I'm currently looking for an online payment solution for a business website I'm working on and it turns out it's a bit more complex than I'd first though.
I'd like to run at a very small download fee that we keep and the rest goes to the user but I can't find a merchant account that will work with this as they all charge a flat transaction fee AND keep a percentage of the sale for themselves.
Does anyone know of any that just take a percentage OR a flat fee or am I going to have to rethink my business model?
We're UK based.
As far as I know all payment processors/gateways apply both a transaction fee plus a percentage. I hate it, but PayPal seems to have the lowest rates and doesn't require a merchant account with a bank.
Depending on your anticipated transaction volume, and whether or not you can use a merchant account, SagePay Go might be an option.
For accounts with less then 1000 transactions per month they charge a single monthly fee of £20.00...there are no fees charged on a per-transaction basis
The only thing is they do require that you have an Internet Merchant Account.
I'm not really in a position to need this setting up yet but as things stand I think I'm going to use Go Cardless for payments if Dwolla isn't international by the time my site's ready. I'm building it myself in my spare time (web developer by trade) so it might be a while anyway.
Go Cardless are UK based and charge 1% up to £2.00 max per transaction with no other charges.
Dwolla are US based and charge $0.25 per transaction with no other charges.
I don't see how gocardless can possibly fend off chargebacks so although clients may pay through gocardless, they are not present so can contest and easily get a chargeback leaving you out of pocket.
I'd love to see if this is true or not, I can't see how the exposure can be managed
I work for Nochex, which is a UK company based in Yorkshire.
We provide merchant account + payment gateway in one bundle with one charge. We charge 2.9% + 20p per transaction. We don't charge recurring monthly or annual fees. For a Merchant account we charge a £50 set-up fee (Seller accounts which only accept payments from UK cards are free to set-up). this looks like a good match for your needs.
Find more details at www.nochex.com
Good luck, Peter
If you use PayPal express, only the percentage fee applies. Your customers do not have to have a PayPal account either, credit cards will be accepted.