Quote:
Originally Posted by KRosh
You are incorrect!!!
A VISA approved Internet Payment Service Provider or IPSP has to follow these rules.
If you are a US-Based business and want to process transactions through the VISA network, VISA and the acquiring banks require that you do the following:
1. Register your business as a VISA-sponsored merchant
2. Pay an initial registration fee of $750, and an ongoing annual fee of $375 to maintain your VISA-sponsored merchant status.
These fees apply to high risk businesses only!!!
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On one hand it's a matter of semantics...
In all fairness, I'm open to the fact that Visa US and Visa Europe operate differently. However, from a logical standpoint I have a problem with point #2 above simply because that would be like your plumber telling your electrician what he must charge you. Let me explain, I've always learned that Visa (and MasterCard) do NOT do business with merchants; they only do business with BANKS. As such, Visa being a smart company would NEVER tell acquirers what they MUST charge their merchants. They could however, charge a fee to the acquiring bank and then the acquiring bank could pass that fee on to the merchant (mrechant being either CCBill or the Website owner.)
Although what KRosh said may be effectively correct, I have never been able to find any Visa documentation that confirms or denies his standpoint nor mine........
until TODAY!!!
Visa USA:
Are there merchant fees associated with accepting Visa?
Visa Europe:
Fees
Visa doesn?t charge any fees to cardholders or merchants ? instead, our member banks do this. Our income comes from fees paid by our 4,500 member banks.
So once again semantics...it is NOT Visa that requires this but the acquiring bank...as I stated above!