PayPal Payment Provider

[privateb]

Hi Guys,

I have just noticed that Paypal now offer a free service (with exception of fees) for business.

We currently use Sage Pay & Streamline which has monthly charges of £50 combined before fees, if I went down the Paypal route could I do away with the other 2 providers?

We currently offer Paypal on the website anyway so customers would just go straight through to Paypal rather than Sage pay.

Also will the other two try and charge me for canceling? We have been with them for 3 years.

Any help or advice greatly appreciated.

Ryan

 

[antropy]

Hi there,

As far as I can see the same PayPal options still exist: Standard and Pro:
https://www.paypal.com/uk/webapps/mpp/home-merchant

With Standard you can't accept credit cards on your site without redirecting to PayPal. With Pro, you can.

Paul

 

[japancool]

Hi Guys,

I have just noticed that Paypal now offer a free service (with exception of fees) for business.

We currently use Sage Pay & Streamline which has monthly charges of £50 combined before fees, if I went down the Paypal route could I do away with the other 2 providers?

We currently offer Paypal on the website anyway so customers would just go straight through to Paypal rather than Sage pay.

Also will the other two try and charge me for canceling? We have been with them for 3 years.

Any help or advice greatly appreciated.

Ryan

What's your monthly turnover and average transaction value? How many chargebacks do you get?

 

[privateb]

What's your monthly turnover and average transaction value? How many chargebacks do you get?

Hi our Monthly turnover is on average over past 12 months £1,246.28 with an average transaction value of £24.78.
By Chargeback what do you mean? Refunds? If so 11 in the past 8 months so 1.2 a month.

 

[Faevilangel]

As Paul said, Paypal still have the basic 2 accounts:

Standard - redirect to their website to complete transaction
Pro - About £20 month + fees - You can set the payment on your site.

Paypal maybe doing a special offer of Pro free for x months but in the end it's a paid solution.

£50 a month for merchant fees is very little compared to your t/0. and works out about 8% of your monthly income (based on the 1200 figure).

Using Payment Brain website - you could get your merchant fees down to £30 month based on 50 transaction / month @ £25 each.

The link is here

 

[privateb]

Thanks for the link.

I would consider using the free account and for the customers to go through to the PayPal website for payment, as at the moment the customers leave our website and go onto the SagePay so would be no different.

Would we still need a merchant account with the Paypal Option?

As Paul said, Paypal still have the basic 2 accounts:

Standard - redirect to their website to complete transaction
Pro - About £20 month + fees - You can set the payment on your site.

Paypal maybe doing a special offer of Pro free for x months but in the end it's a paid solution.

£50 a month for merchant fees is very little compared to your t/0. and works out about 8% of your monthly income (based on the 1200 figure).

Using Payment Brain website - you could get your merchant fees down to £30 month based on 50 transaction / month @ £25 each.

The link is here

 

[Faevilangel]

Thanks for the link.

I would consider using the free account and for the customers to go through to the PayPal website for payment, as at the moment the customers leave our website and go onto the SagePay so would be no different.

Would we still need a merchant account with the Paypal Option?

Not for the Standard payments you don't

 

[privateb]

So if I go for the basic package people will be directed to the PayPal website to pay using either their PayPal or their credit card.

This would then go into my PayPal account where I could then transfer straight into my bank account with out the need for a merchant account, therefore saving me £50 a month on services?

 

[Faevilangel]

So if I go for the basic package people will be directed to the PayPal website to pay using either their PayPal or their credit card.

This would then go into my PayPal account where I could then transfer straight into my bank account with out the need for a merchant account, therefore saving me £50 a month on services?

yup, but with Paypal you need to manually do the withdrawal but it's near enough instant now.

 

[japancool]

Hi our Monthly turnover is on average over past 12 months £1,246.28 with an average transaction value of £24.78.
By Chargeback what do you mean? Refunds? If so 11 in the past 8 months so 1.2 a month.

You're processing on average 50 transactions a month (btw, I wouldn't post your exact figures publicly in case your competitors are reading this). At that average transaction value, it will cost you £52 a month, which is more than what you're paying now.

By chargebacks, I don't mean refunds that you've processed, but refunds where people have gone to their card provider and claimed the payment back for whatever reason.

I use Paypal myself, but I don't see a compelling reason for you to change what you already have.

 

[LMDServicesUK]

So if I go for the basic package people will be directed to the PayPal website to pay using either their PayPal or their credit card.

This would then go into my PayPal account where I could then transfer straight into my bank account with out the need for a merchant account, therefore saving me £50 a month on services?

If you would like to PM me, we could offer you a more cost effective solution (£ 30 PCM inc acquiring fees for up to £ 4K revenue transacted per month) than you have currently with SagePay & Streamline, and certainly going to PayPal would not be cheaper as they do not differentiate between card types so you would end up paying for your gateway and around 3.4% per transaction you put through, and they also have highly dubious customer service.

More importantly they have been known to freeze accounts without explanation, which rarely happens with a conventional merchant account which is what I believe you have currently ?

You can certainly reduce your processing costs, and improve the service you receive and still retain PayPal for those customers who prefer it, but would seriously not consider PayPal as your only payment solution.

Whose shopping cart software do you use currently ?

If you want an indicative quote, please do PM me, our monthly fees start at £ 30 PCM (inc your acquiring fees).

Rgds

Mark