I do not think that you will find anyone that will be able to process in Canada for high risk. I know the industry is always changing, but at Internext last year, that was the biggest complaint - a lot of businesses were in Canada but the 38 (?) banks that were in Canada would not accept any type of adult processing. Now that could have changed since. I have not kept up with a lot up there - VanHost might also know since he is from Canada. I think though it is still no due to some other changes at a few places recently.
Also - a lot of "regular" processors could also help you out depending on what you might offer / sale. For example, if you sell tangible products, you might need to register with Visa as a high risk merchant, but you could get a much lower rate than 10-15% as offered by ibill or ccbill.
Paypal will not support adult websites. Visa is cracking down on them a lot. Paypal now will not even support websites that accept adult websites.
Also, per Stormpay's user agreement:
12.) You may not use StormPay to send or receive payments for any "adult" or "sexually oriented" materials or services.
Michelle...welcome to the board! I hope you find what you are looking for.
I'm sure you read all our rules before you signed up, but I think you missed one regarding signatures. You need to setup a signature and not manually add one. It's easy to do...just go to your Personal Control Panel and select "Edit Profile".
Unfortunately, I'm not aware of any option in Canada for high-risk processing, especially for adult-oriented products or services.
Is there any way you could setup a U.S. subsidiary for your processing? In terms of whether it falls into the requirement for high-risk registration, here is the Visa U.S.A. Merchant Data Manual description for Merchant Category Code 5967 - Direct Marketing Teleservices Merchant:
"Merchants classified under this MCC provide one or more audiotext/videotext services that customers access via telephone, fax or over an open network such as the Internet. The contact with the merchant and subsequent transactions are initiated by the customer. This MCC applies to merchants that sell information services over the telephone or through the Internet as well as to products that may be sold through the service.
Information Providers are included in this category code. An Information Provider (IP) is a company that offers for a fee servics, such as polls, sweepstakes, "rap lines" for singles, sports scores, stock market quotes, horoscope readings, or other audiotext/videotext services.
Merchants that provide electronic bulletin board access or on-line services to consumers via personal computers must be classified under MCC 4816 - Computer Network/Information Services.
Merchants classified under MCC 5967 are considered high-risk and must be registered with the Visa High-Risk Telemarketing Merchant Registration Program."
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Okay I guess I can only reply to ALL of the messages at once. LOL
That's new for me.
Thanks for the 2 URLs 74s3. Are you personally aware of how they are as far as service, quality, honesty etc., or did you just have them bookmarked? What/who is beanstream?
cdgcommerce - most companies in Canada want to charge their customers in CND, so opening it up under a US account won't help.
coreybryant - yeh I know all about Pay Pal. Please don't remind me. They stole money from me. & I don't even have an adult site. They kept chaning their story about why I was booted. Any excuse to get my money.
I'm pretty sure I found out about StormPay from an adult style site.
So Canadian businesses were going to Internex out where you are?
They don't have a conference here in Toronto do they?
The first SE conference is being held next month. I hope to be able to make it.
Trade the sig file is all done. I didn't see it when I initially when I filled out my profile & I realized that I wanted it there when I posted, so I wrote something in quickly.
If any more rules appear important that I may have missed, pls. let me know.
I will find out tomorrow if my contact can find a processor for adult style businesses for Canada.
If he says yes, feel free to let everyone know I can help them.
If a "adult" company was using StormPay - they are in violation of the terms. When they are caught - StormPay will more than likely cease their account & hold on to their money for 6 months.
Please do not be one of those companies. I had a friend that used Paypal & when they changed their TOS, they still used their services. Paypal did withold a substantial amount of moneyfor 6 months when someone did report them. They are now registered with Visa & a lot happier now.
First off my site is not an adult site. Just b/c it offers material for adult businesses, it does not make it an adult site. If companies like Pay Pal & Storm Pay want to be anal & unfriendly, than sure, they can do that, but that doesn't make it right.
That's like calling a lingerie store "adult" just b/c they sell items that only adults would purchase.
They are never clear what "adult" actually means. If it was just porn, that would be one thing, but it's not.
One guy sells glass dildos. Does that make his site adult? NO, he's just selling unique glass figurines.
Also my biggest competitor sells the same kind of e-book I sell & I asked Pay Pal why they were allowed to use Pay Pal & I wasn't & they said they would look into it.
She is still using Pay Pal 7 months later.
It doesn't seem to me that it's a level playing field & IMO, that's just not good business.
I will never recommend Pay Pal to anyone, adult or mainstream.
I've read the tons of stories where people have been robbed of huge amounts of money just b/c Pay Pal can.
PayPal & StormPay are both thirs party processors or aggregators. They are caught between a rock & a hard place unfortunately & Visa / MasterCard have a good hold around their necks.
I contacted Paypal a few months ago about web hosting. They will support it but they will not support your customers if those customers have adult content. I am not syaing I am for or against Paypal - I just can understand their place. Yes I have had a few problems in the past with them myself - and I only use them once or twice a year.
Well it is not that they allow it - the people sign up - just like under-age people sign up for Paypal. So if you think how many members that they have & then how many employees they have - do you think they have the time to go thru each "application".
Visa / Mastercard have re-defined the industry - that's for sure. I am not certain - but do you go to Internext? They had some great seminars there. One of the bigger problems though - people would have a merchant account - get a lot of chargebacks, so the merchant would be dropped. The merchant would then go out & create a new business. Get a new Tax ID number & a new merchant account. A lot of times with the same processor.
Well they do know. Like I mentioned in one of my earlier posts, my competitor also uses pay pal & when I confronted Pay Pal asking them why she is allowed to use Pay Pal & I'm not, they said they would look into it. 7 months later she is still using Pay Pal.
I understand that in the porn industry there are a lot of chargebacks, but that's porn. That's just ONE segmant of the adult industry.
Not every single adult business gets tons of chargebacks. Even mainstream businesses get chargebacks & the more people that are allowed to commit fraud or "friendly chargebacks", the more it will go on.
I feel the buyer has to be held responsible as well, not just the merchant.
If I can prove my client received his/her e-book, that should be sufficient evidence to prove the customer is committing fraud, but the banks usually take the customer's side without hearing BOTH sides of the story or even caring & tons of people do sign up for porn, get their product & then decide they don't wish to pay.
My son's father even allowed a whole bunch of charges on his credit card & than decided several months later he was going to tell his cc co. that he doesn't know where the charges came from.
That is clearly fraud IMO.
I'm well aware that some companies committ fraud, but I don't feel judging all companies the same is good business or moral.
If Visa & M/C really wanted to deal with this in an ethical way, they could demand that high risk companies subscribe to some of the chargeback companies that list tons of people who committ fraud. This would cut down on the amount of fraud committed by customers & allow legit ethical businesses to run.
No, I haven't been to internext yet b/c I don't think they come to Toronto.
Originally posted by ep2002 If I can prove my client received his/her e-book, that should be sufficient evidence to prove the customer is committing fraud, but the banks usually take the customer's side without hearing BOTH sides of the story or even caring & tons of people do sign up for porn, get their product & then decide they don't wish to pay.
It's not a matter of proving you delivered what they paid for, but can you prove that the person doing the ordering is in fact the person whose name is on the card??? Neither can Visa/MC/etc.
There is a new system out called Verified by Visa. It helps to take off some of the responsibility off of the merchant. it charges a little more on the transaction (to the company that is approving the transaction) but in turn you get about 5 basis points off your merchant discount rate. I am not certain if this is applicable to third party processors but for many high risks merchants - this is the thing to get