FEW TERMS AND CONTRACTS USED IN
FOREX ECOMMERCE
Ecommerce is selling and buying goods on
the internet.
High Risk Processors
Brokers or high risk processors are
financial companies or institutions
which provide processing services for
high risk businesses. They charge higher
rates and higher transaction fees
because they face more risk. Some
processors offer added features like
secure lines or forms for ordering, web
site templates and shopping cart
applications.
Ecommerce
This is a new term that is used for
commerce which is conducted completely
over the net.
Merchant Account
The merchant account is a special kind
of account that a business has to open
with any merchant bank to accept
payments through credit cards from the
customers. The financial institutions or
banks have strict regulations to issue
merchant accounts. Many home based and
small businesses report about their
difficulties to acquire a merchant
account. Once the merchant status is
received you have to purchase or rent
special software and hardware to process
credit card transactions. The most
important hardware required for retail
stores in the credit card terminal where
the credit card can be swiped.
There are different types of merchant
account’s of which the Internet merchant
account is the most popular. It allows
you too accept credit cards through the
internet. The complete transaction is
processed online and in real time.
Within 10 seconds the credit card will
be checked to see it is reported as
stolen or expired. It shipping address
and the customers address is checked to
see if they are the same. If there is no
problem, the transaction is approved and
the sale transpires. This account is a
stricter relationship between the bank
and its accounts holder. Transactions
done on the web don’t require signatures
which exposes it to a high risk of
fraud.
Merchant brokers help companies to
obtain merchant accounts. You will have
to pay them a setup fee. They also sell
or lease hardware and software as
needed. You also have to pay discount
rate that is a percentage of every
transaction and many other fees for
different kinds of services. If you
cannot obtain a credit card account from
a bank then merchant brokers is the best
alternative for you.
Micro payments or Micro transactions
Micro payments are transactions that
involve small amounts ranging from just
a few cents to a few dollars. These
transactions occur when a customer wants
to download a game or graphic or access
some information.
Phone cash
This option is for customers who don’t
prefer to pay by credit card. The type
of payment allows customers to transfer
their bill from one account to another.
Telephone Billing
This is a new and innovative approach
that allows customers to make purchases
and charge it to their phone bill. This
method is used mostly for soft items,
time measured services and for
charitable donations.
With so many options available to make
payments the retail industry is all set
to boom. The major winners are the
customers provided they use these
options carefully. Contact
one of our helpful account
representatives to assist you in the
setup of
a
high risk merchant account or
offshore merchant account for a
high risk merchant. |