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  1. #1

    Instant Acct Setup or not?

    I plan on starting a web hosting business soon. I will be using 2CO and WHM. I was just wondering if you guys use instant acct setup or not? I want to b/c I believe customers like it, but what about fraud? I REALLY dont want fraud...

    What do you guys think about it? Should I take the risk or not?

  2. #2
    Join Date
    Mar 2003
    United States
    It's really up to you. Honestly although right now you may be able to hand activate everything, are you going to be able to do the same down the road when things begin to pick up? It's just something to consider. Personally, I've done it both ways before and I can say that each way has it advantages and disadvantages.

  3. #3
    Join Date
    Aug 2003
    I would say best to hand activate to avoid scams

  4. #4
    Join Date
    Nov 2002
    Hot, hot Michigan...
    The answer is:

    It's up to you. But if you choose to offer it you *will* get scammed and/or abused. How much is offering this feature to your clients worth to you?
    Ion Web Services/TronicTech or Unsupported webhosting?!?
    Shared hosting, Reseller accounts, Dedicated Servers, and More
    Proudly hosting since 2002

  5. #5
    Join Date
    Mar 2003
    Edmonton, Canada
    I prefer to manually activate the account. It is just safer in the long-run. Auto setup leads to, as thedavid said, scams, abuse, and of course fraud.

    Question is, can you afford losing money to fraud artists??
    Glen Millar
    Tyger Hosting Services
    Affordable Direct Admin Linux Hosting Since 2003

  6. #6
    Scammers are more likely to pick hosts that have instant activation, rather than having to wait say 2-12 hours for an acct to activate. In the long run, it would avoid a lot of problems and fraud, both which could seriously hurt your business image and rep.

  7. #7
    Ok guys, I think that answers my question!
    No Instant setup for me!

    Thanks a bunch!
    ~ Nate Wheeler ~

  8. #8
    Sounds like a plan. Good luck with your business

  9. #9
    I'll be going with that too , no instant setups
    John Heslop

  10. #10
    Join Date
    May 2001
    Colorado, USA
    Good Luck.

    Manual fraud checking on new orders is an important step.
    Web Hosting Resource Kit - Web Hosting Reviews & Hosting Tutorials

  11. #11
    I used to enable auto activation but i read the stuff about fraud on the forums and saying not to enable auto activation so i changed it.

  12. #12
    Join Date
    Feb 2003
    Kuala Lumpur, Malaysia
    We have auto creation. And review after account being setup.

    Received several scams but thank god they did not abuse.

  13. #13
    Join Date
    Mar 2004
    Seattle, WA
    Some people use instant activation to save themselves time, but do not advertise it on their web site since this is the part that actually draws the fraudsters to you.

  14. #14

    We do provide instant sign up and provisioning.

    Thanks to H-Sphere's Sign up guard along with strict address verification from our on-line credit card processing company, we've had zero fraud cost in approximately 18 months.

    Thank you.
    Peter M. Abraham
    LinkedIn Profile

  15. #15
    Join Date
    Aug 2003
    Vancouver, BC
    You will find that at first you won't have any fraud for sign-ups. Then you will get one and they most likely will do something damaging. Then you will begin to get more and more fraud orders. It's almost like a network of script-kiddies pass out a list of hosts with automatic sign-up.

    If you plan on doing automatic sign-up then look into some type of automated phone verification software to eleminate these risks.
    Gary Jones - Canada Web Hosting

  16. #16
    Join Date
    Jul 2003
    Don't use instant activation because the ration of fraud:real is 50:50

    DO: Have "click and go" activation system developed. You check the order for fraud, process the payment and THEN just click ACTIVATE button to automatically activate your account. capish?

    ITS PERFECT! It doesn't activate fake orders but makes real account activation a click of a button

    Have a great week


  17. #17
    Join Date
    Aug 2003
    Chesapeake, VA
    Unless you have a lot of fraud scrubbing in place or work mostly through referrals, it is best not to do "instant" account activations as it can make you a very real target for fraud.

    Fraudsters are much more likely to try to sign up for an instant activation host since they figure it will give them some time to send out spams (or do whatever other nefarious tasks they are up to) before any human will ever get to review their order. - Trusted Merchant Account Solutions since 1998
    Many thousands of successful, growing businesses benefit from our expertise every day. You can, too!
    We help merchants to eliminate gateway costs, reduce & mitigate fraud and achieve streamlined PCI compliance.
    Learn more today at - we look forward to helping your business grow!

  18. #18
    Join Date
    Mar 2004
    But if you dont instantly activate it some customers do get pissed or annoyed. I dunt know if anyone here has experience with but wanted to ask that doesnt it check that if payment has been made then activate the account. If we dont instantly activate it, we will have to manually do the activation work right? after checking that we recieved payment.
    "Web Hosting is not just about selling space, it is about facilitating customers needs with your plans and supporting the customer for a long lasting mutually beneficial relationship."- Yaser

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