Using PayPal as a gateway for accepting online payments has just become much more attractive.
PayPal, owned by eBay, has always been considered one of the best, most secure
choices of payment for auctions, whether by check or credit card. But one of
the biggest drawbacks to it has been the restriction that the buyer also had
to have a PayPal account in order make that payment.
Not anymore! PayPal has optimized the checkout experience for buyers by launching
an exciting new improvement to Website Payments. With PayPal’s improved Website Payments checkout, purchasing online by many types of payment can be easily made…
Once a customer has decided to make a purchase, they
are walked through four easy steps:
- Shipping information – Customers enter name and shipping address.
- Billing information – Customers enter credit card information, email address
and phone number. They also have the option to send a message to you.
- Review of payment information – Customers review what theyÃƒÂ¢Ã¢â€šÂ¬Ã¢â€žÂ¢ve entered
to make sure itÃƒÂ¢Ã¢â€šÂ¬Ã¢â€žÂ¢s correct. From this point, they can either edit the
information or complete checkout.
- Save customer information with PayPal (optional) – To shop more quickly
and easily in the future, customers can save their personal information theyÃƒÂ¢Ã¢â€šÂ¬Ã¢â€žÂ¢ve
already entered with PayPal All they need to do is choose a confidential password
and create answers to a few security questions.
To toggle off this new feature, the PayPal account holder can simply log in,
go to their Profile subtab, click on Website Payment Preferences in the Selling
Preferences column, and check or uncheck the yes/no box under PayPal Account
Currently the account-signup-optional feature is available to US sellers and
their customers, for Buy Now, Donation, and Shopping Cart transactions. Currently
it does not apply to eBay transactions, Subscriptions, or Send Money / Request
Money transaction — however these are being considered to be added in the near future as well.
According to sources at PayPal, they are also looking into extending this availability
to non-US merchants in the near future. However, there is no confirmed release
NOTE: Information provided to the seller is the same as before, based on the
user’s billing & shipping addresses. Depending on the seller’s choice of
payment settings, they can choose whether to ship to addresses different from
that on the credit card or not.
The “PayPal Account Optional” feature can be toggled on or off from
a PayPal account holder’s profile setting, under the “Selling Preferences”
/ “Website Payment Preferences” area at the bottom of the page, below
the “Auto Return” setting.
For small business out there looking for an online credit card acceptance solution,
this must certainly put Paypal at the top of a very short list. With a Standard
rate of 2.9% and $0.30 per transactiuon, its not the least expensive per transaction
fee out there. But with no monthly statement fees, no upfront gateway fees,
no monthly minimum $$ requirements, it presents a very attractive way to get
into the online arena at minimal cost. That coupled with the relatively easy
acceptance criteria for establishing an account, easy to manage reporting and
transfer options as well as the various options offered for building an ecommerce
shopping cart, this appears to fire a solid shot across the bow of established
merchant account vendors such as WorldPay, Linkpoint (CSI), and 2Checkout.
One final item that almost slipped our attention…but makes PayPal an extremely attractive option to even the most experienced online merchant. Chargebacks are limited to 30 days rather than the typical 6 months found with other processors. And that could be a powerful enticement on its own!