Need help understanding Authorize.Net

[allendehl]

Hi friends,

This my my first post so hello everybody!

I'm moving away from Paypal due to some arbitrary and non-professional behavior from their end...but this is not the point of my post.

I have an startup online store, not a high sales volume yet, but as every new entrepreneur I hoping to grow sooner than later. I need a solution to process credit cards from my shopping cart software(Voilusion) but different than Paypal.

I haven't find any other decent 3rd party processor that I can trust

Q: ...do you guys know about any?

In the other hand, I'm researching about an Authorize.Net merchant account but I can't fully understand how many parts are involved in this.
I see in the Authorize.Net website they promote finding a "reseller"...I found a First Data website offering MUCH better "A.Net" prices than the "A.Net" site but the reviews about them(First Data) are just OUTRAGEOUS.

Q: Is it better to find a reseller of Authorize.Net account? Don't they sell by themselves?

Q: Do you guys know any good "A.Net" reseller?


Q: What do I need in order to fully implement an Autorize.Net credit card processing from my shopping cart software?

I hope is not too much for my first post...

Thanks in Advance!

[roban]

Welcome allendehl.

I have been using Authorize.Net for years and IMO they are the best. No, they only sell through a third party and that third party actually keeps track of your account for billing purposes and you receive a monthly statement from them. You will have a user control panel at Authorize.Net through which you configure your account. I bought mine through e-onlinedata. Excellent service and security plus I can have 'buy' buttons for other than e-commerce sites that take a customer through a secure checkout process.

Most cart software support Authorize.Net either out of the box or by a modular gateway plug in. What cart are you using?

[allendehl]

Hi Roban,

Thanks a lot for your input. I will definitely take a look at e-onlinedata.
I'm using Volusion, they do support Authorize.Net, thats why I'm looking into it.

I've been reading about this but I'm still confused. Authorize.Net is just a gateway...so I will also need a Merchant Account with my bank to link it to my A.Net account? I have my company's bank account in BofA...can I use the same account or should I open an "especial account" for this purpose?

Thanks again!

[roban]

Regardless of what gateway you use you will need a bank account in which to have your funds deposited. Authorize.Net is your merchant account and e-onlinedata tracks the transaction and manages your billing. You will have to fax them a copy of a voided check for the account you wish to use and depending on your particular business situation e-onlinedata will require some additional information before they will accept your application. These are security measures. My application went very smoothly and it took about 3 days to process.

I find it helpful to keep my personal accounts separate from my business so my payments are deposited into a business account but this is your call.

I have 2 merchant accounts. The Authorize.Net account is solely used for my vitamin web site and I accept MC, Visa and AMEX (AMEX has to be set up through AMEX with a separate AMEX account and when this is done, Authorize will add it to your account). I also use Quickbooks Merchant Services for my computer company. I could use Authorize for this as well but I would have to capture and authorize a credit card manually. In Quickbooks it is done automatically.

I suggest you call Authorize.Net with your concerns. They can explain it much better than I can.

[allendehl]

Thats Great news!.

So I already have 2 business accounts for my company, I could use one of them to link to Authorize.Net so I don't need to do anything with my bank right?

I just called e-onlinedata and I happen to find a rep that knew "nada" about Authorize.Net so he just collected my info to have somebody to call me tomorrow.

You probably can help me out with some questions I have about their fees..

Q: What is the "Statement Fee"?...is it mandatory?
Q: I see there are 2 kind of fees: Merchant Account & Gateway Fees...do they add up?. Lets say the MA fees per transaction is 2.29%+$0.30 and the Gateway Fee for Authorize.Net is $0.05. So my total fees would be 2.29%+$0.35?..Same thing with the monthly fee?
Q: The minimum processing fee, is that the minimum amount I have to process in a month? What if I don't meet it while I'm starting up?

I know I'm probably abusing you but I really appreciate your cooperation!

[roban]

The minimum fee is what you are charged even if you don't sell anything. As to the rest of your questions, you'd get better answers talking to e-onlinedata. No, you don't need to do anything at your bank.

Abusing me? You have no idea of the abuse I take here.

[Collabora]

Now you know why PayPal is so popular

[searchbox]

allendehl,

I'm not entirely sure why Roban is saying Authorize.net is your merchant account (maybe just an oversight?) but Auth.net is ONLY a gateway provider. They do not provide merchant account services. See this page on their site for more details: http://www.fuzeqna.com/authorize.net...il.asp?kbid=46

You can only get a merchant account through a financial institution. Auth.net provides a merchant interface but this is not the same as a merchant account.

Basically, you need to find a reseller for the Auth.net service. That reseller may also provide merchant account services, or you may be required to find your own solution.

I use First National Bank of Omaha as my merchant account/bank account and they have a partnership with Auth.net so I use Auth.net as my gateway. You need both a gateway and a merchant account to accept credit cards online - unless you are using something like paypal or google checkout - in that case you are using THEIR gateway and merchant account to process cards.

Hope that clears things up for people.

PS: I forgot to mention... you can also buy directly from Auth.net for your gateway and then use your own merchant account with your bank instead of using a reseller.