I have searched and read several threads on this board about merchants and shopping carts, but have a few questions. First off though, here's what I'm trying to do:

Sell products online with a store (approx. 300 to 500 products)
Accept credit cards online
Accept credit cards over the phone

question: What can I expect to pay for a merchant to handle the above (i.e. online and over the phone orders by us)? With less then $5,000 a month in transfers, guessing. And what merchant do you recommend?

question 2: Is it wise to just use PayPal for online orders and then have a seperate merchant for taking orders over the phone?

Thank you.