Sagepay Merchant Account?

[Click2Post.co.uk]

Hello,

We use PayPal but want to take payments over the phone. Tried streamline via FSB who quoted below, but they want £10/month minimum in fee's, or they bill the difference (EG, if they once took £2 in fee's in total in the month, they will bill you an £8 charge to cover the minimum)

Sagepay want no fee's or setup costs what so ever, however they charge 40p debit and 2.5% credit. It will be cheaper to go with them initially until I increase turnover.

Sagepay have 3 month min. contract however as there are no monthly fee's, can't see this being a problem.

So basically, are Sagepay merchant services any good? Besides being expensive on a per transaction basis (we're not expecting many transactions)


Streamline quoted:
30p Debit
2.12% credit
(MOTO transactions)
Based on 18k/annum being processed with them, avg transaction £4-5, however I just said this to get a good initial rate.

 

[Nochexman]

Hi Click2Post.co.uk.

Sagepay don't provide merchant services; I think their merchant accounts are provided by Elavon - probably worth checking in case they have additional charges.

Phone payments can be relatively expensive if you are processing many transactions. Unless it is life and death for your business, I'd think carefully about whether you need to accept payments in this way.

We offer phone payments to our merchants only after we have seen them trade online for a period of time. We find this reduces the risk, and it gives us the chance to identify whether phone payments is going to make a difference to your business - if we don't think it will we won't try and sell it to you! To find out more about Nochex visit our website at www.nochex.com - be more than happy to discuss your requirements if you think that might help.

Best wishes,
- Peter

 

[a1anm]

You can also do this with PayPal:
https://www.paypal.com/uk/cgi-bin/webscr?cmd=_vt_hub-outside

However, from what I can see you need to pay £20 a month on top of the transaction fees.

 

[Page]

You can also do this with PayPal:
https://www.paypal.com/uk/cgi-bin/webscr?cmd=_vt_hub-outside

However, from what I can see you need to pay £20 a month on top of the transaction fees.

Plus their debit fees are far higher or at least were - since they were % based

But it is a quick and easy solution so is worth considering to see how many you really get etc

 

[jacknarvy]

I haven't use sagepay merchant account, But one of my friends using it. I heard that it is quite simple and flexible according to your needs.

 

[AnnaRobinson]

2.5% and 40p are very high rates. If you shop around you will definitely be able to get cheaper rates and gateway fees.

The best thing to do is take your quote you received from sagepay and give it to another company to beat. Cardsave or PaymentSense offer the most competitive New to Cards offers.

I would recommend not settling for anything above 2.2% or 33p.

 

[Nochexman]

2.5% and 40p are very high rates. If you shop around you will definitely be able to get cheaper rates and gateway fees... I would recommend not settling for anything above 2.2% or 33p.

Hi Anna.

You might be better informed, but if the OP is not doing enough transactions with PP to justify paying their fixed charge it is very unlikely they will be able to get the rates you describe above.

Just a thought,
- Peter

 

[AnnaRobinson]

Your right, but they would need to be doing very small turnovers for this to be true. Once a merchant starts doing more than 15k a year on cards then PP is no longer the cheapest option, especially when they don't clear funds into your account as quickly as banks can.

The rates above would only be viable when applying for a merchant account with a payment gateway.

 

[Nochexman]

Agreed.

I just got the impression they were doing very small turnovers.

Regards,
- Peter (www.nochex.com)

 

[shopintegrator]

So basically, are Sagepay merchant services any good? Besides being expensive on a per transaction basis (we're not expecting many transactions)

We have a number of merchants connecting their online shops checkout to SagePay and from those I have dealt with, they are happy with the service.

Having no monthly fees to pay with SagePay to handle a few transactions in exchange for the higher per transaction rates sounds like a good deal to me as many payment processors other than the likes of PayPal and Google Checkout want a monthly fee.

 

[Nochexman]

Hi shopintegrator.

The issue in this case is that sagepay don't provide merchant accounts so the charges quoted are only for payment processing. So it seems it is a little misleading not to include the merchant charges.

Cheers,
- Peter

 

[shopintegrator]

Thanks Peter for clarifying that for me. I did get the impression it was a great deal for having the virtual terminal for MOTO payments at that cost of ownership, until you factor in the merchant account charges to get the overall cost of the solution as you've pointed.

 

[Ian Spielman]

Thanks Peter for clarifying that for me. I did get the impression it was a great deal for having the virtual terminal for MOTO payments at that cost of ownership, until you factor in the merchant account charges to get the overall cost of the solution as you've pointed.

s

Its worth noting that the likes of Paypal charge a whopping 3.4% PLUS 20p PER transaction (even debit cards) if you take up to 1,500 per month. they do go down in percentage if your turnover increases but you have to maintain that every month or you go back down to previous level (higher rates).

if you want anymore info/help feel free to message me. ;-)