Results 1 to 14 of 14
  1. #1

    Payment solution for lottery based website

    Any recommendation for a merchant account/3rd part processor for a startup lottery website, incorporated in US?

    Thank you.

  2. #2
    Join Date
    Apr 2009
    Location
    Toronto
    Posts
    418
    You'd have to read the agreements, but i'm pretty sure last time i looked into this, i didn't find any that wanted to do a lottery website.

    Well, at least someone wants a "quote" for a lottery website, so i didn't spend too much time on it, they obviously weren't really serious.


    Lawrence
    Tired of Hosting? Let Us Buy You Out!

    BUYOUT HOSTING - Where Buyers and Sellers meet!

  3. #3
    I was in talks with a couple providers but suddenly a few weeks ago both declined due to some changes in credit card regulations for gambling. I was wondering if I should look for an offshore solution instead.

  4. #4
    Join Date
    Apr 2009
    Location
    localhost
    Posts
    174
    Have you tried money bookers or Authorize.net ?

  5. #5
    I just checked and they don't do gambling.

  6. #6
    Join Date
    Aug 2007
    Location
    United Kingdom
    Posts
    374
    I have seen betting sites that accept Moneybookers isn't that gambling?

  7. #7

    Exclamation

    Mastercard will view this as MCC 7995 which is merchant account speak for online gaming. This cding will automatically block US transactions from the bank. If you are ofered a solution, i would be very very cautious of processing transactions from the USA because your money will be frozen.

    Also, to operate a lottery you need to be licensed by the state in the US that you are selling in, online or not.. I would just stay away form the US and get Latin traffic or Asian.

  8. #8
    Join Date
    Apr 2009
    Location
    Toronto
    Posts
    418
    Offshore is definitely the way to go - assuming you want to do this.

    I had the option once in participating in an "online scheme". Didn't really seem worth it from a ROI / risk perspective.

    Pretty sure "lottery" no matter how you slice it (selling tickets, to exchange for chits that get traded for merchandise to be refunded etc) is gambling and illegal the US and Canada.

    It's doable, but you need LOTS of money.


    Lawrence
    Tired of Hosting? Let Us Buy You Out!

    BUYOUT HOSTING - Where Buyers and Sellers meet!

  9. #9
    What would be a ballpark estimate for offshore? Any good suggestion/recommendation? I get tons of results on google on this subject.

  10. #10
    Join Date
    Apr 2009
    Location
    Toronto
    Posts
    418
    No suggestions here. When we looked into it, it would cost a heckuva lot of money to do so. THat may not be your current situation.

    Though i'm assuming, if you had the backing of a few million and some good tax attorneys, you wouldn't be posting questions on WHT...


    Lawrence
    Tired of Hosting? Let Us Buy You Out!

    BUYOUT HOSTING - Where Buyers and Sellers meet!

  11. #11
    Join Date
    Aug 2002
    Location
    US
    Posts
    416
    you can not start lottery with $1000, it will cost you much more if you would like to set up everything legally
    Offshore incorporation and bank accounts
    @offshoreoffer - offshore services, tax optimization info

  12. #12
    Join Date
    Apr 2009
    Location
    Toronto
    Posts
    418
    Quote Originally Posted by u4t2t View Post
    you can not start lottery with $1000, it will cost you much more if you would like to set up everything legally
    Right. As per my previous post.

    "If you have to ask.... you can't do it."

    But likely it's just a half-baked "hey, i could be in the lottery racket after i IPO my shared hosting and then graduate from high school!"

    FYI: Pyramid schemes / rackets are good. And the further up you (ie, own the casino or lottery racket) is even better. Only difficulty is it's illegal in North America.. unless you have some Indian blood.. or want to do stuff off-shore, and then it just costs a lot of money. (With the risk you can't come back to US / Canadian Soil)


    Lawrence
    Tired of Hosting? Let Us Buy You Out!

    BUYOUT HOSTING - Where Buyers and Sellers meet!

  13. #13
    Join Date
    Apr 2009
    Location
    Scotland
    Posts
    177
    And then you have too think how many people would play a small lottery, run by an unknown, hosted outside there home country?
    Darren Tod
    RPD Hosting

  14. #14
    Join Date
    Apr 2009
    Location
    Toronto
    Posts
    418
    Quote Originally Posted by ItsRetroBby View Post
    And then you have too think how many people would play a small lottery, run by an unknown, hosted outside there home country?
    Unknown, non-verified website hosted offshore! Sign me the freak up! Where do i have to put my credit card information and social security #?!

    The two inquiries i've had in the past were pretty much like this. I'm sure they just did the math and it was like, "so i sell 1000 x $100 tickets and i can make $100,000! Especially since i'm not even going to give out the prize!"

    I don't care how you slice it, with "tickets" or whatever.. it's gambling and illegal. There's also the audit-trial, you might as well just run home-renovation scams on old-ladies in the next state. At least it's cash-only and you can run away. Haha.


    Lawrence
    Tired of Hosting? Let Us Buy You Out!

    BUYOUT HOSTING - Where Buyers and Sellers meet!

Similar Threads

  1. I want to start a lottery website thing that uses phones
    By Blurple in forum Web Hosting Lounge
    Replies: 11
    Last Post: 06-07-2008, 12:00 AM
  2. Need payment system for US-based website for German market
    By NeedSomeAnswers in forum Ecommerce Hosting & Discussion
    Replies: 10
    Last Post: 04-22-2008, 11:49 PM
  3. Need payment system for US-based website for German market
    By NeedSomeAnswers in forum Ecommerce Hosting & Discussion
    Replies: 4
    Last Post: 04-22-2008, 04:24 PM
  4. It legal or not to host lottery website
    By FIAHOST in forum Running a Web Hosting Business
    Replies: 19
    Last Post: 05-04-2005, 09:45 PM
  5. Best payment solution for subscription-based site
    By pergesu in forum Ecommerce Hosting & Discussion
    Replies: 1
    Last Post: 06-30-2004, 08:21 AM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •