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PAYING THE DUES OF YOUR OFFSHORE
MERCHANT ACCOUNT
Getting an “Offshore Merchant Account”
involves a lot of paperwork and certain
set up fees. However, some merchant
account providers offer to set up a
merchant account with them, for free.
However, for an “Offshore Merchant
Account”, there will mostly be some kind
of a fee involved.
Merchants hesitate to open an Offshore
Merchant Account because they think that
there are several hidden costs embedded
in the agreement documents. Then, what
you would do is to sign up for a number
of services because it was reasonable to
you. However, once you get the bill, you
will see a big number as a result of the
small number of additional fees for your
account. This will cause a lot of
frustration to you.
Therefore, this article will give you a
good idea as to what kinds of fees are
charged by the providers to open a
merchant account. They are:
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Statement Fee
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Address Verification Fee
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Discount Rate
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Fee for Shopping Cart Software
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Check by Phone or fax, fee
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Software fees for Retail Swipe
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Transaction Fee
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Gateway Setup
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Over limit Fee
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Maintenance Fee, paid every month
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Annual Fee
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Programming Fee
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Setup Fee
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Application Fee
The application fee is waived off by
most of the providers because of huge
competition in the field. 0 fees for
application is one of the strategies for
marketing and attract more clients. But
for the sake of information, the
application fees charged are between $75
and $125.
The companies are also not charging any
Setup fees these days. This is again due
to competition. The industry rate varies
between $50 and $150.
The programming fees should be paid by
you when you install a terminal or
software. This is also a thing of the
past and was in the range of $50 - $95.
Annual fee is like a membership fee and
reached a maximum of one hundred twenty
five dollars. This fee is also waived
off by many providers. “Monthly
maintenance fee” is an alternative for
the annual fee and can be chosen by the
customer whether he wants to pay once in
a year or once in a month. This is about
$10.
Over limit fees is like a penalty that
is charged when you exceed the limit
offered by your account. This is also a
thing of the past now.
The “Payment Gateway Setup Fee” is
charged for the setting up of the
payment gateway.
The credit card processor charges the
merchant for every transaction called as
Transaction fees which varies from 20
cents to 30 cents.
The “Retail Swipe Software” is a
software solution for processing of
credit cards. The fee charged for this
ranges from $175 to $395.
“Check by Phone or Fax PC Software” fee
is charged for payments that are made by
sending a fax or the phone using the
check. The fee charged is $149 a month.
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