confused about processing credit cards?

I've been looking into building an online store for a friend. I'm going with the x-cart gold shopping cart, but instead of just paypal, he wants to be able to process credit cards. Ok, but now it's time to look at the credit card processors. There is a list of processors that are authorized here http://www.x-cart.com/xcart_payment_gateways.html

Now, do I go through and pick one and then implement it into x-cart? Is that it? What should I be looking for? This is a small business website, so saving money on each order is a must. The first processor I looked at wanted 5% per transaction PLUS $.45 For small sales, thats just unacceptable. I never ran an online store, so ANY info would be awesome.

 

You can do cc processor search in your country. and check if that is compatible with x-cart. There are several other shopping cart available, make your choice depending on business niche and two options "hosted cart" or "licensed cart"

 

You need to get a merchant account and a payment gateway. If you're US based, you can find processing for considerably cheaper than 5%. This is most likely an international or 3rd party processor quoting a rate like this.

 

Now you wanteed something besides Paypal, but consider their fees for credit card acceptance, where your user do not need a Paypal account, they are just processed as usual but Paypal handles it for you.
Paypal fees for credit cards are 3.9% and $0.30 per transaction. If you mainly have small transactions, $12 or less, look into Paypal Micropayments. Where you pay a higher percentage fee but lower per transaction fee. You save money per transaction up to a purchase amount of $12 or less.

 

As a first option you can try any local bank payment processor if they can provide merchant services. that would be cheaper. Otherwise you can use PayPal. yes PayPal, you can accept credit card payments as PayPal.

 

Well the thing is, I don't want to go through paypal if I don't have to. I'll look into finding a local bank that does merchant services or I'll just have him look since I'm doing the rest of the work.

 

If you're in the US check out Authorize.Net.

 

THANK YOU! This is exactly what he needs.

 

You can use PayPal or depending on the sales volume, location, and customer demands, you may want to use a regular merchant account that understands ecommerce.

So what country are you in? And what type of product is it?

Merchant account providers look at such things as...
- the country you live in
- the country the business incorporated in
- high risk products like adult, gambling, diet, travel,
- dropship or your own supply or digital download
- greater than $5,000 month sales
- owner's credit score, criminal record
- business/personal bank accounts

 

our store using autorize.net and it's charge 3% + .29c per transaction, which is standard.
When i spoke to them to lower that charge, they said, that it's a standard and only high number of sales in millions may change that.


Mattress Store

 

You do not need to sign up with Authorize.net to use their gateway. There are tons of providers that support authnet and are lower than 3% + .29c. Shoot me a PM if you want more information.