Electronic Payment
Application Criteria
If you want to use Electronic payments you will need to undergo an application
process.
Think about your average transaction value, transaction frequency, perceived
security risk, exposure level, forecast turnover, online turnover, trading
history and time from payment to order fulfilment.
Electronic payments are a financial process and your application will
be checked thoroughly by the solution provider. The banks use the most
rigid application procedures but other service providers will ask questions
about your business to determine the price and products that suit you.
Please register for free to use the e-payments comparison tool. This will
give you a good starting point and allow you to shortlist potential solution
providers for a detailed discussion. We would also recommend you look
at the product information datasheets which are accessible from the tool
as all the contact or online application forms are linked from these pages.
Prepared data means a faster application process
A list of criteria to consider:
- Average transaction value: this is the normal size of transactions
that go through your electronic payment system. There is a big difference
between a £0.50 sale and a £2,500.00 sale, especially if your solution
provider charges a commission based on a percentage of the transaction!
- Transaction frequency: This determines what solution is best for the
volume of transactions carried out; 100 x £10.00 transactions per month
are very different from 10,000 x £30.00 transactions per month.
- Perceived security risk: Most providers (especially banks) will place
your business into a security classification when assessing your application.
Easy to resell items like CDs and footballs then might fall into a lower
risk category than a business selling, say, holidays where the customer
has to turn up to take the holiday.
- Exposure level: This reflects the perceived risk of refunds and fraud
in your business; see the next few pages.
- Forecast turnover figures: This is an indication of your financial
viability.
- Online turnover: Simply how much do you plan to make online!
- Trading history: This will affect the trust the provider places in
your business; if you are a newly started business you might find it
harder to get some products, but the diagnostic tool will help you identify
the alternatives.
- Time from payment to order fulfilment: This is the period of time
a customer has to become dissatisfied.
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