Quote:
Originally posted by rdunn404
Ok but please explain to me what the advantage is of me staying with CCBill now (besides lost rebills)? I mean now it seems like I'll be running a pseudo-merchant account. If I get high chargebacks with it, I'm fucked. Just like if I had a merchant account. And the startup fees are about the same. I have very low chargebacks for my site, so why shouldn't I just pay about $500 for a merchant account that takes only about 3-5% of my $$ instead of the 900lb gorillas taking 12-15% plus reserves. I think that since the main advantages of using 3rd party billing are now lost, CCBill's fee should go down.
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There is NOW with the NEW REGULATION almost no advantage to using a third party except for fraud screening; which can be easily gotten by a third party fraud detection system such as cybersource.
Ok, here is how I look at it.
Let's say I am a shareware author (which in reality is a lot like a porn site) and I am LOCATED outside of the US. I have just written a NIFTY little program just like Winzip and the world is going to flood to my doors to buy it.
Now, what I would do would be to go to places like RegShare.com or Regnow.com or even DigitalRiver.com and sign up as a vendor.
Why would I do it. Although I feel that I have written a very good piece of software, I will NEVER know if I can sell it. So why add additional cost to getting a merchant account, getting a company set up etc? So the main advantage would be to use a third party who just sends me my check at the end of the billing period minus whatever rolling funds, fees, chargeback fees etc and processing fees.
Now, with the regulations going to take place, all the above advantages are LOST.
If you are US based, why shouldn't you get a merchant account? Unless you have a bad credit history in which case you are going to be DENIED anyways.
If you are OVERSEAS based, you are out there, tough luck.
If the ONLY VALUE ADD CCBill will do is FRAUD SCREENING and handling your ECOMMERCE administration, you might be better off just going out and getting your CC merchant account and outsource to anacom.com or Cybersource or even EFalcon.
Either way, Ron C. has his hands full and I don't want to rain on his parade but I do feel for him and CCBill with this new regulation. But like I said, there is a way, and that way will be to go OFFSHORE.
-Nato