This is a simple tool that puts the real cost per transaction for a standard online payments system.
Use this to calculate based on estimated volumes of sales how much in fees/costs you pay.
Standard Bank Charges for Internet Merchant Accounts
Below are some standard bank charges - provided to me by a Payment Gateway I use. When I asked the question can you get my clients a better deal than if they contact the bank direct they said yes.
Establishment Fee: $110 (once off)
Min Service Fee: $22 each month or the CC rate whichever is greater
Participation Fee: $22.00 Per month
Credit Card Rate: 1.233% MSF
Cancellation Fee: $550 within first 3 years and $104.50 After 3 years
Note: You can weave these figures into the Payment Gateway Comparison Tool which is primarily about trying to calculate what % of your sale goes in fees based on estimated sales.
Also there are cheaper options from some banks however if that option lands your client away from your site - statistically you will have a reduced rate of sales. Any solution (shopping cart etc) that does not reduce distractions or consistency will cost you sales.
For my clients I like to create custom shopping carts that are tweaked to improve the rate of sales per visitor. I also combine search engine optimization techniques to improve the visitor rate and quality of a site.
Phil Hoile - GoldCoastLogin.com.au programmer
Griffith University Lecturer in e Commerce and industry courses
- e Business & advanced e Business
Email Me Disclaimer Information is presented here that may go out of date. This is intended as a guide, consult the web sites of Solution providers for up to the minute information.
