A European Merchant has to apply for a Merchant Account in the European Region of Visa and MasterCard, but when will a merchant be considered any nationality and is it the beneficial owner of a company or the company that is in questions here?

In fact it is the applicant which the *Acquiring Bank will look at, if the merchant is applying as a business then it doesn’t matter where the beneficial owner is located, however, there are certain requirements in the different countries that a company must comply to, such as to have a local registered secretary.

It is not in any way allowed for a European Company for instant incorporated in Germany, to become a Merchant Account in for instant the USA, this would be against the Visa and MasterCard cross boarder regulations; the Acquiring banks are also aware of this and will decline the application.

For individuals or sole proprietors the same applies no exception.

We would have posted some official links to Visa and MasterCard about this, but at the moment we searched we wasn’t able to find the relevant information, if we find it we will add it to this article.

Where do you get this information from?
Since as you can read from many of our blogs, we have been in this business for more than 8 years now, then we have a bunch of contracts, agreements and Visa / MasterCard regulations on hand, but are limited to several NDA’s which prevent us to post any parts or the entire document here. However, you can proof check the above and below very simple try to apply for a merchant account where you not belong to, you will be declined if the Payment Service Provider / ISO / MSP or Acquiring bank you look at are legit.

I found a company which state they can accept merchants worldwide with 1 bank, how comes?
There are 2 options here:

• 1) The Payment Service Provider will ask you to incorporate in the country where the bank is located, this requires additional costs but is of course a legit solution on this and very common.
• 2) They try to fool you into a solution which isn’t legit, this is sadly often the case, so many fly by night companies are popping up with cheap web sites (often just a 6 page site) and which just there to make the quick buck by scamming people, often they are not themselves aware of what they are doing it is simply a lack of knowledge, they don’t know better.

If you find a company which is like described in point 2, it might be true they will get you started, but be sure this solution will not last and the risk you will lose all your moneys is 90%, our advice, stay away from this, the last 10 years have shown it incident after incident, it won’t work.

Visa and MasterCard have divided the world in 6 regions and a merchant which has its business incorporated in a country which belongs to a certain region need to apply for a merchant account in the region it belongs too, it is now allowed to have a merchant account in another region than where the company is registered.

Source: http://www.mastercard.com/sitemap.html

We hope to have clarified this issue and that this post can be distrubuted to as many as possible for all of us to conduct an honest business.
On behalf of CCLOGIC.COM we whish you all the best.

These days it is essential for an Online Business which sells their services or products throughout the Internet to accept credit card payments.  

Many just fail to know what it exactly is they need to be aware of when they do their business planning and apply for a merchant account to accept credit cards on their web site.

Looking at the Payment Service Industry the possibilities is many, the number of payment service providers is almost impossible to see through so the services they offer. In the latest 2 years you also will find many Offshore Company Service agency which will try to setup a merchant account and payment gateway facility for you as a “complete package” but which simply fail due to a leg of knowledge and even them self understanding the Payment Service Provider business.

Below we will outline a few of the major and important conditions you need to consider and be prepared for when you apply for a Merchant Account and it doesn’t matter who you are going to use, the regulations are set forth by the Card Association and in front Visa / MasterCard.

You will need to apply for a Merchant Account in the jurisdiction of where your company is registered; this isn’t necessarily the same country but more often the Region in which the country of company registration belongs to.

Many fail to comply with the regulations already before they get started, for instant when they incorporate their company in some “grey zone” offshore jurisdictions like Panama, Belize, BVI or Seychelles, those countries are only hardly accepted by the major Banks in this Offshore jurisdictions and often you will pay high fees too, since they know your business now is bound to them.

To have your company registered in the European Union will take much of the hassle from your shoulders and you will find yourself with the right merchant account and payment gateway solution quickly if you prepared yourself with the next few things.

The first thing you will need to know is that your Web site need to be compliant with Visa and MasterCard (I name those brands because they are the most important once) make sure you have your Terms and Conditions and Return policy online and that it is easy for customers / card holders to find and read them. Make sure your Company name, address and a phone number is available, a postbox isn’t sufficient and will not be accepted. If you don’t provide 24/7/365 phone support, put it on your website and let people know when and how they can get in contact with you.

To attract more customers, it is always a good idea to have a Live Chat on your Web Site, this will let your customers feel comfortable and that they always can be in touch with you.

We hope above can help you the way up the road and will again outline the importance to choice the right Company to help you to find the right Merchant Account and Payment Gateway providers.

With more than 9 Years of experience in the Payment Service Provider Business and the maintain mend of a PCI certified Payment Gateway CCLOGIC.COM know the business and companies you need to succeed. Feel free to contact us or visit our web site.

Most merchant accounts have a cancellation fee, mainly these are fixed amounts. The costs of setting up and operating a merchant account for a business can be expensive; this fee helps recover some of the losses if a merchant cancels, particularly in the beginning. Providers will offer to reduce or discard this fee should you have unresolved problems or issues; check with them as to their specific policy.

Take notice of how the company treats you. If they are quick and informative in answering your questions then this will probably be how they go about their business; if they don’t reply quickly or answer the questions then try another service, there are plenty out there.

Before you decide on the merchant account suited to your business, understanding a little about merchant accounts should be high on your priority list as monthly fees can differ immensely. The more you know and understand your merchant account, the better you will control your business. There are many factors to consider when looking at merchant accounts, amongst them the ease with which the account is set up, how simple it is to operate and the reputation and professional attitude of the merchant account provider. Never underestimate the importance of an anti-fraud system as chargeback penalties from fraudulent transactions can be high and will cut into your business profits if not controlled. Check out the internet for information on merchant accounts and anti-fraud systems.

Merchant Account and Payment Gateway to Accept Credit Card Payments, contact us today.

Many merchants believe that banks and credit card organisations don’t devote enough energy on searching for thieves in order to reduce the number of fraudulent transactions, as costs associated with an investigation can work out greater than abandoning the search. In particular, small fraud transactions are unlikely to be scrutinized too closely as the cost of research and prosecution will generally exceed the loss caused by the fraud. Thieves that perpetrate credit card crime are either never found or go without punishment and so are free to carry on persecuting customers and merchants. Generally, there is little merchants can do once a fraud has occurred and they have to accept they will lose some of their profit to the effects of fraud at present if they want to have their business online.

Associations of merchants have tried to bring into practice various anti-fraud measures, such as single use card numbers, however they are not popular with customers as it involves a new number each time, so is quite impossible for customers to memorise card numbers. People require credit cards with no aggravation and because of laws that limit customer liability in the event of fraud there is little motivation to engage in extra security. Merchants can execute these extra security measures but take the risk of losing business if the customer chooses not to use them.

If you are an online merchant and think that a customer might be using a stolen credit card, get in touch with the appropriate card provider (Visa, Amex, MC or Discover) to find the issuing bank’s phone number, then phone the bank to report that you believe their customer’s credit card information has been stolen.

Online security cannot be fully guaranteed, but then what can? If you employ a system that provides anti-fraud tools they can only help you in cutting down the number of fraudulent transactions in your online business. As your business experience grows, you will start to recognise suspicious transactions and can check them out before proceeding. As an online business you will have little time to investigate every transaction you are doubtful of, so have a look online where there are now lots of companies to be found that offer ant-fraud tools to minimize credit card fraud risks to merchants.

Need to Accept Credit Card Payments and a Payment Gateway? visit cclogic.com today

The decision to accept credit card payments and so increase revenue to your online business brings with it the difficulty in choosing a payment gateway to process sales.

In very simple terms, the gateway processes online payments by connecting your websites order form with the merchant account and returning the answer to the merchant and customer, either approved or declined. Although the gateway itself actually only connects the website to the merchant account, larger payment gateway providers offer additional services, such as merchant accounts and shopping carts.

All payment gateways have standard fees to be aware of. The first of these are setup fees, charged when the gateway is initially established and often non-returnable. There will also be monthly fees to pay for the service and charges for every transaction processed, regardless of whether the transaction has been accepted or denied. Nowadays, when searching the internet we want everything to be processed quickly and get annoyed if this isn’t the case.

If transactions are slow when purchasing or during check out, the customer is likely to leave your website and find another that can process the sale much quicker. You need a reliable gateway provider who can promise a quick efficient service. Gateways offer a range of features that will increase security and revenue. Listed below are several of the more common features to expect.

Contact CCLOGIC LLC to Accept Credit Card Payments today!

The majority of fraud committed online is through using stolen credit card information; various methods are employed to obtain this, such as copying information from retailers, stealing it from company databases and even buying credit card information from company employees. We are constantly being told by the credit card industry that online purchases are safe, but, as with any transaction there are always risks involved.

Fraudulent transactions cause losses for credit card organisations as only a small percentage is actually recoverable, either by locating the thieves or recouping a portion from merchants. In the Visa and MasterCard rules, a merchant’s processing bank is fully accountable for every transaction processed.

If the merchant conducts business illegally or recklessly and causes lots of chargebacks, the provider can be left with huge losses. To prevent this, the provider passes some of the costs on to the merchant if they haven’t carried out sufficient security checks and completed all the card details correctly, these are the chargebacks. The merchant then has to cover the total cost of the transaction, transaction fees and is forced to pay chargeback penalty.

Because of these chargebacks, online merchants are recognising the need to take some responsibility in installing precautions to protect their online stores from credit card fraud. Anti-fraud systems are being acquired by merchants using highly secure anti-fraud tools and merchants are commonly signing up for services offered by the main credit card organisations, Visa and MasterCard SecureCode aim to dispel some of the apprehension customers feel when buying products online. These services involve customers registering a password with their card issuer and every time they use the card online they are asked for their personal password.

If you are looking for accepting credit card payments then please visit cclogic.com

Some customers will actually prefer to call rather than send an email and wait for a reply, especially if it is a quick query or regarding a refund. Once the query has been dealt with and the customer now wants to make a purchase it would be inconvenient for them to return to the website, they might decide not to bother and so you lose the sale. A virtual terminal means the merchant can take a sale over the phone by processing the customer’s credit card payment manually. Virtual terminals are also used to issue returns and cancel unwanted transactions.

Credit cards have become the most common and convenient way to pay online but there are still people who don’t own one; you don’t want to turn these people away and lose a sale. Whereas written cheques used to be the norm, there are now electronic checks (eChecks) available. No need to write out a cheque, post it, wait for it to arrive and clear, customers can merely enter their bank details by electronic means.

The main headache for online merchants is security. Along with your business information, your customers’ personal information moves through your gateway every day. This information is invaluable to hackers; when choosing a gateway ensure you select one that uses the highest security techniques to keep information safe. These should include security schemes operated by the main credit card providers, such as the Visa Cardholder Information Security Program, MasterCard Site Data Protection, and Discover Information Security and Compliance. If your gateway provider doesn’t comply with these you could end up paying higher fees or your account closed down. Check out the Internet for a quality payment gateway provider that offers a high level of anti-fraud tools to protect you and your customers.

If you need a Payment Gateway or Merchant Account you can take a look at CCLOGIC LLC – click the link in this line.

The decision to accept credit card payments and so increase revenue to your online business brings with it the difficulty in choosing a payment gateway to process sales.

In very simple terms, the gateway processes online payments by connecting your websites order form with the merchant account and returning the answer to the merchant and customer, either approved or declined. Although the gateway itself actually only connects the website to the merchant account, larger payment gateway providers offer additional services, such as merchant accounts and shopping carts.

Gateways offer a range of features that will increase security and revenue. Listed below are several of the more common features to expect.

The most important feature are fraud prevention tools. Merchants continually neglect this part of their business; fraudulent transactions result in loss of revenue, something no merchant wants or needs. Merchants will be aware of chargebacks and the penalties these can incur; credit card fraud is prevalent, increasing daily as hackers come up with advanced methods to obtain card information. Utilising anti-fraud tools will mean less time inspecting suspect transactions and more time generating sales. Basic anti-fraud tools include an Address Verification System (AVS) that checks the customers’ delivery address against the address the card issuing bank has on file, and CVV2, the 3 digit security number printed on the back of credit cards VISA, MasterCard and Discover Card.

Another addition to expect is a recurring billing system, particularly suitable for subscription and membership based businesses. Many merchants have customers that order products on a regular basis, if billing has to be done each month to the same customer using the same details it can waste valuable time and energy. With recurring billing you just supply the gateway with the customers billing information and how regularly to invoice them (this only needs doing once) and the gateway conducts all future transactions.

Comment this here or at our Merchant Service Forum

Online sales are big business and these days every website has to offer their customers the chance to pay for goods and services using credit cards, if it wants to meet customer needs. Accepting credit cards is known to increase profits as credit card users are more likely to purchase on impulse and spend more. The advantages include payments arriving much faster, no waiting around period while the cheque is received and has to clear before the goods can be shipped and no bouncing credit cards. If this payment method isn’t available potential customers will take their money elsewhere and business will decline.

To enable your website to accept credit cards there are a number of systems to be put into place. These are outlined below.

Shopping Cart System

The first thing you need to set into place when selling online is an electronic shopping cart system. First, there is the product catalogue where products available to purchase from your store can be viewed. Once the customer has choiceed the product they want it’s added to the cart, customers are able to choice as many items as they like and the system will total it all at checkout. Once the shipping address is added, the system also calculates postage and any taxes to be paid. The final part of the process is when the customer enters their credit card details and this is where the gateway system comes into operation to conclude the sale.

Shopping cart systems can be simple with no frills, offered for free by organisations involved in ecommerce solutions in order to get you to buy other services from them, or they can be costly to purchase and contain many features. To choice the shopping cart system that’s best for your business, you need to take into consideration the type of product for sale, the purchase choices you want to be able to offer customers, the inventory control application and range of automation required.

Gateway Service

The gateway service is an automatic process of the payment transaction between the customer and the merchant. Once the customer enters their credit card details, these are electronically sent to the gateway service which then forwards the information to the credit card processor for authorisation.

Credit Card Processor

A credit card processor is a data center that electronically processes the credit card transaction. The processor will deal with the transaction, authenticate and accept or decline the credit card for the merchant using secure internet connections. After checking the validity of the transaction, if everything is correct, they will transfer the funds into the merchant account.

Merchant Account

Without a merchant account your website can’t accept credit card payments. An online merchant account is a bank or other financial institution where money generated from your online sales is placed by the processor. Some banks associated with credit card services, such as Visa and MasterCard, issue merchant accounts; however as online businesses are regarded as risky they may refuse you an account. This is not a great problem as due to the rapid growth of online sales there is a choice of merchant organisations that will set up an account for you. 

Shopping has changed dramatically with the expansion of retail stores online, offering shoppers anything from a fully fitted kitchen to a kitchen tap. Add to this the increasing number of websites that now accept credit cards and shopping online has never been easier or more convenient.

There are many organisations out there that will facilitate you in the setting up of your online credit card payment system and other requirements. These organisations have varying fees, so ask around and take a good look at their website before making any final decision. If you spend your money wisely in this area and choice a reputable company with a good reputation for its systems you will see an increase in sales from credit card customers. Lastly, ensure the service you decide upon has an up to date anti-fraud system that will protect your business from fraudulent transactions.  

Online sales are big business and these days every website has to offer their customers the chance to pay for goods and services using credit cards, if it wants to meet customer needs. Accepting credit cards is known to increase profits as credit card users are more likely to purchase on impulse and spend more. The advantages include payments arriving much faster, no waiting around period while the cheque is received and has to clear before the goods can be shipped and no bouncing credit cards. If this payment method isn’t available potential customers will take their money elsewhere and business will decline.

To enable your website to accept credit cards there are a number of systems to be put into place. These are outlined below.

Shopping Cart System
The first thing you need to set into place when selling online is an electronic shopping cart system. First, there is the product catalogue where products available to purchase from your store can be viewed. Once the customer has choice the product they want it’s added to the cart, customers are able to choice as many items as they like and the system will total it all at checkout. Once the shipping address is added, the system also calculates postage and any taxes to be paid. The final part of the process is when the customer enters their credit card details and this is where the gateway system comes into operation to conclude the sale.
Shopping cart systems can be simple with no frills, offered for free by organisations involved in ecommerce solutions in order to get you to buy other services from them, or they can be costly to purchase and contain many features. To choice the shopping cart system that’s best for your business, you need to take into consideration the type of product for sale, the purchase choices you want to be able to offer customers, the inventory control application and range of automation required.

Gateway Service
The gateway service is an automatic process of the payment transaction between the customer and the merchant. Once the customer enters their credit card details, these are electronically sent to the gateway service which then forwards the information to the credit card processor for authorisation.

Credit Card Processor
A credit card processor is a data center that electronically processes the credit card transaction. The processor will deal with the transaction, authenticate and accept or decline the credit card for the merchant using secure internet connections. After checking the validity of the transaction, if everything is correct, they will transfer the funds into the merchant account.

Merchant Account
Without a merchant account your website can’t accept credit card payments. An online merchant account is a bank or other financial institution where money generated from your online sales is placed by the processor. Some banks associated with credit card services, such as Visa and MasterCard, issue merchant accounts; however as online businesses are regarded as risky they may refuse you an account. This is not a great problem as due to the rapid growth of online sales there is a choice of merchant organisations that will set up an account for you. 

Shopping has changed dramatically with the expansion of retail stores online, offering shoppers anything from a fully fitted kitchen to a kitchen tap. Add to this the increasing number of websites that now accept credit cards and shopping online has never been easier or more convenient.

There are many organisations out there that will facilitate you in the setting up of your online credit card payment system and other requirements. These organisations have varying fees, so ask around and take a good look at their website before making any final decision. If you spend your money wisely in this area and choice a reputable company with a good reputation for its systems you will see an increase in sales from credit card customers. Lastly, ensure the service you decide upon has an up to date anti-fraud system that will protect your business from fraudulent transactions.