Credit cards are almost universal. Whether you’re selling memberships to your website, widgets or office supplies you should be accepting credit cards. In addition to enlarging your customer base due to the convenience of credit cards versus wire transfers or checks, accepting credit cards lends credibility to your online business, something that is of utmost importance if you want to close a sale. People feel comfortable that you are a legitimate company if you accept credit cards. They also feel safer because credit card companies only hold consumers liable for the first $50 if fraud occurs.
Because of the nature of Internet transactions, there is no physical credit card present for you to swipe, nor is there a customer to sign for the purchase. This means that e-commerce businesses fall into a higher risk category known as Mail Order/Telephone Order (MOTO) transactions, otherwise known as “Card Not Present” transactions. Due to the higher risk of these transactions, fees are higher than what they would be if a card were physically present.
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