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Its not just a communication problem, it's a pattern. You guys did the same thing last year when you stopped returning fees on refunds. I couldn't believe my e
by chrishynes 9y ago
Its not just a communication problem, it's a pattern. You guys did the same thing last year when you stopped returning fees on refunds.
I couldn't believe my eyes when I read that you weren't returning fees anymore. I get not returning the flat 0.30 transaction fee, but not returning the % fees smacks of being more worried about the corporate bottom line than customers. Many processors refund the % fees, and there's no way you couldn't negotiate special dispensation with "the various payment partners we work with" to at least be able to return the % fee.
I used to unabashedly recommend Stripe as the best payment processor -- a little expensive on the rate, but easy to set up and no monthly or hidden fees to worry about.
That changed as soon as I had my first new customer screaming about getting whacked with fees on a refund. Didn't affect my account, and your messaging was horrible on that change as well, so I blissfully recommended unaware of the change until a new customer to whom I'd sung the praises of Stripe got hit and had to yank all of the Stripe code and go to a direct processor.
Just because you grandfather existing customers doesn't mean you get off scot-free on unfavorable policies.
My recommendation immediately changed to only use Stripe if access to special niche features like Stripe Connect or non card payments were required, and otherwise use a direct card processor with defined fees (and much lower rates, like 0.5% lower at least).
Clearly your focus has changed from doing right by the little guy to "customers handling large amounts of revenue" and policies tilted toward the bottom line vs "rightness". That's fine, and a natural part of many corporations during growth... Just telling you how it's affected my perceptions of Stripe and my recommendations to customers.
Negatively.
- folli 9y agoWhich payment processor would you recommend now? Edit: See also https://news.ycombinator.com/item?id=16772655 https://news.ycombinator.com/item?id=16772655
- chrishynes 9y agoDepends on volume and risk profile. There are many very sharp Authorize.Net resellers out there that will work with you to get a great rate for your situation. I've seen 2.2% rates on 50k/mo of processing for low risk customers. Of course, with that you get some additional fees to factor in -- monthly statement fee, international, Amex, etc... but it pencils out to way lower than 3% at a decent volume. For example, these guys: https://www.netcompaysystem.com https://www.netcompaysystem.com And many of these processors will give you gross deposit which is the only way to make things easy for an accountant. The net fees model Stripe uses is a nightmare for reconciliation at any sort of scale. This isn't to say I've abandoned Stripe entirely -- there are some cases where it makes sense, when you're actually using some of the advanced features and API, not just a straightforward card charge. I just completed a Stripe Connect integration that handles millions a month for several clients... but even there you run into half baked/stapled on feelings when you try to produce a full featured process that works at scale. For example, there's no straightforward way to provide a batch report for a Stripe Connect client -- the charge ID's don't match up with the platform account, and the only way to fully map which charges/refunds/chargebacks are in a given deposit for the client account is to link them up by amount and date/time....
- farnsworthy 9y agoHow about for new startups (with low or no volume)?
- chrishynes 9y agoResearch around. Many of the same processors will work with you even at low volume, although the rate wouldn't be as good. Of course, with little or no volume, the rate doesn't matter as much.
- stevievee 9y agoStripe has become masters at patronizing customers. We all know it is about the bottom line and the act is getting old at this point. The company was built on developer referrals and now that they are at critical mass - all of the "little guys" get drown out.