Online Billing: Payment Processing Tips


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Online Billing: Payment Processing Tips

  1. 1. Online Billing payment processing tips Prashant Rajan @prashantrajan @prashantrajan #wckl
  2. 2. MindValley Internet Marketing & E-Commerce Process many millions of dollars in credit card transactions
  3. 3. Payment Processing Flow
  4. 4. Payment Processing Basics Jump Start Credit Card Processing PDF PeepCode’s ActiveMerchant PDF
  5. 5. Trust Seals Boosts conversions (> 10%) More seals the better?
  6. 6. Card Verification Value (CVV) It’s optional, i.e. merchant can decide whether to honor the result Useless for recurring transactions as it’s illegal to store the value Interesting trivia: Amazon AWS doesn’t require it
  7. 7. Address Verification Service (AVS) Like CVV, also optional Not supported by all banks Street Address & Zip For Street Address, usually only checks the first numeric occurrence Flaky for non-US addresses so billing logic should account for that
  8. 8. Recurring Transactions Fairly large % of recurring transactions will fail because of credit card expiry, over card limit etc Have an automated process in place to communicate with customers (dunning) Provide a secure page for customers to update their card details
  9. 9. PCI DSS Compliance Don’t try to store credit card information on your own servers. It’s not worth the legal hassle. You’ll be a ripe target for hackers! Outsource the problem - use’s CIM and you’re 75% on your way towards PCI Compliance When you hit a certain threshold of transactions annually, your compliance requirements will get stricter; success comes at a price!
  10. 10. Misc Dev Notes Store the last 4 digits and expiry date - lets you save on API calls and lets you get smart with declined transactions. If you’re using Ruby, use the ActiveMerchant gem. One-Click Purchasing - CIM Try multiple merchant processors when one fails (Chase PaymentTech, TSYS etc)
  11. 11. SaaS vs Roll Your Own Chargify, ChedderGetter, Recurly, Spreedly, Zuora. PayPal Website Payments Standard? Negotiate lower merchant account fees; it really matters when you have volume
  12. 12. Questions?