Full Version: Paypal Virtual Terminal
From: mikew [#2]
8 Feb 2007
To: Stunt Engraver (DGL) [#1] 8 Feb 2007
I used PayPal's Virtual terminal for about a year. I'll list the Pro's and Con's I found using it.
Pro's:
1. Easy signup, if you already have a PayPal account it's even easier.
2. No application fee's or cancellation fee's.
3. The terminal form is fairly simple to us with minimal configuration.
Con's:
1. The terminal is web based and PayPal's site loads very slow most of the time.
2. You cannot force a transaction, meaning most fields are required including the AVS and CVV2.
3. PayPal's rules for verification are very strict and sometimes will not allow a card to pass even when the card is good.
4. By default PayPal sends a conformation E-mail to the customer letting them know a charge has been made through PayPal. Doesn't sound like much of a problem but there are a % of people who hate PayPal (www.paypalsucks.com) and have called to let me know they did not want to have their card charged by PayPal.
5. If the customer disputes the charge PayPal will instantly revoke the disputed amount from your account to be "held" until it is resolved (I felt very power less). The resolution process consists of E-mails which can drag out for a long period of time.
I recently switched to Costco's merchant services (Nova) because of the above mentioned issues. I was also using PayPal's "Website Payment's" which was the main reason for the switch.
From: Stunt Engraver (DGL) [#3]
8 Feb 2007
To: mikew [#2] Unread
Thank you Mike.
Some of the cons sound more serious than others.
Especially the part where your funds are seized until a dispute is resolved. :S
EDITED: 8 Feb 2007 by DGL
From: Harvey only (HARVEY-ONLY) [#4]
8 Feb 2007
To: Stunt Engraver (DGL) [#3] 8 Feb 2007
And who do you suppose earns interest on those funds?
From: Stunt Engraver (DGL) [#5]
8 Feb 2007
To: Harvey only (HARVEY-ONLY) [#4] 8 Feb 2007
Probably the same company who earns interest on the funds during the 3-4 day lapse in transferring money from Paypal to a bank account. :S
From: LaZerDude (C_BURKE) [#6]
8 Feb 2007
To: Stunt Engraver (DGL) [#1] 8 Feb 2007
In my other life as an upholsterer ( still there now that I think of it) I too was concerned about accepting credit cards, ( currently I am not) because of fees etc.
1. The fees are TAX DEDUCTIBLE
2. You get your money FASTER
3. Something I did not expect was an INCREASE in business that MORE than offset any fees. It is business I would not have gotten had I not accepted credit cards.
Just something for your friend to consider.
From: Stunt Engraver (DGL) [#7]
8 Feb 2007
To: LaZerDude (C_BURKE) [#6] 8 Feb 2007
I've delivered that sermon many a time. Now, that he's getting whacked by severely late or seemingly unattainable receivables, the message has goten through.
From: Dave Jones (DAVERJ) [#8]
8 Feb 2007
To: Stunt Engraver (DGL) [#7] 8 Feb 2007
I fought against taking credit cards for years, and gave in several years ago. Now I don't mind the fee.
For the amount of time I wasted trying to get paid by one recent big ticket deadbeat customer, those fees I saved maybe paid me $2/hr for all my energy trying to collect from them. It would have cost more than the fees if I had to take it to a collection agency.
From: Stunt Engraver (DGL) [#9]
8 Feb 2007
To: Dave Jones (DAVERJ) [#8] 8 Feb 2007
To add fuel to the argument for acceptance of CC's, the aggravation of having to chase people for money spills over to the rest of the day and doesn't make for a very pleasant work day.
Fortunately, most of my work is business-to-business, with a relatively small group of regular customers. Not much trouble getting paid.
On the occasions where someone asks if I accept credit cards, I have them sent an email payment to my Paypal account.
From: Harvey only (HARVEY-ONLY) [#10]
8 Feb 2007
To: Stunt Engraver (DGL) [#9] 8 Feb 2007
I started accepting credit cards years ago when I saw I was losing some business that amounted to more than the fees. I have never looked back.
During Christmas we used to hit 50% of sales in credit cards, now during normal months the charge/debit cards amount to 50%, Christmas is much higher. Dealing with government accounts is so much easier. It is also a safer feeling to not have to carry that much cash around from the store, and we have to make less trips to the bank.
From: Stunt Engraver (DGL) [#11]
8 Feb 2007
To: Harvey only (HARVEY-ONLY) [#10] 9 Feb 2007
Fewer trips to the bank is a bonus another of my friends attributes to his preference to accept credit cards.
Originally, as with others we've heard from, he was against the concept.