Offshore Credit Card Merchant Accounts - How an Offshore Merchant Account Works

Offshore Credit Card Merchant Accounts - An offshore merchant account works just like a traditional merchant account but is intended specifically for businesses that operate outside of the U.S.

When a customer offers a debit or credit card for payment on your Website or in one of your stores, the information is sent through a payment gateway. The gateway relays the information to your merchant account provider.

Your provider is basically a bank that handles the processing of debit and credit cards. The merchant account will make contact with the bank that issued the customer's card to verify that the funds can be processed.

If the card is approved, the transaction will go through, and your merchant account will inform you of its completion. The account should also send you a receipt for your records and for the customer.

Offshore Credit Card Merchant Accounts - European Businesses Will See Lower Interchange Fees

Offshore Credit Card Merchant Accounts - Most businesses interested in offshore merchant accounts have their headquarters or at least some physical locations in countries other than the United States.

For businesses with a presence in Europe, processing debit cards could be much cheaper from here on out. Yesterday, Visa announced that it would place a cap on Visa debit card transaction charges at 0.2% for the next four years.

Debit card processing rates in Europe are already very low compared to those in the United States. Visa shocked retailers in Europe and the U.S. by lowering European fees while also raising fees on American business owners.

In the United States, merchants now have to pay 0.95% of each debit card transaction in interchange fees as well as a standard 20-cent swipe fee. Compared to the fees in Europe, these rates are outrageous.

Offshore Credit Card Merchant Accounts - Answering Common Merchant Account Questions

Offshore Credit Card Merchant Accounts - One of the questions providers get asked the most by businesses is if they really need a merchant account. The answer to that question depends on how you want to process your customers' cards.

If you would like to take cards in your business' own name, you will need a merchant account. Otherwise, you will have to process the cards through an expensive third party, such as PayPal.

Merchants also commonly ask how much they should expect to spend on a new merchant account. The set-up cost will vary by provider, but monthly charges usually involve a general swipe fee in addition to a percentage-based fee for each transaction.

Finally, businesses usually want to know how long it will take to create their merchant account. Although this will vary, providers typically take a few business days to approve an applicant, after which the business can begin processing cards.

Offshore Credit Card Merchant Accounts - Purpose of Offshore Merch Accounts

Offshore Credit Card Merchant Accounts - Offshore merch accounts are usually ideal for international businesses. For instance, if you have visitors from many different countries on your site, you might consider an offshore account.

An offshore merchant account will allow you to accept credit cards from customers of virtually any country. The currency is converted to your own automatically for the disbursement of funds.

In this way, you do not limit your sales or the potential of your business by accepting cards from one or only a few countries. You can truly take your business to a global level of success.

To find an offshore merch account, look for providers that specialize in offshore and high-risk merchant accounts. These businesses are best at dealing with merchants with an international scope.

Welcome!

Welcome to Offshore Credit Card Merchant Accounts!