posted on April 20, 2002 10:29:44 AM new
I would love to see MasterCard ban PayPal from using them. PayPal has been way to soft on fraud and MasterCard is finally starting to see that. Hopefully others will follow suit.
posted on April 20, 2002 12:45:57 PM new
More likely it will happen the other way and MC will back off. Visa and AMEX have both said they will continue wtih Paypal.
BTW Did you pay off your bet on Paypal earning a profit. Seems you lost about $1,100.00 on eBay.
posted on April 20, 2002 03:16:39 PM newI would love to see MasterCard ban PayPal from using them.
Yes, we all know how you feel PayPal is the spawn of the devil. However you didn't bother to read or couldn't understand the article referenced. MasterCard would be stopping merchants from using all third party payment services. That means eBay's BillPoint, and Yahoo's PayDirect and all the others.
It would mean sellers would have to get merchant accounts, and prices would go up. It would mean that buyers would have to submit their credit card information to more people and their credit card information would be accessable by more people for abuse.
If anything I see MasterCard's possible direction as one that would introduce more, not less fraud into the auction world.
I don't think MasterCard will remove themself from the 3rd party payment services if Visa, Discover, and AMEX remain. I've got a MasterCard but I have the others too.
posted on April 20, 2002 03:35:31 PM new
billpoint said they are okay as they work under wells fargo.
what does it mean??
hpw can this be okay??
anyway,paypal may beg to be forgiven and promise not to process casino and porn site charges.
paypal was fined by visa for too much chargebacks.
posted on April 22, 2002 02:33:04 PM new
Looks like mastercard got tired of paypal. I think its a great move on mastercards part, and if things dont change visa could be next. Visa may pick up mastercards paypal business, but they also gain the complaints as well.
posted on April 22, 2002 03:18:42 PM new
Hi dealerjim,
Once again, you point out incorrect information.
"I would love to see MasterCard ban PayPal from using them. PayPal has been way to soft on fraud and MasterCard is finally starting to see that. Hopefully others will follow suit."
Online fraud rates have been reported at over 1.0%. Ours has been reported at around half.
DealerJim is not pointing out incorrect information.. directly from the news article "...The reason for the change, says MasterCard spokesman Alex Lau, is to protect financial institutions and card holders from fraud and identity theft."
Maybe someone needs to audit your 'reports'. Aren't those numbers a little old, also? Seems to me you've been throwing those numbers around for quite a while. You'd think, with all the current activity and excitement about on-line fraud, etc... it'd be about time to 'publish' some new 'reports'. (Especially if your numbers are so much better than 'AVERAGE'.
BTW - are you ever going to answer my question re: a user wanting to close a restricted account? (and where, exactly, it says that a user CANNOT close a restricted account)? Or are you going to wait until they make the change to the "Terms of Service" before you tackle this one?
posted on April 22, 2002 07:42:17 PM new
This is California law. It was passed in 1989. Does this mean they are in violationof the law. Judge for your self.
1748.7. (a) No person shall process, deposit, negotiate, or obtainpayment of a credit card charge through a retailer's account with afinancial institution or through a retailer's agreement with afinancial institution, card issuer, or organization of financialinstitutions or card issuers if that retailer did not furnish oragree to furnish the goods or services which are the subject of thecharge.(b) No retailer shall permit any person to process, deposit,negotiate, or obtain payment of a credit card charge through theretailer's account with a financial institution or the retailer'sagreement with a financial institution, card issuer, or organizationof financial institutions or card issuers if that retailer did notfurnish or agree to furnish the goods or services which are thesubject of the charge.(c) Subdivisions (a) and (b) do not apply to any of thefollowing1) A person who furnishes goods or services on the businesspremises of a general merchandise retailer and who processes,deposits, negotiates, or obtains payment of a credit card chargethrough that general merchandise retailer's account or agreement.(2) A general merchandise retailer who permits a person describedin paragraph (1) to process, deposit, negotiate, or obtain payment ofa credit card charge through that general merchandise retailer'saccount or agreement.(3) A franchisee who furnishes the cardholder with goods orservices that are provided in whole or in part by the franchisor andwho processes, deposits, negotiates, or obtains payment of a creditcard charge through that franchisor's account or agreement.(4) A franchisor who permits a franchisee described in paragraph(3) to process, deposit, negotiate, or obtain payment of a creditcard charge through that franchisor's account or agreement.(5) The credit card issuer or a financial institution or aparent, subsidiary, or affiliate of the card issuer or a financialinstitution.(6) A person who processes, deposits, negotiates, or obtainspayment of less than five hundred dollars ($500) of credit cardcharges in any one year period through a retailer's account oragreement. The person shall have the burden of producing evidencethat the person transacted less than five hundred dollars ($500) incredit card charges during any one year period.(d) Any person injured by a violation of this section may bring anaction for the recovery of damages, equitable relief, and reasonableattorney's fees and costs.(e) Any person who violates this section shall be guilty of amisdemeanor. Each occurrence in which a person processes, deposits,negotiates, or otherwise seeks to obtain payment of a credit cardcharge in violation of subdivision (a) constitutes a separateoffense.(f) The penalties and remedies provided in this section are inaddition to any other remedies or penalties provided by law.(g) The exemptions from this title specified in Section 1747.03 donot apply to this section.(h) As used in this section1) "General merchandise retailer" means any person or entity,regardless of the form of organization, that has continuously offeredfor sale or lease more than 100 different types of goods or servicesto the public in this state throughout a period which includes theimmediately preceding five years.(2) "Franchisor" has the same meaning as defined in Section 31007of the Corporations Code.(3) "Franchisee" has the same meaning as defined in Section 31006of the Corporations Code.
posted on April 22, 2002 08:02:11 PM new
if so,how do all these online payment services do it??paypal,billpoint,aol direct,yahoo direct and more??
now i use PROPAY sometimes,which is owned by LAKE BANK,and i can go to the site and log on and process a cc transaction.
they never assign me a merchant account,so??
what do you call PROPAY??
posted on April 22, 2002 09:02:55 PM new
Mr. PayPal: In your filings with the SEC you wrote
Earlier this year, as a result of high charge-back rates in the second half of 2000, MasterCard determined that we violated its operating rules by having excessive charge-backs and fined us. Although we resolved this situation to MasterCard's satisfaction and have reduced our charge-back rate, we cannot assure you that new causes of excessive charge-backs will not arise in the future.
...In late 2000, MasterCard indicated it would terminate PayPal as a merchant if we did not change some of our practices and procedures immediately. We had a series of meetings with MasterCard and have made changes to our system that we believe have resolved MasterCard's concerns, but we have not received confirmation from MasterCard that these concerns are fully resolved.
posted on April 23, 2002 06:32:04 AM new
numbers do not lie,if MC is hit with fraud,so will visa and amex.
most cardholders have both mc and visa and possibly amex cards as well.
i think it is aimed at third party provider which has the worst chargeback ratios which is of course paypal.
people dont realise how time consuming it is to process chargebacks,you get 4 parties involved going back and forth.
before billpoint and paypal etc come along,ebay bidders pay with personal check and money orders,life was easier then for sellers.
posted on April 23, 2002 12:26:52 PM new
Please mastercard, do this for me. I will get rid of all my other credit cards if you will do this one favor for me. Kick their butt out!
posted on April 26, 2002 12:20:44 PM new
Me too..... PLEASE!!!!
Damon,
I thought you were ignoring me. Maybe you should go back to it. You can take your ridiculous comments and the company you work for and shove them. Later...
[ edited by dealerjim on Apr 26, 2002 12:22 PM ]
posted on April 29, 2002 11:48:07 AM new
Well, Dealerjim, it seems Damon has taken to ignoring me instead, since he cannot possibly successfully answer my question without proving that PayPal violates it's own Terms of Serivce.
If a USER violates the Terms of Service, god forbid they should ever expect to see one red cent of their money (held in a paypal account) again. If paypal violates it's Terms of Service - they do one of two things: a) ignore the person pointing it out, and / or b) change their Terms of Service.
DAMON - WHERE DOES IT SAY THAT A USER CANNOT CLOSE A RESTRICTED ACCOUNT? The silence is deafening!!
1) A person who furnishes goods or services on the businesspremises of a general merchandise retailer and who processes,deposits, negotiates, or obtains payment of a credit card chargethrough that general merchandise retailer's account or agreement.(2) A general merchandise retailer who permits a person describedin paragraph (1) to process, deposit, negotiate, or obtain payment ofa credit card charge through that general merchandise retailer'saccount or agreement.(3) A franchisee who furnishes the cardholder with goods orservices that are provided in whole or in part by the franchisor andwho processes, deposits, negotiates, or obtains payment of a creditcard charge through that franchisor's account or agreement.(4) A franchisor who permits a franchisee described in paragraph(3) to process, deposit, negotiate, or obtain payment of a creditcard charge through that franchisor's account or agreement.(5) The credit card issuer or a financial institution or aparent, subsidiary, or affiliate of the card issuer or a financialinstitution.(6) A person who processes, deposits, negotiates, or obtainspayment of less than five hundred dollars ($500) of credit cardcharges in any one year period through a retailer's account oragreement. The person shall have the burden of producing evidencethat the person transacted less than five hundred dollars ($500) incredit card charges during any one year period.(d) Any person injured by a violation of this section may bring anaction for the recovery of damages, equitable relief, and reasonableattorney's fees and costs.(e) Any person who violates this section shall be guilty of amisdemeanor. Each occurrence in which a person processes, deposits,negotiates, or otherwise seeks to obtain payment of a credit cardcharge in violation of subdivision (a) constitutes a separateoffense.(f) The penalties and remedies provided in this section are inaddition to any other remedies or penalties provided by law.(g) The exemptions from this title specified in Section 1747.03 donot apply to this section.(h) As used in this section