What is the benefit of this approach to using a payment gateway such as Authorize.net? You’d still need a merchant account with a bank to process the cards. Why go to the extra effort of doing the work yourself?

I prefer to process thru Google Checkout, especially since there are no fees this year, but a few customers don’t like to use it, or it doesn’t work for them. This small number doesn’t justify paying the $10-$20/month for a gateway, and I already have a terminal and merchant account for in-store transactions. All you have to do is key in the CC #, Expiration, and CVV.

-Jared

You need to get a special license from the credit card companies to accept credit cards like this. A license which is impossible to get because of security issues. Thats why shopify doesn’t even support this.

Here is an idea though: Add a custom payment mechanism called “Pay by creditcard over phone” and then enter your phone number as payment instructions.

I was going to set up Credit Card by Phone.

I just contacted my Merchant Bank which is First American. They confirmed that there is no speical license required to accept card thru a website. They highly recommend that the website that the card is being entered into is secure (SSL) and they require that if the card number is stored as a whole (not split or truncated) that it be in a secure (SSL) database. If the card number is split and one half (usually the middle digits) are emailed, the other half can be stored behind simple password protection.

-Jared

Jared, I was wondering what resolution you found for this? Did you set it up as per your last post?

Jeff

Jeff,

It seems that Jaded Pixel is not interested in implementing this. I put in the Credit Card by phone set up, but it is less than optimal. I did end up setting up Authorize.net. They wanted to charge me ridiculous fees and said I needed a separate merchant account for online transactions. I think they are on heavy commissions.
$149 setup
$20/month for the gateway
$10/month statement fee
$25/month minimum
$0.25 + $0.10 (gateway) + 2.39% per transaction

My processing bank gave me a much better deal, but nothing can beat Google Checkout. Only downside is that Shopify puts Gateways before Google Checkout so people use Authorize.net instead of Google. I asked about reordering them, no response yet. Feel free to contact me if you have any questions: jared@levyross.com

-Jared

find a authorize.net reseller. I know the company we use resells authorize.net gateways which lets you do that. these are the rates i got:
$0 setup
$14.95/mo for gateway
$0 statement fee
$0 minimum
$0.21 + $0.5 (gateway) + 2.05%

Ive been using them for about a month now with no complaints, their sites www.formpay.com

I ended up going thru my merchant bank,

$0 setup
$14.95/mo for gateway for 250 transactions
$0 statement fee
$0 minimum
$0.20 + 2.02%

Arcadie : I am not sure if you have anything to do with the Formpay company. But I think this company is a fraud. I called the phone number listed on the website. It tuned out to be the Leader Merchant Services who never heard of Formpay before.

Also, I see your name on many other websites saying the same thing about this Formpay company.