More About Paypal
Now that Paypal has
become the largest online company for 3rd party transactions you
almost have to offer paypal as a payment option on your website.
Even huge companies like GoDaddy and Yahoo offer payment using
We would like to say
pageBuzz is the only shopping cart with paypal built into the
payment options, but thats not true. Almost every serious online
system is using paypal.
So, why should you
use or not use paypal on your own website.
1.) There are no
monthly fees. So if you don't sell anything, you don't have any
base cost. All merchant accounts require monthly fees sometimes
as much as $100/month. If you are a large retailer, it's not a
big deal. But for the small business $1200.00/year is too much to
2.) No sales limiters.
Paypal does not limit purchases and gives you flexibility for
growth and sales. Most merchant accounts have monthly limits and
average sale limits. If you exceed your monthly limit, your
account could shut down. If you have a large sale that is out our
your average sale range, your account could shut down.
If you have a monthly
limit of $5,000.00 and someone wants to buy $3,000.00, you would
be getting calls from your merchant services provider asking
questions and possibly declining the sale based on your own
credit. Paypal does not have the same policy and you can sell
3.) You do not need
to qualify or have a high credit rating to use paypal. Most
merchant services will not even issue you an account until you
are checked out and qualify. They often require you to put up
your personal credit even if the account is for a business.
Anyone that has applied for a merchant account knows it is as
difficult as borrowing money to buy a house. Paypal is simple and
easy and fast to set up.
4.) Paypal not only
collects credit cards, they also collect checks and transfers
within their own accounts. This gives customers alternate options
for payment if they do not have credit cards.
1.) You do not deal
directly with Visa/Master Card. If someone refuses to pay, you
have little control over the outcome.
2.) Paypal is not
always as concerned about your business as a bank would be. You
can always reach your merchant provider by toll free number,
paypal is difficult to reach and often unproductive.
3.) Paypal is Sooo
Big that they are a constant target of fraud, phishing and spam
scams. Even if you do not use paypal you likely get mails saying
your account has been suspended. Many people login to scammer
sites and unknowingly provide the crooks with their account
information. This makes fraud high and the system vulnerable to
charge backs and bad transactions.
There are good and
bad point to using any payment system but you should not be
afraid to use Paypal or any payment system for that matter.
Paypal is huge and stable. It's true you could get caught up in a
scam, but that is the case in any business even with cash. Paypal
has too many good points to avoid. But just as in every aspect of
business, you need to use caution and good judgment.