MOTO Merchant Accounts (Mail Order / Telephone Order)
MOTO Merchant Accounts very closely resemble an Online Merchant Account. In both cases, the rate structure is based on the assumption that the customers card is “not” in the physical presence of the merchant as would be the case in a typical retail environment.
These types of charges are considered Card Not Present (CNP), or manual keyed entries whereas those in a more traditional retail environment are considered Card Present (CP) accounts also known as Swiped entries or Swipe Accounts.
MOTO Merchant Accounts are geared toward accepting and processing payments manually. This often accomplished via a Virtual Terminal (online payment processing), a PC based application, or a credit card machine where the card information is entered manually. Merchants who also require customer purchases to be made online through a shopping cart should refer to our Online Merchant Accounts.
What you should know about MOTO Merchant Accounts
As these purchases are processed either on the phone, or manually as a result of a mail order, the card isn’t present for verification by the Merchant. Because of the physical lack of card verification, the risk of fraud is presumed higher by the processing agent. MOTO account structures and rates will be incrementally higher to reflect this risk.
There are other factors that can affect the rate structure as well. This includes the Average Ticket Size (AVT), volume of purchases, and type of product or service. There are some products or services that reflect a higher chargeback rate (customer disputes) while others such as low ticket sales have less such risk. When you are shopping for a Merchant Account, be cautious as to not agree to a structure that isn’t representative of your business needs.
1st National has absolutely terrific agents that know what questions to ask to help our clients obtain the best rates available. That in combination with contemporary inventory of solutions means that you’ll get a solution most appropriate for your business needs.
Interested in what 1st National can do for your business? Give us a call or complete our “quick quote” request. Between our well rounded inventory, Class A Settlement Banks & Processors, and a full suite of Merchant Services, our talented agents are sure to be of value.
Toll Free: (877) 964-1622
MOTO Merchant Account equipment examples
Virtual Terminals: A virtual terminal is an online administrative tool that lets you processing charges, refunds, credit, etc. though a web interface. These Virtual Terminals are normally part of a more complete “Payment Gateway” solution which may include the flexibility to connect your website shopping cart to a payment processor.
PC Processing: There are a variety of PC based solutions that can also help facilitate the processing, refunds, etc. from your PC. Many have advanced reporting and even swipe solutions and support PC Based Electronic Cash Registers (ECR)
Credit Card Machines: Depending on your need, a basic credit card machine that connects to a phone line may also be appropriate. The advantage is that the card machine can be used where ever you have a phone line. Many credit card machines also provide remote or wireless capabilities.
For those of you who are 1st National customers you should be aware that your discounts can be quite aggressive, so please make sure you talk to us before purchasing from our cart.