Factors To Consider When Choosing Payment Provider For Ecommerce Business

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If you want to set up an eCommerce business you need to consider several things. You must have a well-designed website so that the customers find it easy to shop. You must also think of eCommerce payment processing solutions to provide the best service to the customers.

You must hire a merchant services provider who can facilitate credit card processing for your business. They must be experienced in providing online merchant services. Before choosing a merchant services provider for your credit card processing and other payment options you must consider several factors.

Having a merchant account

You must first decide whether you have a merchant account of your own or share it with others. The payment facilitators provide the shared accounts for which the setup is faster and the barrier to entry is low. However, it is a bit risky to share merchant account. So, many business owners prefer having their merchant account. The merchant service provider will create a separate account for you that will allow online merchant services. The merchant account providers also operate as payment gateways, so you can streamline your billing.

Rates

The rate plans offered by various merchant services vary. So, you must first find out the rate plan before choosing the merchant service provider. Some offer flat-rate pricing. So, you pay the same rate for each transaction. Interchange-plus pricing is also a good plan. With this plan, the customers are charged less for low-cost transactions. Another pricing plan may also be available. You should choose a rate plan that is most suitable for your business.

Technology

The merchant service provider must accept EMV-ready devices. This ensures that there is no chargeback risk when the customers swipe the chip cards. You should find out about the fraud-detection technology used by the merchant services provider to ensure safe payment. Today the NFC technology is getting popular as it allows contactless payment from smartphones. You don’t need to print a receipt if you use this technology. The transaction records are stored in the cloud, so there is no need for any paperwork.

Billing

You must choose merchant services that don’t have an unethical billing practice. Some of these services have hidden costs that can come as a nasty surprise to the clients. The fees must be transparent. 

These factors will help you to choose the right payment provider for your e-commerce business. A good payment provider will help you to run your business without any complications. 

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