Using PayPal as a partner in accepting credit card payments can be a great way to test how your market responds. Because it’s quick and easy to set-up an account, many home business entrepreneurs and small business owners sign up with PayPal.
Eventually, a business owner may decide to open a merchant account to enjoy more flexibility and security in accepting credit card payments.
If you are currently using PayPal, here are some tips on how you can use it safely for business:
Do Not Lie. When signing up for a PayPal account, see to it that you provide only true information about your business.
Read the Terms and Conditions. You need to be aware of all the terms and conditions since failing to comply with even a simple rule can get your account locked. Such a violation may cause your funds to be temporarily held while Paypal investigates on the issue.
Choose a reliable shipping service. Since PayPal tends to side with customers in matters of dispute, it is very important that you partner with a trusted shipping company. Make sure that you will have the option to track the status of the delivery and that you will be provided with proof that the delivery has been completed. Hence, if a buyer complaints about a non-delivery, you can submit the proof of confirmation to PayPal.
Don’t deal with unverified members. It’s best to avoid accepting transactions from unverified members especially if the buyer resides internationally.
Avoid questionable transactions. If a customer places an exceptionally large order, PayPal will verify the transaction to make sure that it’s not fraudulent. Nevertheless, sellers must exercise caution in accepting questionable transactions, especially if the buyer resides in another country or wants to use multiple credit cards to pay the bill.
Keep your funds at a minimum. Do not wait until your balance builds up before making a withdrawal. It’s a good idea to regularly transfer your balance as soon as it reaches a specific amount. Thus, in case of fraud, you will not suffer from a big loss.
Do you use PayPal? Do you have other credit card processing tips to add to the list? Please feel free to share your views by leaving a comment.
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About the Author:
Melanie James has spent the last 14 years working with businesses to implement quick, effective and inexpensive changes to their businesses to increase productivity and their bottom line.