Paypal bot is back.

I can assure you that I am quite human (perhaps too human):)

I personally like Paypal for the fact it can be used in a number of areas w/o needing sperate accounts.

At one time, 2checkout was cheaper for lower volume sales and there was a difference between the acceptance of various foreign currency or credit cards. Did 2checkout expand this and does anyone know what their set up fees are now?

Originally posted by j_rumba
fyi - here is some research I did on cc processors:

# trans: 100 Total volume: $10,000.00
payable (% of sales )
AuthorizeNet $848.00 (8.48%)
Revecom $544.00 (5.44%)
PayPal $420.00 (4.20%)
HostCharge (Basic) $859.00 (8.40%)
HostCharge (Direct) $601.40 (6.01%)
HostCharge (Select) $608.40 (6.08%)
WorldPay $1,225.42 (12.25%)
2checkout $644.99 (6.45%)
Merchantanywhere $724.00 (7.24%)

PayPal has the cheapest way to accept payments. The above numbers do not include check sending fees (i.e HostCharge charges you $3.00 to send you your money, whereas Revecom, Paypal, 2Checkout do not).

Ummmm....

10,000.00 -5.5% = $550.00
100 trans. x $0.45 = 45.00
Total Fees = $595.00
Total Payable To Seller = $9,405.00
"Real" % (incl. trans) = 5.95%

Unless I misunderstood something.

Originally posted by j_rumba
fyi - here is some research I did on cc processors:

# trans: 100 Total volume: $10,000.00
payable (% of sales )
AuthorizeNet $848.00 (8.48%)
Revecom $544.00 (5.44%)
PayPal $420.00 (4.20%)
HostCharge (Basic) $859.00 (8.40%)
HostCharge (Direct) $601.40 (6.01%)
HostCharge (Select) $608.40 (6.08%)
WorldPay $1,225.42 (12.25%)
2checkout $644.99 (6.45%)
Merchantanywhere $724.00 (7.24%)

PayPal has the cheapest way to accept payments. The above numbers do not include check sending fees (i.e HostCharge charges you $3.00 to send you your money, whereas Revecom, Paypal, 2Checkout do not).


Your calculations are way off:

HostCharge select = 4% discount + 50 transaction fee = 4.5% (if the transaction size is 100)

Therefore $10,000 x 4.5% = $450.
$450 + $9.95 (mcc access charge) + (wire fee, $3 or $13).

You might want to revise those incorrect figures.

Yeah, I don't think there is a single figure correct there

AuthorizeNet $848.00 (8.48%) (this is Charge.com rates)

2.35% x 10,000 = $235
$0.30 x 100 = $30
Statement Fee = $10.00
Real Time (Lease) = $49.95
Gateway Fee = $15.00

$235 + $30 + $10.00 + $49.95 + $15.00 = $339.95

What I think is funny, is people saying "HostCharge is more expensive then the rest"... It's all about volume! Furthermore, HostCharge support has been great! I wish they would lower there "USD 100,000 in gross sales per month" for your name on the credit card statement ;).

I don't really care how much I process I like 3rd-Party companies, besides that the additional fees can be a tax right-off anyhoo, so what's it matter?

Originally posted by comphosting
Yeah, I don't think there is a single figure correct there

AuthorizeNet $848.00 (8.48%) (this is Charge.com rates)

2.35% x 10,000 = $235
$0.30 x 100 = $30
Statement Fee = $10.00
Real Time (Lease) = $49.95
Gateway Fee = $15.00

$235 + $30 + $10.00 + $49.95 + $15.00 = $339.95

What I think is funny, is people saying "HostCharge is more expensive then the rest"... It's all about volume! Furthermore, HostCharge support has been great! I wish they would lower there "USD 100,000 in gross sales per month" for your name on the credit card statement ;).

I don't really care how much I process I like 3rd-Party companies, besides that the additional fees can be a tax right-off anyhoo, so what's it matter?

comphosting, we're already working on the custom billing descriptors ;)

Paypal eh? That reminds me that I have to contact my bank to enforce a CHARGEBACK for the one or two dollars paypal deducted from my credit card when I signed up (international customer verification). Yeah, that's right, because when I did log into my account wanting to (shock horror here folks) use it as per the whole deal that is behind the service I signed up for... Guess, what? My account never ever having been used, and with it's measly balance of one buck or so - had been suspended! That's right! Apparently signing up to their service makes you a suspicious character. Have I emailded support. Well I never found an email address on the site so I submitted by support request via their web form. Did I hear anything back from them? No. Am I going to charge back to get back my one or two dollars (I can't remember now how much it was). You bet I am. Charging someone for a service not delivered is not on. Sure it's only a buck or so, but I bet it adds up for paypal. It's just a pitty I'm not their pal.

I would not touch paypal with a barge pole. I can't conceive how a serious business would want to go anywhere near them.

A serious business would offer their clients the option!
I don't see your logic on that!?!
There are thousands of people that have one and trust it's security of their personal info over whatever a particular website may have!

I calculated them as:

Monthly fee $9.95
setup fee: $39 (you forgot to add this fee)
discount rate: 4%
trans rate: .5 /ea

So you take the monthly fee x 12 plus the setup fee = $158.40, then you add your 100 transactions (.5 x 100 = $50), and take 4% of $10,000 ($400)

or $158.40+$50+$400=$608.40

If your sales are $10,000 and it cost you $608.40, then you cost of sales is 6.08%

thanks for keeping me on my toes

Originally posted by j_rumba
I calculated them as:

Monthly fee $9.95
setup fee: $39 (you forgot to add this fee)
discount rate: 4%
trans rate: .5 /ea

So you take the monthly fee x 12 plus the setup fee = $158.40, then you add your 100 transactions (.5 x 100 = $50), and take 4% of $10,000 ($400)

or $158.40+$50+$400=$608.40

If your sales are $10,000 and it cost you $608.40, then you cost of sales is 6.08%

thanks for keeping me on my toes

Makes sense. But next month you dont pay a setup fee. So thats a misleading :)

AuthorizeNet calculations:

You forgot the gateway and merchant fees are monthly, not annual.

monthly Gateway($32) and monthly Merchant fee ($16)= $224
discount rate, 2.25% (or $225)
transaction rate, .47/ea (or $47)
therefore:
$224+$225+$47= $848 (or 8.48% of sales)

After I take out the setup fees, the subsequent annual cost of sales are as follows (I also dropped paypal down a percent, because I am international, it costs me more):

# trans: 100 $10,000.00 (% of sales )
AuthorizeNet $848.00 (8.48%)
Revecom $495.00 (4.95%)
PayPal $320.00 (3.20%)
HostCharge (Basic) $840.00 (8.40%)
HostCharge (Direct) $572.40 (5.72%)
HostCharge (Select) $569.40 (5.69%)
2checkout $644.99 (6.45%)
Merchantanywhere $724.00 (7.24%)

Of course there is the saying "you get what you pay for"

With Paypal you are limited to the number of countries. Some have problems and restrictions. See their list.