Everyone knows about eBay, and its popularity. While a big name now, eBay struggled in its early days. Auction websites, in general, are heavily scrutinized by the public and the processing industries. While many of these websites are legitimate, many are also not, so there is understandable fear when it comes to the industry. However, those legitimate penny auction websites need to make sure that they are doing service to the overall industry by making the right choices. By “right choices”, I mean by making the right business choices, from staff to merchant account.
Staffing is simple: Vet and hire the right people. A merchant account is more difficult. With a merchant account, you need to look for more than just a way to process check and plastic card payments. You need a processor that is experienced with penny auction merchant accounts. Not all are, and even those who claim that they are really just want the added revenue that your business brings. Legitimate penny auction websites can garner a lot of web traffic and revenue, and it is important that you keep as much revenue as you can. If you choose the wrong penny auction merchant account processor, you are liable to pay high processing fees. High processing fees can harm every business, even an established business.
You also need to make sure that your penny auction merchant account processor is equipped to handle fraudulent charges and its chargeback fees. Fraudulent charges are a frequent occurrence with penny auction websites, but often a merchant account processor will either raise processing fees or drop the company. This can occur with “high risk” processors, as well as mainstream processors. You need to make sure that your high-risk processor is indeed a “high risk” processor. While this can be hard, there are ways that you can make sure. You need to make sure that whomever you choose is known for their work in the industry, and is endorsed by the industry and card companies. You need the services of EMB.
EMB is one of the few that is not only experienced with online penny auction websites, but also with chargebacks, which are bound to happen.