One of our clients has started a "Something Of The Month" club
business using negative option marketing and they are now looking for
a credit card and electronic check payment provider or bank that is
able to absorb the naturally higher chargeback ratios this business
system entails. We told them that they might have to go to an
international provider. At this point we are looking for leads to
build a proper business relationship with for this kind of payment and
business model. Someone who understands the unique requirements of
this industry. We don't need an analysis, but rather concrete leads of
companies that accept these types of merchants.

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Request for Question Clarification by pafalafa-ga on 09 Nov 2005 11:25 PST

I don't quite get it.

Are you saying that a regular merchant account/credit card provider
won't work with a negative option marketing-type program?

Why not?


pafalafa-ga

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Clarification of Question by netbankers-ga on 17 Nov 2005 02:00 PST

Yes, there is a good chance that "normal" providers won't accept them
as the chargeback ratios with negative option marketing are usually
higher than the average.

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Request for Question Clarification by pafalafa-ga on 17 Nov 2005 04:25 PST

netbankers-ga,

Thanks for getting back to me.

Is this the sort of service that you and your client are looking for:


http://www.paybyweb.com/mainsite/signature_app_no_accept.htm


If that's on target, let me know, and I'll see if I can find a few
other similar options.

And if it's off target, please let me have a bit more detail about
what you're after.

Thanks,

pafalafa-ga

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Request for Question Clarification by pafalafa-ga on 24 Nov 2005 16:39 PST

Wow, I see what you mean!

I've been looking, but I did not see other providers beyond the one I
linked to earlier:


http://www.paybyweb.com/mainsite/signature_app_no_accept.htm


Please take some time to check these folks out.  If they work out for you, great.

But if you find you need additional information or other options, then
please post a note here to let me know.  I'll wait about a week to
hear back from you before posting a formal answer.

Thanks.

pafalafa-ga

netbankers-ga,

Thanks for you patience on this as I continued to research your question.


As I mentioned earlier, there is only one service I could find that
specifically offers a plan for negative option marketing or other
so-called 'high risk' businesses:


http://www.paybyweb.com/mainsite/signature_app_no_accept.htm



Another strong possibility is CardService International:


https://www.csimerchantaccounts.com/apply_online/onlineapp.cfm


which was recommended to me by an online merchant who knows the
territory pretty well.  CSI's site doesn't specifically mention
negative option marketing, but it may be worth while to contact them
just the same.


I trust these links fully answer your question.  However, please don't
hesitate to let me know if there's anything else I can do for you.

All the best in your endeavors.


pafalafa-ga



search strategy -- Google searches on:


"Negative Option" "merchant account"

"Negative Option" "electronic check" OR "electronic checks"

Try these guys.  Merchants can accept visa/ mc with No reserve
requirements, no chargebacks on credit card payments.
www.ezybondsglobal.com/?e=13052